H.C. Wainwright has maintained a Buy rating and a $4 price target on Biomea Fusion Inc. after progress in the enrollment of its COVALENT-211 trial, a mid-stage study evaluating the investigational menin inhibitor icovamenib in insulin-deficient type 2 diabetes patients.
The analyst also highlighted the ongoing COVALENT-212 trial, which is assessing icovamenib in type 2 diabetes patients inadequately controlled on GLP-1-based therapy. Enrollment for COVALENT-212 is expected to conclude by the end of 2026, with topline data anticipated in the second quarter of 2027.
Biomea Fusion’s shares, listed on the NASDAQ under the ticker BMEA, were trading at $1.68 on Friday, giving the company a market capitalization of approximately $121 million. H.C. Wainwright’s $4 target implies a potential upside of roughly 138% from current levels. The firm’s price target range for Biomea Fusion spans from $4 to $9, according to InvestingPro data.
The COVALENT-211 trial is a 12-week, randomized, placebo-controlled study involving 64 participants across 18 clinical sites. Participants are assigned to receive either icovamenib at 100 mg once daily or a placebo in a 2:1 ratio, added to stable background therapy. Following the 12-week treatment period, the trial includes a 40-week off-treatment follow-up to evaluate the durability of responses at weeks 26 and 52.
Prior clinical data from the COVALENT-111 trial demonstrated significant and sustained reductions in HbA1c levels and increases in C-peptide, with effects persisting for nine months post-dosing in distinct type 2 diabetes populations. Biomea is also collaborating with the University of Leicester’s Leicester Diabetes Centre, led by Professors Melanie Davies and Thomas Yates, on the OPAL platform trial. This initiative is exploring icovamenib in combination with semaglutide for weight management, aiming to assess potential enhancements in weight reduction outcomes.
