On Wednesday, TD Cowen maintained a positive stance on Neurocrine (NASDAQ:NBIX) Biosciences (NASDAQ:NBIX), reiterating a Buy rating with a price target of $170.00. The affirmation followed the announcement of clinical trial results for Neurocrine's drug candidate NBI-568. The drug, intended to treat psychiatric disorders, showed a statistically significant 7.5-point placebo-adjusted change in the Positive and Negative Syndrome Scale (PANSS) at a 20mg dose.
Despite the positive outcome, the results did not meet some investor expectations, which anticipated a more robust 10-point or greater placebo-adjusted decline. Neurocrine suggested the discrepancy arose from a notably high placebo effect observed during the trial.
The company plans to progress NBI-568 to Phase III trials in 2025, indicating a continued investment in the drug's development. TD Cowen's analyst highlighted the potential of additional data from the upcoming pivotal trials to clarify NBI-568's competitive position in the market.
Investors and stakeholders are encouraged to look forward to further data, which will be crucial in determining the drug's market potential and its impact on Neurocrine's stock value. The continuation of NBI-568's development into Phase III trials marks a significant step in Neurocrine's efforts to bring new treatments to the field of psychiatric medicine.
In other recent news, Neurocrine Biosciences has reported encouraging results from its Phase 2 clinical trial of NBI-1117568, a novel treatment for schizophrenia. The trial met its primary endpoint, demonstrating a significant reduction in the severity of symptoms compared to placebo. The company plans to advance this drug into Phase 3 development early next year.
In financial developments, Neurocrine Biosciences has reported over 30% year-over-year growth in sales of their drug, INGREZZA, leading to an increase in their sales guidance for the year to a range of $2.25 billion to $2.3 billion. Analysts at Jefferies have raised their price target for Neurocrine Biosciences to $189.00 while maintaining a Buy rating, largely due to promising data from the Phase 2 study of NBI-568.
Furthermore, the company is awaiting FDA approval for Crinecerfont, a drug for congenital adrenal hyperplasia. Neurocrine Biosciences is also investing in its sales force expansion and making advancements in its clinical pipeline in neuroscience.
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