Kymera Therapeutics (KYMR): Valuation Check After KT-621 Phase 1b Success and FDA Fast Track Nod

Kymera Therapeutics (KYMR) just gave investors a one two punch of good news, with upbeat Phase 1b data for its oral STAT6 degrader KT-621 in atopic dermatitis and an FDA Fast Track designation.

See our latest analysis for Kymera Therapeutics.

The latest Fast Track nod and strong KT-621 data help explain why Kymera’s 30 day share price return is 29.57% and year to date share price return is 105.40%. This reinforces an already powerful 3 year total shareholder return of 217.18% and suggests momentum is still building despite recent fundraising.

If this kind of biotech momentum has your attention, it is worth scanning healthcare stocks to uncover other healthcare names with similarly compelling stories taking shape.

Yet with Kymera still loss making, fresh off a hefty equity raise, and trading roughly 38% below consensus targets, investors now face a key question: is this a genuine entry point or is future growth already priced in?

Most Popular Narrative: 26.3% Undervalued

With Kymera shares last closing at $83.99 versus a most popular narrative fair value of $114, the story points to substantial upside if its assumptions land.

The fair value estimate has risen significantly from $77.59 to $114.00, implying a markedly higher long term upside scenario for Kymera shares. The future P/E multiple has increased substantially from roughly 1,196.7x to 2,010.8x, highlighting a higher valuation being ascribed to anticipated future earnings power.

Read the complete narrative.

Curious what justifies a valuation jump of this size? The narrative leans on aggressive revenue scaling, margin expansion and a sky high future earnings multiple. Want to see how those pieces actually fit together, and which long range assumptions carry the most weight in reaching that triple digit fair value?

Result: Fair Value of $114 (UNDERVALUED)

Have a read of the narrative in full and understand what's behind the forecasts.

However, mounting R&D spend and Kymera’s heavy reliance on KT-621’s success mean any clinical stumble could quickly challenge that upside narrative.

Find out about the key risks to this Kymera Therapeutics narrative.

Build Your Own Kymera Therapeutics Narrative

If you see the story differently or want to dig into the numbers yourself, you can build a personalized narrative in just a few minutes: Do it your way.

A great starting point for your Kymera Therapeutics research is our analysis highlighting 1 key reward and 4 important warning signs that could impact your investment decision.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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