Stifel nearly triples PT for GTx to $45 from $16

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Stifel nearly tripled its price target for GTx (NASDAQ:GTXI) to $45 from $16 after the company reported significant positive new data at the SUFU Winter Meeting for its Phase 2 proof-of-concept study testing, enobosarm, in female patients with stress urinary incontinence (SUI). The stock closed at $16.81 on March 2.

Analyst Adam Walsh writes that the incremental data included “outstanding” off-drug durability of effect on stress leaks/day; new MRI data, which demonstrated positive and statistically significant enobosarm impacts on key pelvic floor muscles, confirming mechanism of action; and new data, which showed enobosarm reduced mean urge leaks/day by 68% in patients with mixed SUI / urge incontinence phenotype.

“Most striking was the universally positive feedback we received from multiple key opinion leaders at the meeting, with predictions on probability of ultimate enobosarm approval (POS) in SUI ranging from a low of more than 50% to a high of 80% in our informal polling,” he added.

Dr. Walsh said Stifel has raised its POS to 35% from 20%, which drives its target price to $45 from $16.