Definium up as J.P.Morgan starts with 'overweight' rating on LSD-based therapy
BUZZ-Definium up as J.P.Morgan starts with 'overweight' rating on LSD-based therapy Updates
** Shares of Definium Therapeutics DFTX.O rise 7.4% to $36.7
** Stock is on track for its biggest one-day gain since June, if gains hold
** J.P.Morgan initiates coverage with an "overweight" rating and an $84 price target
** Brokerage says Definium's lead drug candidate, DT120 ODT, could help shift the treatment paradigm in neuropsychiatric disorders
** Sees DT120 ODT, an oral formulation of LSD being developed for major depressive disorder and generalized anxiety disorder, as a "derisked asset" based on data
** New PT represents 145.7% upside to the stock's last close
** "While macro changes could represent a potential risk to an investment in the space, we see more pros than cons for Definium," brokerage says
** Expects a "milestone-rich" period ahead, including application for FDA approval in H1 2027
** Brokerage estimates DT120 ODT could generate nearly $5 billion in combined sales by 2035
** Including session moves, stock has more than doubled YTD
(Reporting by Siddhi Mahatole)