May. 14 at 10:34 AM
Citizens⬇️
$AVTX's PT to
$55 and reiterated at a Market Outperform rating.
$ABBV MLTX SLRN UCBJY INCY
$NVS
Citizens said in its note:
Positive Phase 2 LOTUS results support advancement to registrational studies; we reiterate our Market Outperform rating on Avalo Therapeutics though lower our risk-adjusted, DCF-derived price target to
$55 from
$62 to reflect the recent equity financing.
This morning, Avalo reported 1Q26 financial results and business updates, underscoring its plans to advance abdakibart into registrational Phase 3 studies. Recall, the Phase 2 LOTUS trial demonstrated positive results (our note here) with, in our view, a robust and competitive magnitude of benefit. The company ended 1Q26 with
$82MM in cash, and raised net proceeds of ~
$40MM from the equity offering that followed the announcement of Phase 2 results.
