Galapagos fall as MS downgrades to "underweight", cuts PT

Lakefront Biotherapeutics NV

14/02/2025 14:24

** U.S-listed shares of Belgium-based drug developer
Galapagos  GLPG.AS   GLPG.O  fall 1.2% to $25.1 premarket
    ** Morgan Stanley downgrades rating of GLPG to "underweight"
from "equal weight"; lowers PT to $22 from $31
    ** New PT represents a 13.7% downside to the stock's last
close
    ** GLPG is deprioritizing the development of its therapy
candidate GLPG5201 in chronic lymphocytic leukemia (CLL) and a
related condition, to expand development of lead therapy
GLPG5101
    ** GLPG5101 development will be expanded to diseases
including CLL, which is a type of blood cancer
    ** We downgrade GLPG to underweight as GLPG5101 has not yet
generated clinical data in the diseases - MS
    ** MS tempers probability of success for these indications
until it has better visibility on the efficacy of GLPG5101
within these patient populations
    ** MS also says it sees favorable conditions for the stock
due to limited competition in the market for this cancer
treatment
    ** Stock fell 34.7% in the last 12 months

 (Reporting by Padmanabhan Ananthan)
 ((Padmanabhan.Ananthan@thomsonreuters.com;))