H.C. Wainwright lowered its price target on Jasper Therapeutics (NASDAQ:JSPR) to $20 from $40 while maintaining a Buy rating, citing delays in key programs and recent cost-cutting measures designed to extend the company’s cash runway. The company’s shares plummeted over 50% intra-day today after it announced Asthma Study Halt.
The analysts noted that Jasper’s decision to pause development in asthma and Severe Combined Immunodeficiency (SCID) will reduce operating expenses by an estimated 25% starting in Q3 2025 compared to Q2 levels. However, despite these efforts, the firm believes Jasper will likely need to raise additional capital—about $5 million—around Q4 2025 to support ongoing operations.
In addition, the analysts pushed back U.S. launch expectations for Jasper’s chronic spontaneous urticaria (CSU) and chronic inducible urticaria (CIndU) programs to 2030 and 2031, respectively, reflecting program delays that were a key driver of the price target cut. While acknowledging the near-term challenges, H.C. Wainwright maintains its Buy rating based on Jasper’s long-term potential in these therapeutic areas.
