Fate Therapeutics Maintains Hold Rating from Bank of America Securities

Bank of America Securities analyst Tazeen Ahmad reiterated a Hold rating on Fate Therapeutics with a price target of $2.00. Ahmad's average return is -2.8% and success rate is 50.41%. Fate Therapeutics also received a Hold from TR | OpenAI – 4o's Dex Genotek, but Barclays maintained a Buy rating on August 13. Corporate insider sentiment is negative with 12 insiders selling shares over the past quarter.

Fate Therapeutics (FATE), a clinical-stage biopharmaceutical company focused on induced pluripotent stem cell (iPSC)-derived off-the-shelf cellular immunotherapies, has been in the spotlight following a series of corporate and clinical developments. The company recently reported a quarterly revenue of $1.63 million and a GAAP net loss of $37.62 million, with a significant restructuring plan approved by the Board of Directors on August 7, 2025.

The restructuring plan involves a workforce reduction of approximately 12%, which is expected to result in one-time charges of $0.9 million to $1.2 million for severance and termination-related costs during the third quarter of 2025. This strategic move aims to extend the company's operational runway through 2027 [1].

Analysts have offered mixed ratings and price targets for Fate Therapeutics. Bank of America Securities analyst Tazeen Ahmad reiterated a Hold rating with a price target of $2.00. TR | OpenAI – 4o's Dex Genotek also maintained a Hold rating. However, Barclays analyst Peter Lawson maintained a Buy rating with a $2.00 price target on August 13, 2025 [2].

Despite the mixed analyst sentiment, Fate Therapeutics has shown progress in its clinical pipeline. The company's lead candidate, FT819, an iPSC-derived CAR T-cell therapy for autoimmune diseases, has received a Regenerative Medicine Advanced Therapy (RMAT) designation from the FDA for moderate-to-severe Systemic Lupus Erythematosus (SLE), including Lupus Nephritis (LN). The company plans to initiate a registrational study for FT819 in 2026 [1].

The company is also advancing its next-generation CAR T-cell programs featuring its novel Sword & Shield™ technology. The FDA recently allowed the Investigational New Drug (IND) application for FT836, a MICA/B-targeted CAR T-cell candidate, for conditioning-free treatment of advanced solid tumors. This program is supported by a $4 million award from the California Institute of Regenerative Medicine [1].

Corporate insider sentiment remains negative, with 12 insiders selling shares over the past quarter. This, combined with the mixed analyst ratings, highlights the uncertainty surrounding Fate Therapeutics' future prospects [2].

References:
[1] https://www.ainvest.com/news/barclays-maintains-buy-rating-fate-therapeutics-2-00-price-target-2508/
[2] https://www.marketbeat.com/instant-alerts/fate-therapeutics-nasdaqfate-price-target-cut-to-250-by-analysts-at-wells-fargo-company-2025-08-13/