Intellia Therapeutics: BMO Capital Lowers Price Target to $50 Amidst Strategic Reorganization

Intellia Therapeutics, a leading clinical-stage gene editing company, has seen its stock price take a hit in recent months, with BMO Capital lowering its price target to $50 from $70. This change in price target comes amidst a strategic reorganization by the company, which aims to focus resources on its key late-stage programs, NTLA-2002 for hereditary angioedema (HAE) and nexiguran ziclumeran (nex-z) for transthyretin (ATTR) amyloidosis. The company's stock price has decreased by -65.18% in the past year, and price targets may not have had time to catch up.

The average analyst rating for NTLA stock from 17 stock analysts is "Buy," indicating that analysts believe this stock is likely to outperform the market over the next twelve months. The 16 analysts with 12-month price forecasts for NTLA stock have an average target of $54.75, with a low estimate of $14 and a high estimate of $120. This average target predicts an increase of 436.76% from the current stock price of $10.20.

Intellia Therapeutics' strategic priorities and key anticipated 2025 milestones include completing enrollment in the Phase 3 HAELO study for NTLA-2002 in the second half of 2025 and submitting a Biologics License Application in the second half of 2026. The company also expects to enroll more than 550 patients by the end of 2024 in the ongoing Phase 3 MAGNITUDE study for nex-z in ATTR cardiomyopathy, tracking ahead of its target enrollment projections.

As part of its strategic reorganization, Intellia Therapeutics has discontinued development of NTLA-3001 and select research-stage programs. This decision is expected to result in a net workforce reduction of approximately 27% over the course of 2025. The company anticipates incurring charges of approximately $8 million associated with the reorganization, which are expected to be incurred in the first quarter of 2025.

Intellia Therapeutics ended the fourth quarter of 2024 with approximately $862 million in cash, cash equivalents, and investments. The combination of its cash balance and the anticipated cost savings is expected to provide the company with cash runway into the first half of 2027.

Laura Sepp-Lorenzino, Ph.D., Intellia's Chief Scientific Officer, has announced her retirement effective December 31, 2025, after more than 30 years of service in the biopharmaceutical industry and academia. Dr. Sepp-Lorenzino will transition from her role as CSO and continue as a Senior Scientific Advisor for the remainder of the year. Birgit Schultes, Ph.D., who has been leading Immunology and Cell Therapy since 2017, will be promoted to Executive Vice President and Chief Scientific Officer, effective January 13, 2025.



The strategic focus on NTLA-2002 and nex-z, along with the significant workforce reduction and key clinical milestones planned, is expected to support Intellia Therapeutics' operations into the first half of 2027 and through its anticipated first commercial launch in the U.S. However, the recent price target revision by BMO Capital to $50 reflects the challenges and uncertainties the company faces in executing its strategic plan and achieving its financial goals. Investors will closely monitor Intellia Therapeutics' progress in the coming months to assess the potential impact of these strategic changes on the company's stock performance.