H.C. Wainwright lowered its price target for Plus Therapeutics Inc. (NASDAQ:PSTV) to $1.00 from $2.00 on Thursday, maintaining a Buy rating on the biotech firm. This updated target implies considerable upside relative to the stock's current price near $0.28, which is approximately 88% below the peak price of $2.31 recorded over the past 52 weeks.
The revision follows a corporate update and a 2026 outlook shared by Plus Therapeutics' management on January 22. The research firm attributed the downward adjustment primarily to the company's recent equity offering and the anticipated potential exercise of corresponding warrants associated with that financing.
Plus Therapeutics’ management has outlined expectations to meet several commercial milestones by 2026. However, H.C. Wainwright's report did not disclose detailed specifics regarding these anticipated achievements. Despite the significant reduction in the price target by 50%, the analyst maintained a positive investment view by upholding its Buy recommendation.
Expanding on recent developments, Plus Therapeutics completed a $15 million public offering, pricing each unit at $0.38. This fundraising consisted of common stock shares and warrants, designed to extend the company's financial resources through 2027.
Looking forward, the company's strategic priorities center on the commercialization of its CNSide diagnostic test and ongoing clinical trials for its REYOBIQ radiopharmaceutical treatment. Of note, Plus Therapeutics recently engaged in a Type B meeting with the FDA concerning the REYOBIQ trial strategy targeting leptomeningeal metastases. The FDA advised that the study should focus on a well-established clinical benefit endpoint, such as overall survival, to demonstrate efficacy.
Additional progress includes CNSide Diagnostics, a subsidiary of Plus Therapeutics, broadening its laboratory licenses to encompass California, Rhode Island, and Maryland. This expansion broadens the company's licensed footprint to a total of 48 states, underscoring its commitment to enhancing diagnostic capabilities alongside therapeutic development.
These corporate actions and regulatory interactions highlight Plus Therapeutics' dual emphasis on scaling diagnostic infrastructure while advancing clinical development programs.