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Wedbush stays on the sidelines with Voyager Therapeutics, cuts stock PT

Published 14/05/2024, 15:58
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On Tuesday, Wedbush made adjustments to its outlook on Voyager Therapeutics (NASDAQ:VYGR), a gene therapy company, by reducing its price target on the company's shares to $8.00 from the previous $10.00. The firm has decided to maintain a Neutral rating on the stock.

The price target revision comes after a review of Voyager Therapeutics' first quarter 2024 performance and recent developments. The company's update for the first quarter was in line with expectations, showing no deviation from the major development timelines.

A significant announcement from Voyager was the clearance of the Investigational New Drug (IND) application for their anti-tau antibody, VY-TAU01, which is expected to have its first healthy volunteer dosed in the single-ascending dose portion of the study by mid-2024.

The Phase 1b multiple-ascending dose study for VY-TAU01 is also reported to be on schedule, with initiation planned for 2025. These developments are part of Voyager's efforts in advancing treatments for neurodegenerative diseases.

Wedbush's revised price target reflects changes to net cash and share count assumptions after taking into account the first quarter results of 2024. The firm has stated that it is awaiting more comprehensive clinical data before assigning specific program credit to the various development programs of Voyager Therapeutics.

In their comments, the firm reiterated their position, stating that they will continue to maintain a Neutral rating on Voyager Therapeutics shares until further clinical data can provide a clearer picture of the potential success of the company's programs.

InvestingPro Insights

As investors digest the latest outlook from Wedbush on Voyager Therapeutics, it's worth considering additional insights from InvestingPro. Notably, Voyager holds more cash than debt on its balance sheet, which is a positive sign of the company's financial stability. This is particularly relevant as the firm progresses with its clinical trials for VY-TAU01, which require significant investment. Moreover, two analysts have revised their earnings upwards for the upcoming period, indicating a potential upside in Voyager's financial performance.

Despite the challenges ahead, Voyager Therapeutics' strong free cash flow yield, as implied by its valuation, suggests that the company could be well-positioned to fund its operations and research initiatives. The company's market capitalization stands at $460.67 million, with a striking revenue growth of 511.16% for the last twelve months as of Q4 2023. Additionally, the company has demonstrated a robust operating income margin of 48.8% during the same period.

For those seeking further analysis and additional InvestingPro Tips, there are 10 more tips available for Voyager Therapeutics at Investing.com/pro/VYGR. Investors may consider using the coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription, which could provide deeper insights into the company's financial health and market potential.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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