H.C. Wainwright reiterates Nektar Therapeutics stock rating on alopecia data

H.C. Wainwright has maintained a positive outlook on Nektar Therapeutics (NASDAQ:NKTR) stock, reaffirming its Buy rating and setting a price target of $185.00. This decision comes after Nektar presented clinical trial data from the Phase 2b REZOLVE-AA study, which focused on severe-to-very-severe alopecia areata treatment. The data encompassed 52-week treatment results and six-month off-treatment outcomes.

Of the eight patients who experienced a SALT (Standing Alopecia Loss Threshold) of 20 or less after 52 weeks of rezpeg treatment, 75% retained the response at four months and 63% at six months post-treatment. Notably, 41% of the 27 patients in the 52-week treatment group achieved an improved response during the six-month off-treatment period, while 22% maintained their initial regrowth.

Additionally, among those who participated in the 16-week treatment extension, 29% with less than four years of treatment experience and 30% with four years or more of treatment history attained a SALT of 20 or less by Week 52. SALT 10 or less increased from 7% at Week 52 to 19% during the off-treatment phase, with one patient achieving a SALT of 0.

Although Nektar Therapeutics' stock experienced a 22.4% decline to $46.99 on October 1, it remains supported by Wall Street analysts who hold a bullish consensus, with price targets ranging from $50 to $192. However, InvestingPro's Fair Value analysis suggests the stock may be overvalued at its current level.