- Mizuho Securities says that the Satsuma Pharmaceuticals Inc (NASDAQ:STSA) story is essentially unchanged. It remains bullish on STS101's potential as an effective, safe, and reliable intranasal dihydroergotamine (DHE) for migraine.
- It has adjusted its model to align STS101 pricing to Impel Pharmaceuticals Inc's (NASDAQ:IMPL) migraine treatment, Trudhesa.
- According to Drugs.com, Trudhesa costs around $900 per pack of four doses.
- The model update lowers the price target to $13 from $15, with a Buy rating.
- The management reaffirmed the timing of topline data for the pivotal SUMMIT trial in 4Q22, followed by a potential STS101 US marketing application filing in 1Q23.
- Related: Satsuma's STS101 Shows Favorable Pharmacokinetic Profile, Tolerability In Early-Stage Study.
- The long-term safety ASCEND trial is also expected to read out in 2H22.
- Satsuma ended 1Q22 with a cash balance of $80.6 million, sufficient to fund operations into 2H23 and through projected completion of the STS101 Phase 3 program and potential marketing application filing.
- Mizuho expects R&D expenses to trend upward in 1H22 and then taper down later as SUMMIT and ASCEND wrap up. It has also adjusted SG&A expenses, which assume pre-launch commercial activities to potentially commence later in 2023.
- Price Action: STSA shares are up 2.60% at $2.70 during the market session on the last check Friday.
