Mind Medicine Getting An 'RFK Bump'? Retail Gets More Bullish As Stock Heads For Best Day In Over 10 Months
Synopsis
Kennedy has previously advocated for decriminalizing psychedelics for therapeutic use, citing his son’s positive experience with the hallucinogenic brew ayahuasca.
Shares of Mind Medicine Inc. (MNMD) surged more than 15% Friday afternoon, on track for their best session since April 2024, as retail traders cheered Robert F. Kennedy Jr.’s confirmation as U.S. Health and Human Services secretary.
The stock is now set to post weekly gains of over 22%, its strongest performance since the week of Donald Trump’s 2024 election victory in November.
On Stocktwits, sentiment turned even more bullish, with message volume skyrocketing 720% in the past three months amid RFK Jr.’s rise to the cabinet.
“The RFK bump,” one user wrote, echoing several other posts, while another predicted a “big breakout” next week.
Kennedy has previously advocated for decriminalizing psychedelics for therapeutic use, citing his son’s positive experience with the hallucinogenic brew ayahuasca.
Wall Street has also taken notice.
Earlier this month, Chardan named Mind Medicine as a top biotech pick for 2025, citing strong Phase 2 results for its lead drug candidate MM120, which targets generalized anxiety disorder (GAD).
The research firm has a ‘Buy’ rating with a $20 price target — implying a doubling from current levels — and projects potential MM120 peak sales of over $1 billion by 2026.
In January, Evercore ISI initiated coverage with an ‘Outperform’ rating and a $23 target, highlighting Mind Medicine’s innovative oral LSD formulation and its potential in treating both GAD and major depressive disorder (MDD).
Still, not everyone’s betting on more gains. Short interest has climbed from 12.9% at the start of the year to 14.2% by January’s end, per Koyfin data.
Mind Medicine shares have gained over 42% year-to-date, outperforming Compass Pathways but lagging Atai Life Sciences’ 79% surge. Those two companies are also developing psychedelic therapeutics.
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