William Blair launched coverage of Solid Biosciences (NASDAQ:SLDB) with an “outperform” rating. The stock closed at $14.25 on March 27.
Solid Biosciences is a development-stage biotechnology company transitioning to novel gene therapies for rare neuromuscular and cardiac diseases.
Analyst Tim Lugo writes that new management brings a fresh look at gene therapy with a focus on low-dose/high-expression therapies and controlling all manufacturing in-house, “which we believe is a significant differentiator for Solid from its small-cap gene therapy peers.”
“We believe Solid Biosciences is entering a period in which it will be a fast follower in Duchenne muscular dystrophy (DMD) and is developing cardiac gene therapies to address some of the most prevalent rare diseases that could ultimately be first- and best-in-class blockbusters for the company,” he added.
Mr. Lugo said expression data, which is anticipated in the second half of 2024, should be strong, and if the safety profile is clean, “we would expect this to be a catalyst for shares to spike severalfold.”
“In addition, we anticipate the initiation of the company’s second program in catecholaminergic polymorphic ventricular tachycardia (CPVT), which we view as a potentially even larger driver of value than DMD,” he added.
