Sagimet Biosciences' (SGMT) planned phase 3 study of denifanstat as acne treatment should have a high probability of success based on previous clinical data and expert opinion, Wedbush Securities said in a Thursday note.
Wedbush said the product candidate continued to demonstrate improvement across all co-primary endpoints and key secondary endpoints after the main 12-week treatment period and adverse effects were consistent overall.
Denifanstat has the potential to be approved as a front-line therapy for moderate to severe acne, based on its mechanism of action that normalizes sebum production, along with strong safety and tolerability, the brokerage noted.
Top-line data from the phase 3 study could be ready by year-end 2027 to back a new drug application in 2028, Wedbush added.
Wedbush has an outperform rating and $28 price target on Sagimet Biosciences.
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