Oppenheimer downgrades Ventyx to perform, removes price target (VTYX)

Oppenheimer downgraded its ranking of Ventyx Biosciences (NASDAQ:VTYX) to carry out, citing the corporate’s resolution to discontinue growth of its drug VTX958 for plaque psoriasis and psoriatic arthritis because of disappointing Section 2 medical information.

Oppenheimer stated that Ventyx nonetheless maintains a “wholesome” steadiness sheet of $301M as of the top of Q3. The corporate additionally has a number of medical stage packages, with Section 1 and Section 2 outcomes for 2 compounds focusing on NLRP3 anticipated in Q1 2024.

The funding financial institution stated VTX958 represented round 85% of the worth in its fashions for the corporate. It added that disappointing outcomes for VTX958 and one other drug, VTX002, “has us shifting to the sidelines whereas the corporate adjusts.”

Oppenheimer additionally eliminated its worth goal on the inventory.