Roth ups CymaBay price target to $6


Roth Capital Partners raised its price target for CymaBay Therapeutics (NASDAQ:CBAY) to $6 from $4, citing a potential partnership for the company’s gout product. The stock closed at $1.79 on Thursday.

“Following conversations with management, we are more confident that CymaBay could ink a partnership for arhalofenate (gout) in the coming six-to-12 months,” writes analyst Sa’ar Yaniv.

“We believe a partnership would bridge the catalyst gap until additional data can be gleaned from MBX-8025’s primary biliary cholangitis/homozygous familial hypercholesterolemia (PBC/HoFH) programs; enhance CymaBay’s coffers, allowing it to advance the above programs; and increase confidence in management’s execution,” he added.

Arhalofenate (gout) is Phase 3-ready following end-of-Phase 2 discussions with the FDA.

“The drug has been studied in over 1,100 patients and we believe that it has substantial value that would be unlocked by a partnership,” Mr. Yaniv said. In addition, “we believe that the company is discussing potential terms, an additional indication that discussions are progressing.”


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