Why Did Mizuho Upgrade This Biotech Stock Focused On Age-Related Eye Diseases?

Mizuho upgraded Unity Biotechnology Inc UBX to Buy from Neutral with a price target of $7, up from $5 after Unity announced longer-term Phase 1 data for UBX1325 in diabetic macular edema (DME) and wet age-related macular degeneration (AMD).
Analyst Salim Syed expects some investor sentiment shift to begin at this point for this "underfollowed" stock.
He sees "potential greater de-risking" to come with the Phase 2a sham-controlled dataset due in 1H of 2022.
Yesterday, Unity announced 24-week data from its Phase 1 single ascending dose (SAD) safety study of UBX1325.
Patients with DME in higher dose cohorts showed a mean BCVA gain of approximately 10 ETDRS letters sustained through 24 weeks after a single intravitreal injection.
Patients with wet AMD showed improved visual acuity through 12 weeks, supporting the initiation of Phase 2 study in AMD.
UBX ended Q3 with cash, cash equivalents, and marketable securities of $88.5 million.
Related Link: Unity Biotechnology Stock Falls After Updated Data From Wet AMD Candidate.
Price Action: UBX shares are up 25.7% at $3.23 during the market session on the last check Wednesday.