Palvella Therapeutics initiated with a Buy at H.C. Wainwright

H.C. Wainwright initiated coverage of Palvella Therapeutics (PVLA) with a Buy rating and $38 price target Palvella’s lead product, QTORIN 3.9% rapamycin anhydrous gel, is currently in development for microcystic lymphatic malformations and cutaneous venous malformations. The firm believes the key differentiator of QTORIN rapamycin lies in its unique formulation, which is a topical anhydrous gel that is shelf stable and offers a high dose of drug. Wainwright anticipates a potential launch of QTORIN rapamycin in mLMs in 2027 and in cVMs in 2029, with data from the Phase 3 trial in mLMs expected Q1 2026. With potential total QTORIN rapamycin sales of $80.4M in 2029, growing to $381M by 2034, the firm is bullish on Palvella.