Analyst Mitchell Kapoor from H.C. Wainwright reiterated a Buy rating on Lexeo Therapeutics, Inc. (LXEO – Research Report) and keeping the price target at $23.00.
Mitchell Kapoor’s rating is based on several promising developments in Lexeo Therapeutics, Inc.’s ongoing research and trials. The company has reported favorable updated data from its Phase 1/2 trials of LX2006, a gene therapy for Friedreich’s ataxia cardiomyopathy. The data revealed that a significant percentage of patients achieved a reduction in left ventricular mass index (LVMI), meeting the FDA-aligned threshold for the upcoming pivotal trial. Additionally, the therapy showed positive results in increasing frataxin expression, a key marker for the disease, without any adverse safety signals such as liver enzyme elevations.
Kapoor also highlights the alignment with the FDA on the pivotal trial design, which includes two co-primary endpoints that are considered achievable based on the current data. The endpoints involve a reduction in LVMI and an increase in frataxin protein expression, both of which have been positively impacted in the trials so far. The use of natural history data as an external control in the pivotal study is expected to further support the clinical success of LX2006. These factors contribute to Kapoor’s confidence in Lexeo’s potential, leading to the reiteration of a Buy rating and a 12-month price target of $23 per share.
In another report released on March 24, Leerink Partners also maintained a Buy rating on the stock with a $18.00 price target.
Based on the recent corporate insider activity of 29 insiders, corporate insider sentiment is negative on the stock. This means that over the past quarter there has been an increase of insiders selling their shares of LXEO in relation to earlier this year.