Wedbush reiterated an Outperform rating on Apogee Therapeutics, Inc. (APGE), a clinical-stage biotechnology company, and raised the twelve-month price target to $135 from $120.
Analyst David Nierengarten believes the recent price action presents a buying opportunity, as they see potential upside from a head-to-head comparison of Apogee's APG279, a co-formulation of Zumilokibart plus OX40L mAb APG990, against FDA-approved Dupixent in the second half of 2026 in atopic dermatitis.
Apogee Therapeutics develops biologics for the treatment of atopic dermatitis, asthma, eosinophilic esophagitis, chronic obstructive pulmonary disease, and other inflammatory and immunology indications.
Apogee develops Zumilokibart (APG777), a subcutaneous, extended-half-life monoclonal antibody for the treatment of atopic dermatitis, and is also evaluating it for asthma and eosinophilic esophagitis.The company also develops APG279 which is a combination therapy of Zumilokibart and APG990 being evaluated in atopic dermatitis.
On Wednesday, Apogee released positive 16-week Part B induction dose optimisation results from the Phase 2 APEX Trial of Zumilokibart in moderate-to-severe Atopic Dermatitis.
In the Phase 2 APEX clinical trial results, Zumilokibart met its primary and secondary endpoints with high statistical significance, including 65.9% of patients treated with mid-dose Zumilokibart achieving an Eczema Area and Severity Index (EASI) score of 75.
Apogee plans to move forward with the mid-dose, which achieved the best clinical activity and was well tolerated, in its Phase 3 trials.
Notably, Apogee expects to commence a registrational Phase 3 program in the second half of 2026, consisting of two replicate monotherapy studies and one steroid combination study.
Comparing Apogee APEX Part B Phase 2 results of Zumilokibart with the FDA-approved Regeneron Pharmaceuticals and Sanofi's Dupixent and Eli Lilly and Company's Ebglyss to treat atopic dermatitis and other inflammatory diseases, analyst David said, "APGE reported APEX Part B Phase 2 data that beat the historical efficacy reported for Dupixent and Ebglyss."
In addition, the company is planning indication-expansion studies for Zumilokibart, including a Phase 2b ASPIRE trial in asthma, beginning in the first half of 2027, and a proof-of-concept Phase 1b ELEVATE trial in eosinophilic esophagitis, planned for the second half of 2026.
The company also develops APG273, which is under evaluation for the treatment of asthma and chronic obstructive pulmonary disease; and APG808 for the treatment of Type 2 allergic diseases.
In the first quarter, the net loss expanded to $74.11 million from $55.34 million in the prior year.
As of March 31, 2026, the company had cash and cash equivalents of $1.3 billion, and Apogee expects it to fund operating expenses into 2029.
In addition, on Wednesday, the company announced a strategic financing collaboration with funds managed by Blackstone Life Sciences for up to $1.3 billion in flexible, non-dilutive capital to support the continued development and potential commercialisation of Zumilokibart.
APGE has traded between $34.34 and $95.32 over the last year. The stock closed Wednesday's trade at $77.75, down 6.11%.
In the after-hours market, APGE is up 0.32% at $78.
For comments and feedback contact: editorial@rttnews.com
Business News
May 22, 2026 14:46 ET Minutes of the latest Fed policy session was the highlight of the week along with survey data on the U.S. housing market. In Europe, survey data signaled the trends in the euro area private sector. Further, consumer price inflation data from the U.K. was in focus. In Asia, various economic indicators from China drew attention to the health of the economy.