Wells Fargo slashes PT on Cabaletta as autoimmune disorder drug disappoints

Cabaletta Bio

14/09/2022 16:24

** Wells Fargo cuts PT on Cabaletta Bio Inc  CABA.O  to $4
from $14 after CABA's experimental autoimmune disorder drug
disappoints in an early-stage study  urn:newsml:reuters.com:*:nL4N30J269
    ** Brokerage says though the data shows therapy is safe to
treat blistering skin disease known as mucosal pemphigus
vulgaris, evidence of the drug's efficacy "remains elusive" 
    ** The data has decreased probability of success across the
board for CABA's programs - Wells Fargo
    ** Also says higher dosing of the drug is unlikely to drive
additional activity as per data from the trial
    ** However, brokerage maintains "overweight" rating on the
stock citing higher cash reserves than its valuation 
    ** 6 of 7 brokerages rate the stock "buy" or higher, 1
"hold"; their median PT is $10.50 - Refinitiv data
    ** CABA shares, up 2.6% at 94 cents in morning trade, have
lost ~75% YTD

 (Reporting by Raghav Mahobe)
 ((Raghav.Mahobe@thomsonreuters.com;))