Quantumup
Oct 12, 10:32 AM
UBS🏁
$SYRE Buy;
$120 PT.
$PTGX - JNJ
$ABBV LLY PFE BMY MRK ABVX TEVA - SNY TAK SYBX RHHBY
UBS said in its initiation report: We view SYRE as the best way to play IBD combination therapies within a market we estimate could reach
$40-50B in 2035.
Its portfolio of combinations across IL-23, α4B7, and TL1A provides multiple shots on goal and, in our view, favorable odds that at least one regimen succeeds clinically and commercially.
Instead of concentrating on a single outcome for the future of IBD, SYRE provides exposure to multiple potential winners.
The defining catalyst is the company's broad Phase 2 readout in 2027 in UC (timing TBD; PCD June), which we believe will identify at least one regimen for Phase 3.
Near-term volatility is likely as investors react to TL1A class readouts in non-IBD indications, though these indications account for only a small portion of our model.
We model
$12.5B/
$5.5B unadjusted/adjusted 2035 sales for the IBD portfolio, above consensus ~
$5B/
$3.9B.
