Capricor unlikely impacted by Phan warning letter, says JonesResearch

JonesResearch says shares of Capricor Therapeutics (CAPR) saw some volatility over an FDA warning letter issued to an investigator involved in the deramiocel HOPE-3 study, Dr. Phan. After reviewing the information and speaking with management, the firm believes the negative response was an overreaction. Dr. Phan is a neurologist involved in HOPE-3, but her research organization has 11 ongoing Duchenne muscular dystrophy studies, plus dozens of other studies in various rare diseases, the analyst tells investors in a research note. Jones thinks the FDA warning letter is unlikely to impact deramiocel’s application. It keeps a Buy rating on Capricor Therapeutics with a $40 price target