Citigroup Lowers Biomea Fusion Price Target to $9.00 Amid "Buy" Rating

Citigroup analyst Yigal Nochomovitz has lowered the price target for Biomea Fusion (BMEA) from $22.00 to $9.00, a 59.09% decrease. Despite this, the analyst maintains a "Buy" rating on the stock, indicating continued confidence in the company's long-term potential. The average price target for BMEA is $11.29, with a high estimate of $30.00 and a low estimate of $3.00.

On July 16, 2025, Citigroup analyst Yigal Nochomovitz announced a significant adjustment to the price target for Biomea Fusion (BMEA). The price target was lowered from $22.00 to $9.00, representing a substantial decrease of approximately 59.09% [1]. Despite this reduction, the analyst maintained a 'Buy' rating on the stock, indicating continued confidence in Biomea Fusion's long-term potential.

The updated price target from Citigroup aligns with the broader analyst consensus. The average price target for BMEA is $11.29, with estimates ranging from $3.00 to $30.00. This average target suggests a potential upside of 505.13% from the current price of $1.87 [1]. Furthermore, the consensus recommendation from 8 brokerage firms is a 'Strong Buy' rating, with an average recommendation score of 2.0 [1].

Investors in BMEA will be closely monitoring the impact of this price target adjustment on market sentiment and trading activities. The stock is listed on NASDAQ and has seen varied analyst opinions. While some analysts recommend a 'Strong Buy' or 'Buy' rating, others are more cautious, with one analyst rating it a 'Hold' [2]. Additionally, WallStreetZen's Zen Rating model rates BMEA as a 'Strong Sell', suggesting a potential downward trend in stock performance [2].

The earnings and revenue forecasts for BMEA indicate a challenging financial outlook. Analysts predict BMEA's earnings per share to remain negative over the next three years, with an average EPS of -$1.78 in 2025. Revenue is forecast to increase from $0 in 2025 to $210,066,450 in 2027, but the company is not expected to outperform the industry average in terms of revenue or earnings growth [2].

Biomea Fusion's Return on Equity (ROE) and Return on Assets (ROA) are also forecast to be weak, with ROE at -296.79% and ROA at -154.92%, both significantly below industry averages [2]. These financial metrics highlight the company's current operational challenges and the need for strategic improvement.

In conclusion, while Citigroup's price target adjustment for BMEA reflects a more conservative outlook, the maintained 'Buy' rating suggests a belief in the company's long-term potential. Investors should carefully consider the financial forecasts and analyst recommendations before making investment decisions.

References:
[1] https://www.gurufocus.com/news/2981721/biomea-fusion-bmea-stock-update-citigroup-lowers-price-target-bmea-stock-news
[2] https://www.wallstreetzen.com/stocks/us/nasdaq/bmea/stock-forecast