Buy Rating Affirmed for Gain Therapeutics Amid Positive Clinical and Financial Performance

Analyst Ram Selvaraju from H.C. Wainwright reiterated a Buy rating on Gain Therapeutics (GANX – Research Report) and keeping the price target at $9.00.

Ram Selvaraju has given his Buy rating due to a combination of factors related to Gain Therapeutics’s promising clinical developments and financial performance. The analyst points to the positive outcomes from the Phase 1 trial of GT-02287, Gain’s leading clinical-stage compound, which has shown a favorable safety and tolerability profile. Furthermore, the drug’s potential as a best- and first-in-class candidate for GBA1 Parkinson’s disease is strengthened by the appropriate range of plasma exposure levels achieved after oral administration. These developments suggest that GT-02287 may progress into proof-of-concept clinical development before the year’s end, provided that upcoming data remains favorable.

From a financial standpoint, Gain Therapeutics reported first-quarter financials that exceeded expectations with a net loss per share lower than forecasted, largely due to significantly reduced operating expenses. Additionally, with the appointment of Gene Mack, an individual with extensive experience in life sciences and finance, as Chief Financial Officer, the company seems well-positioned for strategic financial management. The current cash reserves are anticipated to fund operations into 2025, which aligns with the company’s clinical development timeline. These factors, combined with the potential for GT-02287 to advance in its clinical trials, underpin Selvaraju’s Buy rating and 12-month price target for Gain Therapeutics.

Based on the recent corporate insider activity of 8 insiders, corporate insider sentiment is positive on the stock. This means that over the past quarter there has been an increase of insiders buying their shares of GANX in relation to earlier this year.

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Gain Therapeutics (GANX) Company Description:

Gain Therapeutics Inc is a development-stage biotechnology company developing novel therapeutics to treat diseases caused by protein misfolding, with an initial focus on lysosomal storage disorders (LSDs), including rare genetic diseases and neurological disorders. Its pipeline includes the GLB1 gene, GBA1 gene, IDUA gene, and GALC gene.