Fulcrum’s REACH trial can hit primary endpoint, says Oppenheimer

Oppenheimer notes the “renewed debate” on losmapimod’s mechanism of action since Avidity Biosciences (RNA) showed in June clinical reductions in DUX4 expression, which is something Fulcrum Therapeutics (FULC) wasn’t able to do in the ReDUX4 trial. However, with pivotal data from the REACH trial anticipated to be reported in October, the firm argues that losmapimod’s mechanism of action likely is not solely dependent on reducing DUX4 expression and expresses confidence that the clinical benefits observed in ReDUX4 “weren’t a spurious finding” and confidence that REACH can hit its primary endpoint. The firm reiterates an Outperform rating and $14 price target on Fulcrum shares.