Shattuck earns new Overweight at Piper Sandler ahead of upcoming catalysts

[Republican Politics and Wall Street]
Douglas Rissing

Shares of Shattuck Labs (STTK [https://seekingalpha.com/symbol/STTK]) climbed on Wednesday after Piper Sandler launched its coverage with an Overweight rating and a $15 per share target ahead of key catalysts for the company’s lead candidate SL-325.

Analyst Yasmeen Rahimi cited a compelling opportunity to own Shattuck (STTK [https://seekingalpha.com/symbol/STTK]) ahead of initial results from a Phase 1 trial and potential mid-stage trial initiations for the candidate against inflammatory bowel disease expected in Q2 and around Q3 this year, respectively.

Rahimi noted that SL-325’s mechanism of action has been validated by nearly eight drugs targeting TL1A, a protein that causes inflammation through interaction with a receptor known as DR3, which Shattuck’s candidate is designed to block.

“Hence, SL-325 offers a differentiated approach to treat IBD patients where receptor blockade is expected to provide durable inflammation protection with a greater inhibitory effect,” the analyst wrote.

MORE ON SHATTUCK LABS

* Shattuck Labs: "Hold" On Oncology Exit And Competitive TL1A/DR3 Pathway Pivot [https://seekingalpha.com/article/4860553-shattuck-labs-hold-rating-on-oncology-exit-and-competitive-tl1adr3-pathway-pivot]
* Seeking Alpha’s Quant Rating on Shattuck Labs [https://seekingalpha.com/symbol/STTK/ratings/quant-ratings]
* Historical earnings data for Shattuck Labs [https://seekingalpha.com/symbol/STTK/earnings]
* Financial information for Shattuck Labs [https://seekingalpha.com/symbol/STTK/income-statement]