BofA Names this Drugmaker a Top Pick on Promising Kidney Drug Data

Investing.com -- BofA Securities kept this drugmaker a “top pick” and reiterated its “buy” rating and $667 price objective after the company presented new kidney drug data at the American Society of Nephrology meeting.

Full results from the RAINIER trial of Vertex’s povetacicept in IgA nephropathy, published in the New England Journal of Medicine, showed 42% of treated patients reached the target for protein in urine of below 0.5 g/g at week 36, versus 6% on placebo, BofA said.

Average levels of the immune protein immunoglobulin G fell 38%, compared with 32% and 36% reductions reported for rival drugs sibe and atacicept. No patients stopped treatment because levels dropped below 150 mg/dL.

Povetacicept faces a Nov 30 PDUFA date. Management does not expect insurers to require patients to try other IgA nephropathy therapies first and plans a bridge program ahead of formal coverage.

About 70% of IgA nephropathy patients are commercially insured, management said, and Vertex has engaged with the three major pharmacy benefit managers since July 2025, with coverage updates expected in the first half of 2027.

The next major kidney-drug event is an early-2027 interim analysis of the AMPLITUDE trial of inaxaplin, which is fully enrolled at 522 patients; the analysis is expected to include a couple hundred patients.

Management sees its kidney portfolio as a potential franchise of about $10 billion.

BofA values povetacicept in IgA nephropathy at $28 per share. Downside risks include payer pushback on pricing, difficulty securing reimbursement in the EU, clinical trial failures and new competitors in cystic fibrosis.

Original Article

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