Bull Call Spread Opens in Biotech into Key Catalysts
Edgewise (EWTX) jumps as 5000 October $22.5/$35 call spreads are bought for $2.30, a $1.7B Biotech trading 3.3X Cash and 5X FY28 revenue forecasts. EWTX will be sharing important updates on both our EDG-7500 and sevasemten programs over the coming months. Short interest rather low near 7% of the float. Wedbush named EWTX as a potential buyout target for Biogen. Wedbush likes the odds of EDG-7500 demonstrating improvements on gradient reduction with more limited effects on ejection fraction based on preclinical data and sees interesting opportunities also approaching with sevasemten in Becker muscular dystrophy and Duchenne muscular dystrophy. Piper believes EDG-7500 has broad potential in hypertrophic cardiomyopathy..