SVB starts NewAmsterdam Pharma at OP; PT $19


SVB Securities initiated coverage of NewAmsterdam Pharma (NASDAQ:NAMS) with an “outperform” rating and $19 price target. The stock closed at $11.31 on Dec. 19.

“We believe there is a place for NewAmsterdam’s obicetrapib to drive additional LDL-C [cholesterol] reduction in patients that are not at goal to achieve improved cardiovascular risk outcomes,” writes analyst Roanna Ruiz, Ph.D.

She said obicetrapib is a selective oral cholesteryl ester transfer protein inhibitor (CETPi) that has shown robust reductions in LDL-C of around 50% and other lipid markers linked to atherosclerotic cardiovascular disease with favorable safety/tolerability in Phase 2, which could differentiate it, compared with prior CETPi agents that failed historically due to molecule-specific reasons.

“We have more conviction in obicetrapib’s Phase 3 pivotal trials (BROADWAY, BROOKLYN, PREVAIL) potentially achieving positive results as they were optimized for achieving target efficacy endpoints … all of which were informed by learnings from prior CETPi failures and extensive feedback from U.S. and EU regulators,” Dr. Ruiz said.

She also pointed out that NewAmsterdam is exploring other indication expansion opportunities for obicetrapib, including Alzheimer’s disease in an ongoing Phase 2 program and diabetes.