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Karyopharm Therapeutics: Hold Rating Maintained Amid Revenue Stagnation and Competitive Pressures

Karyopharm Therapeutics: Hold Rating Maintained Amid Revenue Stagnation and Competitive Pressures

In a report released on February 19, Jonathan Chang from Leerink Partners reiterated a Hold rating on Karyopharm Therapeutics (KPTIResearch Report), with a price target of $2.00.

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Jonathan Chang has given his Hold rating due to a combination of factors related to Karyopharm Therapeutics’ recent performance and future outlook. The financial results for the fourth quarter of 2024 showed that Xpovio’s revenue remained flat compared to the previous quarter, aligning closely with consensus estimates. Although there is some positive momentum with increased demand and broader patient access, these are being offset by intensified competition and higher gross-to-net adjustments impacting sales figures.
Additionally, Karyopharm’s updated guidance for 2025 indicates a modest growth projection in Xpovio’s US net product revenue. However, the company’s research and development, as well as selling, general, and administrative expenses, remain significant. Furthermore, changes in clinical trial focus, like that of the Phase III XPORT-EC-042 trial, and the extended timeline for trial results have introduced some uncertainty. These elements combined suggest a cautious stance, justifying the Hold rating on the stock.

Chang covers the Healthcare sector, focusing on stocks such as Replimune Group, Kura Oncology, and Genmab. According to TipRanks, Chang has an average return of -9.2% and a 31.16% success rate on recommended stocks.

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