Rothschild Redburn analyst Qize Ding initiates coverage on Apogee Therapeutics Inc (NASDAQ: APGE) with a Buy rating and a price target of $140.00.

The analyst comments: "Apogee Therapeutics is a US clinical-stage biotechnology company developing novel long-acting antibody-based therapeutics for treatment of immunology indications. The lead asset is APG777, which is a phase 3-ready asset in development for AD, with launch in 2029. AD is a fast-growing market (a 2026E-31E CAGR of c10%), with up to c$35bn in global sales by 20301 versus $15-18bn today.

The ongoing phase 2 part-B data in AD, due by 2Q26, is the focal point of investor debate. Our analysis suggests a high probability of APG777 replicating its phase 2 part-A data and showing similar data relative to the standard-of-care therapy. In addition, we do see room for further improvement of efficacy from a higher dose of APG777, as well as the combination therapy APG279. Based on our expert discussions, APG777 is differentiated by its much lower dosing frequency, and any further improvement in efficacy could make it potentially best-in-class.

We estimate a market opportunity of c$9bn for APG777 (above consensus estimates of $7bn) in first line and APG279, with $2.9bn unadjusted peak sales in second line (above consensus estimate of $1.3bn). The five-year sales CAGR is estimated at c97% (2029E-34E) and the company should, on our forecasts, turn profitable in 2032."

For an analyst ratings summary and ratings history on Apogee Therapeutics Inc click here. For more ratings news on Apogee Therapeutics Inc click here.

Shares of Apogee Therapeutics Inc closed at $82.89 yesterday.