TD Cowen analyst Ritu Baral downgrades $Sage Therapeutics (SAGE.US)$ to a hold rating, and adjusts the target price from $16 to $10.
According to TipRanks data, the analyst has a success rate of 44.0% and a total average return of 8.7% over the past year.
Furthermore, according to the comprehensive report, the opinions of $Sage Therapeutics (SAGE.US)$'s main analysts recently are as follows:
Following the Phase 2 LIGHTWAVE study results, where dalzanemdor did not meet the primary endpoint in Alzheimer's disease, and the subsequent decision by Sage Therapeutics to halt further development for this indication due to the negative outcome, there remains a cautious outlook on the company. Despite this setback, Sage Therapeutics anticipates releasing top-line Phase 2 data from the DIMENSION trial investigating dalzanemdor in Huntington's disease later in the year. Moreover, initial promising results from the SURVEYOR study offer some clinical validation. Nevertheless, it is emphasized that substantial clinical validation is essential to mitigate the risks associated with the program.
Sage Therapeutics' Phase 2 LIGHTWAVE study of dalzanemdor in mild AD/MCI did not meet its primary goal, failing to show a statistically significant improvement from baseline on the primary endpoint of change in WAIS-IV score. The analyst acknowledges that this outcome had not been factored into their projections. Consequently, Sage will halt further development of dalzanemdor in AD, while still expecting data from the DIMENSION trial in Huntington's disease by the fourth quarter of 2024. The analyst expresses a cautious stance regarding the potential for the Huntington's disease trial results to demonstrate significant benefits, given dalzanemdor's previous unsuccessful outcomes.
Sage Therapeutics' announcement of the LIGHTWAVE trial's failure for dalzanemdor in Alzheimer's disease has shifted the entire investor focus onto the prospects of Zurzuvae.
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