Biomea Fusion falls as Truist cuts to "hold"

Biomea Fusion

11/06/2024 12:25

** Biomea Fusion's shares  BMEA.O  fall ~5% to $4.10
premarket as Truist Securities cuts to "hold" from "buy"
    ** US FDA placed clinical hold on studies of Biomea's
diabetes drug on June 6 due to liver toxicity concerns
    ** Truist says lack of details on those concerns makes its
tough to estimate a resolution timeline and adds that cash
runway concerns are keeping investors on the sidelines 
    ** Expects stock to trade in a band until FDA hold is lifted
    ** Stock has sunk 62% in 2 sessions since the ruling
    ** Truist does not assign a PT due to recent volatility
    ** Now 3 brokers, incl Truist, rate BMEA 'hold' and 5
'buy'/'strong buy' - LSEG data
    ** 4 brokers have changed their PTs since the FDA; their PTs
are $5, $10, $21 and $45 -LSEG data

 (Reporting by Purvi Agarwal in Bengaluru)
 ((Purvi.Agarwal@thomsonreuters.com))