Why Is Clearside Biomedical Stock Gaining Today?

Oppenheimer initiated coverage on Clearside Biomedical Inc CLSD, a biopharmaceutical company focused on delivering therapies to the back of the eye through the suprachoroidal (SCS) space.

Oppenheimer writes, “We consider Clearside a pioneer in suprachoroidal delivery via its suprachoroidal Microinjector that improves delivery of therapies for retinal diseases.”

Suprachoroidal drug delivery is an ocular route of drug administration.

The analyst writes that intravitreal injections have traditionally been the standard for delivering retinal treatments, but they can cause issues like uncontrolled dispersion.

Meanwhile, SCS injections provide a more targeted and compartmentalized delivery directly into the chorioretinal tissues, ensuring high concentrations and extended effectiveness.

Oppenheimer has initiated the coverage with an Outperform rating and a price target of $5.

Clearside Biomedical has five ongoing collaborations and is advancing its wholly-owned CLS-AX program, a proprietary suspension formulation of axitinib for wet age-related macular degeneration (wet AMD).

Moreover, ongoing strategic partnerships with Bausch + Lomb Corp BLCO and REGENXBIO Inc RGNX further validate the SCS Microinjector platform.

With Clearside Biomedical shares trading at a discount to peers, Oppenheimer sees an opportunity for meaningful appreciation with positive results from the upcoming Phase 2b ODYSSEY in wet AMD in the third quarter of 2024.

Sales of the top-selling treatments underscore the significant market potential for effective wet AMD treatments.

The global ophthalmic drugs market was valued at approximately $42.8 billion in 2022 and is projected to reach $59.1 billion by 2028.

Clearside’s strategic partnerships and the expansion of XIPERE into other indications (uveitic macular edema and diabetic macular edema) enhance its development capabilities and market reach, validating its technology and approach.

Oppenheimer writes, “With its unique broad mechanism of action inhibition, targeted delivery method, and strategic collaborations, Clearside is well positioned for success.”

Price Action: CLSD shares are up 14.35% at $1.23 at last check Tuesday.

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