Analyst Jason Butler of JMP Securities reiterated a Buy rating on Abivax SA Sponsored ADR (ABVX – Research Report), retaining the price target of $33.00.
Jason Butler has given his Buy rating due to a combination of factors that highlight the potential of Abivax’s obefazimod in treating ulcerative colitis (UC). A key opinion leader in the field, Dr. David T. Rubin, emphasized the novel mechanism of action of obefazimod, which targets multiple inflammatory cytokines, offering a potential advantage over existing treatments that focus on single pathways. This unique approach could mitigate the risk of mechanistic escape, a common issue with other drug classes.
The promising results from the Phase 2b trials, particularly in patients who are refractory to other treatments, underscore the drug’s efficacy. The high proportion of patients with prior advanced treatments in these trials is a significant differentiator. Furthermore, the Phase 3 ABTECT program is designed to optimize success, with Dr. Rubin expressing confidence in its potential. The program’s design includes strategies to lower placebo rates and improve the assessment of clinical effectiveness, such as limiting steroid use and ensuring diverse global enrollment. These factors collectively support the Buy rating for Abivax SA Sponsored ADR.
In another report released on March 7, Piper Sandler also maintained a Buy rating on the stock with a $42.00 price target.