Buy Rating Affirmed for Olema Pharmaceuticals on Strong Clinical Trial Data for Palazestrant and Ribociclib Combination

Yigal Nochomovitz, an analyst from Citi, maintained the Buy rating on Olema Pharmaceuticals (OLMA – Research Report). The associated price target remains the same with $20.00.

Yigal Nochomovitz’s rating is based on the promising initial data from the combination of palazestrant and ribociclib in clinical trials. The evaluation of the combination therapy showed a satisfactory safety profile, particularly in the area of neutropenia, which is a critical adverse effect to consider. The therapy also demonstrated consistent exposure levels when paired with ribociclib, which is considered an important advantage over competing treatments. Additionally, the efficacy of the treatment appears to be balanced across different genetic mutations, suggesting that it could be widely applicable to various patient groups, further supporting the Buy rating.
Despite the relatively immature data set and a unique calculation methodology for the Clinical Benefit Rate (CBR), Nochomovitz believes that the potential of the drug is strong enough to merit advancement into Phase 3 trials. The expectation of future data releases, which will provide a more mature and comparable dataset, also contributes to the confidence in the stock’s potential. With a projected substantial return on share price and the anticipation of further efficacy data, particularly regarding the key regulatory endpoint of progression-free survival, the analyst maintains a Buy recommendation for Olema Pharmaceuticals.

In another report released yesterday, LifeSci Capital also maintained a Buy rating on the stock with a $29.00 price target.

OLMA’s price has also changed dramatically for the past six months – from $16.820 to $9.850, which is a -41.44% drop .

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Olema Pharmaceuticals (OLMA) Company Description:

Olema Pharmaceuticals inc is a clinical-stage biopharmaceutical company. It is focused on the discovery, development, and commercialization of next generation targeted therapies for women’s cancers. Its therapies offer the potential to improve outcomes for women living with cancer. The company has completed discovery and preclinical studies of OP-1250.