UPDATE: Wedbush Initiates Coverage on Fate Therapeutics on Potential of Modified HSCs

In a report published Monday, Wedbush analyst David M. Nierengarten initiated coverage on Fate Therapeutics (NASDAQ: FATE) with an Outperform rating and $14.00 price target.

In the report, Wedbush noted, “FATE is developing modified hematopoietic stem cells (HSCs) to improve outcomes in allogeneic transplants. These modified HSCs could improve outcomes in hematological cancers and lysosomal storage diseases (LSDs), where stem cell transplants are the only potentially curative therapy. FATE's lead product candidate, ProHema, is comprised of ex vivo optimized HSCs derived from umbilical cord blood. A Phase Ib study of ProHema in patients undergoing stem cell transplants showed an improvement of 3 days in median engraftment time, relative to historical controls, and patients also experienced better outcomes in various secondary measures.”

Fate Therapeutics closed on Friday at $6.93.