Oppenheimer Assumes Coverage of Savara (SVRA) With an Outperform Rating

Savara Inc. (NASDAQ:SVRA) is one of the best biotech penny stocks to buy right now. On June 2, Oppenheimer assumed coverage of Savara Inc. (NASDAQ:SVRA) with an Outperform rating, bringing the price target down from $15 to $5.

Close-up of an inhaler, representing the inhalation of the molgramostim product candidate.

The rating update came after the company’s quarterly results, with management announcing that it attained a Refusal to File for its BLA for Molbreevi with the FDA requesting additional CMC data.

The firm noted that while this is unexpected, the fact that the RTF was not associated with efficacy or safety, and no additional efficacy trials were requested/recommended, is quite encouraging.

Oppenheimer still believes that Molbreevi is well-positioned for commercial success, supported by the strength of the Phase 3 IMPALA trial. This holds especially true considering the challenges of whole lung lavage and the lack of approved drug therapies.

Savara Inc. (NASDAQ:SVRA) is a clinical-stage pharmaceutical company that develops and commercializes novel therapies for serious or life-threatening rare respiratory diseases. The company’s program includes molgramostim, an inhaled formulation of recombinant human GM-CSF being developed to treat autoimmune pulmonary alveolar proteinosis.

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Disclosure: None. This article is originally published at Insider Monkey.