As of February 11, 2025, Travere Therapeutics (NASDAQ: TVTX) experienced a significant surge in its stock price, closing at $23.96, up approximately 13.56% from the previous day’s close. This notable increase is primarily attributed to positive developments concerning the company’s lead therapy, FILSPARI (sparsentan), and favorable regulatory interactions.
Regulatory Progress with FILSPARI
Travere Therapeutics announced a successful Type C meeting with the U.S. Food and Drug Administration (FDA) regarding FILSPARI for the treatment of focal segmental glomerulosclerosis (FSGS), a rare kidney disorder. The company plans to submit a supplemental New Drug Application (sNDA) by the end of the first quarter of 2025. This submission timeline suggests minimal additional work is needed, which is viewed as a strong positive by investors and analysts.
Analyst Upgrades and Increased Price Targets
Following the regulatory update, several financial analysts have revised their outlooks for Travere Therapeutics. Wells Fargo analyst Mohit Bansal upgraded the stock to “Overweight” and increased the price target to $27, citing the streamlined submission process and potential for FILSPARI in treating FSGS. The firm estimates about 30% upside, with a fair value of $27-$30 per share, assuming a 60%-70% probability of success.
Additionally, the consensus among 12 Wall Street analysts is a “Strong Buy,” with an average price target of $29.44, indicating a potential upside of approximately 22.9% from the current price. The highest analyst price target is $45.00, while the lowest is $22.00.
Market Performance and Investor Sentiment
The market responded positively to these developments, with Travere’s stock reaching a new 52-week high of $25.29 during intraday trading. The increased trading volume and upward price movement reflect heightened investor confidence in the company’s strategic direction and the anticipated approval of FILSPARI for FSGS.
Conclusion
Travere Therapeutics’ stock appreciation is driven by significant regulatory progress with FILSPARI, favorable analyst assessments, and strong market performance. The company’s proactive engagement with the FDA and the planned sNDA submission underscore its commitment to addressing unmet medical needs in rare kidney diseases, bolstering investor optimism about its future prospects.
