Kodiak spikes as J.P. Morgan upgrades on eye disease drug, KSI-101

[Wall Street sign in Lower Manhattan, NYC]
georgeclerk

Kodiak Sciences (NASDAQ:KOD [https://seekingalpha.com/symbol/KOD]) added ~7% in the premarket on Friday after J.P. Morgan upgraded the eye drug developer, arguing that its experimental therapy KSI-101, which is a bispecific protein targeting IL-6 and VEGF, has been derisked by a recent data readout from Roche (OTCQX:RHHBY [https://seekingalpha.com/symbol/RHHBY]).

Upgrading the stock to Overweight from Neutral, analyst Anupam Rama pointed to Kodiak’s (NASDAQ:KOD [https://seekingalpha.com/symbol/KOD]) Phase 3 PEAK and PINNACLE studies for KSI-101 in macular edema secondary to inflammation, which are expected to read out in Q4 2026 and Q1 2027, respectively.

Rama noted recent data Roche (OTCQX:RHHBY [https://seekingalpha.com/symbol/RHHBY]) disclosed from its MEERKAT and SANDCAT Phase 3 trials for its IL-6-targeting monoclonal antibody, vamikibart, in uveitic macular edema, a rare inflammatory eye disease. [https://seekingalpha.com/pr/20270760-genentech-presents-new-phase-iii-pivotal-data-for-vamikibart-in-uveitic-macular-edema-ume-a]

“The recent competitive MEERKAT / SANDCAT updates for vamikibart underscore evidence that IL-6 is a viable mechanism in inflammatory ocular diseases,” Rama wrote, noting that the readout derisks KSI-101. The analyst raised his price target on KOD to $24 from $15 per share.

MORE ON KODIAK SCIENCES

* Kodiak Sciences: Odds May Be Narrowing For Longer Lasting Eye Disease Med Approval [https://seekingalpha.com/article/4816031-kodiak-sciences-odds-narrowing-for-longer-lasting-eye-disease-med-approval]
* Kodiak gains as Barclays upgrades on Roche data for eye disease drug [https://seekingalpha.com/news/4499055-kodiak-stock-upgraded-barclays-roche-data]
* Seeking Alpha’s Quant Rating on Kodiak Sciences [https://seekingalpha.com/symbol/KOD/ratings/quant-ratings]
* Historical earnings data for Kodiak Sciences [https://seekingalpha.com/symbol/KOD/earnings]
* Financial information for Kodiak Sciences [https://seekingalpha.com/symbol/KOD/income-statement]