Now is the time to buy biotech company Kymera Therapeutics , as shares could jump more than 75% from here, Goldman Sachs said. Analyst Chris Shibutani initiated coverage of Kymera with a buy rating and a $40 price target, saying in a note to clients that shares are currently trading at an attractive entry for investors. “We see Kymera as uniquely positioned as a leading player in the emerging field of targeted protein degradation (TPD) and look for the company to advance multiple pipeline assets as novel first-in-class small molecule therapeutics addressing a range of serious diseases,” he wrote. Shibutani said the market is “taking an overly pessimistic view” of the potential for Kymera’s KT-474 drug, which is being developed to potentially treat a slew of immunologic diseases such as atopic dermatitis. Goldman sees this as part of the reason the stock is trading at its current levels, he said. “Our review of preclinical/clinical data, regulatory and commercial precedents, and perspectives from experts (cardiology, pharmacology) support our expectation that data updates should help rebuild confidence in the path forward and positively inflect sentiment,” he wrote. Shares of Kymera have plummeted more than 64% this year, but Goldman’s price target suggests shares could rally nearly 76% from Tuesday’s close price. — CNBC’s Michael Bloom contributed reporting.
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