JMP Securities analyst Silvan Tuerkcan has maintained their neutral stance on GBIO stock, giving a Hold rating yesterday.
Silvan Tuerkcan has given his Hold rating due to a combination of factors surrounding Generation Bio’s strategic focus and financial positioning. The company has narrowed its efforts to utilize T cell-targeting ctLNP technology for delivering siRNA in immune and inflammatory diseases. This approach is seen as promising, particularly in leveraging insights from their collaboration with Moderna to address challenging targets. However, Tuerkcan remains cautious, awaiting more detailed information on specific targets and areas of interest, which are expected to be revealed by mid-2025.
Despite the potential of Generation Bio’s technology, the stock is currently trading below its cash reserves, reflecting a discount typical for biotech firms facing similar uncertainties. The company’s plan to nominate a lead target by mid-2025 and aim for an IND submission in the second half of 2026 indicates progress, but the lack of immediate clarity contributes to the Hold rating. The ongoing collaboration with Moderna further adds to the potential, yet the market performance rating is maintained until more concrete developments are observed.
Tuerkcan covers the Healthcare sector, focusing on stocks such as Exelixis, Solid Biosciences, and Jasper Therapeutics. According to TipRanks, Tuerkcan has an average return of -2.5% and a 33.74% success rate on recommended stocks.