Huge uplift predicted for Mesoblast, page-4

Huge uplift predicted for Mesoblast

Barclay Pearce Capital (BPC) has increased its target price on Mesoblast (ASX:MSB) from $1.44 to $1.72 (versus current share price of $0.92).
Mesoblast is a biotech which engages in the development of the mesenchymal lineage adult stem cell technology platform.
Its medicines target the cardiovascular diseases, spine orthopaedic disorders, oncology and hematology, immune-mediated, and inflammatory diseases.
BCP sees strong tailwinds for Mesoblast, underpinned by the biotech’s solid pipeline.
Earlier this month, the US FDA accepted Mesoblast’s resubmission of its biological licence application for remestemcel-L in the treatment of children with steroid-refractory acute graft versus host disease (SR-aGVHD).
The FDA said it considered the resubmission to be a complete response, and has now set a Prescription Drug User Fee Act (PDUFA) goal date of August 2, 2023.
Other programs in Mesoblast’s pipeline include Rexlemestrocel-L, which has been approved by the FDA for chronic back pain, with the pivotal Stage 3 trial expected to commence mid this year.
Mesoblast has also recently published its DREAM-HF Phase 3 trial results in the peer-reviewed journal for cardiovascular medicine, the Journal of the American College of Cardiology (JACC).
The results of this study in 537 patients showed that Mesoblast’s mesenchymal precursor cell therapy (MPCs; rexlemestrocel-L) strengthened heart function at 12 months, as measured by left ventricular ejection fraction (LVEF).
“We are updating our price target from $1.44 to $1.72 and maintaining our Buy recommendation. The price target is underpinned by our valuation,” said the recent note from BPC.