Broker HC Wainwright is bullish on stem cell group Cynata Therapeutics Ltd (ASX:CYP) following encouraging early findings from clinical trials of its CYP-001 treatment for steroid-resistant graft-versus-host disease.
The data safety monitoring board has now recommended that the group's clinical trial progress to a second Cohort of patients.
Analyst Raghuram Selvaraju repeated a 'buy' stance and targets A$1.50 for the shares, which is more than double where they are now - at A$0.64 (up 8.47%).
"All eight participants in Cohort A have demonstrated at least a partial response, which is defined as an improvement in the severity of their graft-vs. host disease (GvHD) by at least one grade vs. baseline. In addition, thus far no treatment-related serious adverse events (SAEs) or safety concerns have been observed. Patient enrollment for Cohort B is now open at seven trial sites in the UK and Australia," said the analyst.
In Cohort B, it is planned that a further eight participants would receive two CYP-001 infusions each at a higher dose level - up to a maximum of 200M cells per infusion, the broker added.