Stifel likes Denali Therapeutics on weakness

Stifel reiterated a Buy rating on Denali Therapeutics (DNLI), saying he continues to like the shares here even as the company announced that its recent ALS program failed in the HEALSEY ALS platform trial. This was a very high-risk/high-reward option, but Wall Street expectations here were fairly low and the stock had been under pressure during the session possibly due to the concurrent failure of another AbbVie (ABBV) program, the analyst tells investors in a research note. The firm noted that eIF2b is not core to its thesis, and that it likes Denali on weakness.