Clear Street Maintains Buy Rating on LB Pharmaceuticals with $45 Price Target

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Summary · why it matters

Clear Street maintained a Buy rating and a $45 price target for LB Pharmaceuticals, stating that Neumora Therapeutics' Phase 3 KOASTAL trial setback does not materially impact the outlook for LB-102. The firm highlighted that LB-102 is supported by established dopamine D2/D3 and serotonin 5-HT7 receptor activity, along with prior clinical evidence from related therapies. LB-102 has shown strong Phase 2 results in schizophrenia, and the company's broader opportunities across schizophrenia, bipolar disorder, and major depressive disorder remain unchanged. In its fiscal first quarter 2026 earnings, LB Pharmaceuticals reported a net loss of $19.1 million, with research and development expenses rising to $14.6 million and general and administrative expenses to $7.5 million. The company ended the quarter with approximately $365.6 million in cash, cash equivalents, and marketable securities, expected to fund operations into the second quarter of 2029.

Impact on assets 3

Biotech & Genomic Medicine± Mixed
Neumora Therapeutics, Inc.
NMRA
▼ NegativeTechnologyrelevance

Neumora's Phase 3 KOASTAL trial setback is mentioned as a context that does not affect LB-102, but it is a negative for Neumora itself.

Off-coverage companies 1

Clear Streeti
Private± Mixedrelevance