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Grace Therapeutics rated Speculative Buy with 57% upside after FDA chemistry issues, no safety concerns.

Analyst Insights
01 Jun 2026
Seeking Alpha
View Source
Bullish
pluang ai news

Grace Therapeutics is rated a Speculative Buy with a $4 price target, suggesting 57% upside from its current price of $2.54. The FDA's Complete Response Letter raised only fixable chemistry, manufacturing, and controls (CMC) issues for the drug GTx-104, with no concerns about efficacy or safety. A scenario-weighted discounted cash flow model estimates a 75% chance of FDA approval and forecasts $100 million peak risk-adjusted U.S. sales. Key upcoming catalysts include an FDA Type A meeting in mid-2026, NDA resubmission by early 2027, and a potential FDA approval decision by mid-2027, indicating a favorable risk/reward profile for investors.

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