Quantum BioPharma Ltd. (NASDAQ: QNTM) (CSE: QNTM) has attracted a ‘Buy’ rating from Rodman & Renshaw, which initiated coverage with an $8.00 price target based on the company’s lead drug candidate, Lucid-MS. The drug is described as a potentially first-in-class non-immunomodulatory small molecule designed to address neurodegeneration and disability progression in progressive multiple sclerosis (MS), a condition where treatment options remain limited.
The analyst’s $8.00 price target reflects the firm’s valuation of Quantum BioPharma’s development pipeline, with Lucid-MS at the forefront. This endorsement underscores the potential significance of Lucid-MS in a therapeutic area that has seen few advances, particularly for patients with progressive forms of MS who experience worsening disability independent of relapses.
Lucid-MS is a patented new chemical entity that has shown in preclinical models the ability to prevent and reverse myelin degradation, the underlying mechanism of multiple sclerosis. This mechanism of action is distinct from existing immunomodulatory therapies, which primarily target the inflammatory aspects of the disease. If successful in clinical trials, Lucid-MS could offer a novel approach to treating the neurodegenerative components of MS, potentially slowing or even reversing disability progression.
The news is particularly important given the high unmet need in progressive MS. Current therapies are largely ineffective in this phase of the disease, and patients often face a steady decline in neurological function. A drug that directly targets myelin repair could represent a major advancement in the field.
Quantum BioPharma is a biopharmaceutical company dedicated to building a portfolio of innovative assets for the treatment of challenging neurodegenerative and metabolic disorders, as well as alcohol misuse disorders. Through its wholly owned subsidiary, Lucid Psycheceuticals Inc., Quantum is focused on the research and development of Lucid-MS. The company has also developed UNBUZZD(TM), an over-the-counter product aimed at alcohol misuse, and retains a 19.48% ownership stake in Unbuzzd Wellness Inc., which commercializes the product. Under the agreement, Quantum is entitled to royalty payments of 7% of sales from UNBUZZD(TM) until payments total $250 million, after which the royalty drops to 3% in perpetuity. Quantum retains 100% of the rights to develop similar products for pharmaceutical and medical uses.
For more information on Lucid-MS, visit this link. The latest news and updates relating to Quantum BioPharma are available in the company’s newsroom at https://nnw.fm/QNTM.
