Bluebird Bio downgraded to Neutral at BofA on slower expected Lyfgenia ramp

As previously reported, BofA downgraded Bluebird Bio (BLUE) to Neutral from Buy with a price target of 50c, down from $3, to reflect its view that the company’s key product launch – Lyfgenia for Sickle Cell – will ramp slower and achieve lower peak revenue. The firm notes that its updated price target also reflects assumed dilution for bridge financing needed to tap added tranches of the Hercules loan and extend beyond the current Q1 of 2025 runway.