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Cautious Hold Rating on Krystal Biotech Amid Vyjuvek’s Mature Launch and Strategic Growth Plans

Cautious Hold Rating on Krystal Biotech Amid Vyjuvek’s Mature Launch and Strategic Growth Plans

In a report released yesterday, Yigal Nochomovitz from Citi maintained a Hold rating on Krystal Biotech (KRYSResearch Report), with a price target of $215.00.

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Yigal Nochomovitz’s rating is based on the performance and expectations surrounding Krystal Biotech’s key product, Vyjuvek. The sales figures for Vyjuvek have aligned closely with the anticipated numbers, reflecting a mature launch process. While the company has achieved significant milestones like crossing 500 reimbursement approvals, the growth in new prescriptions has decelerated as patients have transitioned into maintenance regimens.
Additionally, Krystal Biotech’s financial forecast, with an expected increase in operational expenditures, suggests a careful balance of growth and stability. The company’s pipeline offers potential upside with upcoming regulatory milestones in Europe and Japan, yet these are factored into the current valuation. The Hold rating reflects a cautious approach, recognizing both the promise of the pipeline and the inherent risks involved.

Nochomovitz covers the Healthcare sector, focusing on stocks such as Crispr Therapeutics AG, Oric Pharmaceuticals, and Coherus Biosciences. According to TipRanks, Nochomovitz has an average return of 7.3% and a 41.02% success rate on recommended stocks.

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