Ladenburg Thalmann initiated coverage of Tryp Therapeutics (OTCQB:TRYPF; CSE:TRYP) with a “buy” rating and $2 price target. The stock closed at 37 cents on Aug. 25.
Tryp is focused on developing psychedelic compounds with known activity and/or safety profiles for the treatment of diseases with high unmet medical needs.
Analyst Michael Higgins writes that the company is on track to test 25mg psilocybin capsules in six Phase 2a, proof-of-concept trials, beginning in the second half of 2021, with data readouts from three programs in the first half of 2022.
More than a dozen secondary endpoints are to be collected from each study as Tryp and its advisors assess the ability of psilocybin to benefit weekly psychotherapy sessions in patients suffering from chronic pain conditions (fibromyalgia, phantom limb pain, complex regional pain syndrome) and eating disorders (binge eating, hypothalamic obesity, Prader-Willi syndrome).
“We find these are appropriate neurologically based conditions to test psilocybin’s ability to reset the neurological connections between memory and emotion,” Mr. Higgins said.
