Investing.com — Three major investment firms started research coverage of MBX Biosciences stock on Tuesday, each assigning a Buy rating to the biotechnology company.
Analysts at Jefferies highlighted the potential of MBX’s lead program, MBX-2109, which is currently in Phase II trials for hypoparathyroidism.
They expressed confidence in the company’s scientific platform, particularly in the field of endocrine peptides, noting the possibility of significant improvements in treatment duration and the development of better medicines in established commercial areas.
MBX Biosciences’s platform is rooted in the extensive peptide and chemistry research of co-founder Dr. Richard DiMarchi, who brings over 20 years of academic experience and a track record of developing approved therapies. The firm underscored the strength of this scientific foundation, which has been augmented by years of R&D at Eli Lilly (NYSE:LLY) and Novo Nordisk (NYSE:NVO).
“The lead Phase II program in PTH has shown promising Phase I data with favorable pharmacokinetic (PK),” Jefferies analysts said.
“In 4 doses from 200-900ug MBX-2109 showed dose proportional increase in mean concentration and a 7-9-day half-life, supporting weekly dosing vs competitors that are all daily, with < 2-3 days half-life.”
Looking forward, Jefferies anticipates that MBX stock may benefit from upcoming industry catalysts. These include a strong commercial launch expected from competitor ASND in the first quarter of 2025, which could expand the market for hypoparathyroidism treatments.
Moreover, Phase III data from AstraZeneca PLC (LON:AZN) ADR (NASDAQ:AZN) expected in the first half of 2025 could further validate the platform and potentially increase confidence in MBX’s improved weekly dosing regimen.
Separately, Stifel and Guggenheim also started coverage on MBX with a Buy rating and optimistic price targets of $40 and $44, respectively.
Stifel’s endorsement is based on the strength of MBX’s precision endocrin peptides (PEPs) platform, which is engineered to improve pharmaceutical properties, including reducing injection frequency.
The firm anticipates multiple value-driving catalysts within the next 12 months that could demonstrate the platform’s capabilities.
Meanwhile, Guggenheim’s analysis points to MBX 2109, a once-weekly peptide targeting a market opportunity that the firm estimates to be over $7 billion.
The anticipation of positive Phase 2 results by the third quarter of 2025 is expected to significantly increase the company’s share value.
Furthermore, Guggenheim notes MBX 1416, a once-weekly GLP-1 antagonist, as a potential platform-confirming treatment with expected Phase 1 results in the fourth quarter of 2024. The company “is also in the early stages of developing monthly incretin coagonists for obesity,” analysts highlighted.