aTyr Pharma's Cash Runway Secured till 2026, Despite Lack of Material Catalysts: Oppenheimer Analyst

Oppenheimer has downgraded aTyr Pharma Inc LIFE to Perform from Outperform, citing a few material catalysts in the next few quarters. The analyst has also removed the price target of $17.

The analyst says that aTyr is in a fallow period until 2024/25 from the perspective of data readouts. 

The lead program in pulmonary sarcoidosis (PS), in the Phase 3 global study, is the company's main focus now; patient recruitment will take time, and inclusion/exclusion criteria are complex (study completion estimated in 2025). 

The analyst says it would look to greater visibility on patient recruitment and trial progress before re-evaluating the view. 

The second program in the Phase 2 study (N=25 SScILD patients) should enroll quicker than the pivotal trial (EFZO-FIT)—initiation is slated for 3Q23, with data readout by Y2024, an ambitious schedule, the analyst says.

Oppenheimer notes a lack of visibility on EFZO-Fit recruitment and the absence of material catalysts in the next 6-18 months.

As of March 31, the company's cash balance was $117.6 million, sufficient to provide a cash runway into 2026.

Price Action: LIFE shares are down 5.61% at $2.11 during the premarket session on the last check Wednesday.