Buy Rating on Immunic Driven by Promising CALLIPER Study Outcomes and Market Opportunities in Progressive Multiple Sclerosis

Leerink Partners analyst Faisal Khurshid has reiterated their bullish stance on IMUX stock, giving a Buy rating yesterday.

Faisal Khurshid has given his Buy rating due to a combination of factors, primarily focusing on the potential positive outcomes from the Phase 2 CALLIPER study for progressive multiple sclerosis (PMS). The study’s interim biomarker data and mechanistic rationale suggest a promising chance of success, with a confirmed disability progression (CDP) hazard ratio of less than 0.80 being a key indicator for significant stock upside. Additionally, the white space opportunity in PMS is both clinically and commercially appealing, further supporting the Buy rating.
Another critical aspect that influenced Khurshid’s recommendation is the importance of addressing the company’s funding status to ensure a viable path forward. While the primary endpoint of brain volume change in the CALLIPER study is considered a wildcard, achieving a CDP hazard ratio of less than 0.80 is deemed more crucial for investor confidence. The potential for success in either of the two main PMS subgroups, primary progressive MS (PPMS) or non-active secondary progressive MS (naSPMS), would also be supportive of a positive outlook for Immunic’s stock.

Khurshid covers the Healthcare sector, focusing on stocks such as Pliant Therapeutics, Kymera Therapeutics, and Geron. According to TipRanks, Khurshid has an average return of 36.1% and a 51.61% success rate on recommended stocks.