Analysts Move To Sidelines For Cancer Player Kinnate Biopharma After Restructuring
Portfolio Pulse from Vandana Singh
Kinnate Biopharma Inc (NASDAQ:KNTE) has prioritized its exarafenib combination, KIN-8741, and discovery efforts around its CDK4 selective program, while also implementing a corporate restructuring that reduces its workforce by 70%. Piper Sandler downgraded the stock from Overweight to Neutral with a price target of $4, down from $20. Wedbush also downgraded the stock to Neutral and cut the price target from $14 to $2. Despite these setbacks, William Blair maintains an Outperform rating, citing the company's promising platform for small-molecule kinase inhibitors in precision oncology.
September 19, 2023 | 6:20 pm
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Kinnate Biopharma has been downgraded by Piper Sandler and Wedbush due to restructuring and lack of short-term clinical catalysts. However, William Blair maintains an Outperform rating, citing the company's promising platform for small-molecule kinase inhibitors.
The company's decision to prioritize certain programs and reduce its workforce by 70% has led to downgrades from Piper Sandler and Wedbush. This, coupled with a lack of short-term clinical catalysts, is likely to negatively impact the stock price in the short term. However, William Blair's continued Outperform rating indicates some potential for future growth.
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