Morgan Stanley, BofA, and Citi upgraded the stock, citing strong safety, biomarker, and degradation data for its STAT6 degrader KT-621.

Major Wall Street firms issued bullish upgrades for Kymera Therapeutics after publishing promising Phase 1 data for its STAT6 degrader KT-621, boosting investor confidence in its immunology pipeline and degrader technologies.

Kymera Therapeutics shares surged 45.5% to close at $43.13 on Monday, hitting a more than four-month high. In after-hours trading, they edged up another 0.5% to $43.33.

Morgan Stanley upgraded Kymera's stock status to ‘Overweight’ from ‘Equal Weight’ and increased its price target from $49 to $79. 

KT-621's healthy volunteer study results answered critical safety and target knockdown questions, strengthening confidence in its potential to compete across major immunology and inflammation markets.

Meanwhile, Citi kept its ‘Buy’ rating, while boosting the price target for Kymera to $60 from $52 as the data "strongly de-risks” KT-621. 

The company has updated its success probability assessment to 15% from 10%, while the peak 2030 sales projections stand at $520 million. The analysts highlighted KT-621's “potent efficacy, clean safety, and promising biomarker data.”

On the other hand, Bank of America also upgraded Kymera to ‘Buy’ from ‘Neutral’ and increased its price target to $51 from $44. 

The company observed STAT6 degradation exceeding 90% for all dosages above 1.5 mg, along with a favorable safety profile, which led them to call the findings "better than expected."

The stock upgrades come after Kymera published the first-in-human research findings for KT-621, a novel oral STAT6 degrader designed to combat Th2-driven conditions like atopic dermatitis and asthma. 

The Phase 1 study demonstrated deep and sustained STAT6 breakdown in blood and skin samples from healthy participants while revealing promising biomarker reductions. Eotaxin-3 showed a 63% median drop, and TARC levels decreased by up to 37%. 

The drug was well tolerated with no serious adverse events reported, according to the company.

Kymera launched the BroADen Phase 1b trial targeting moderate-to-severe atopic dermatitis, with expected results by Q4 2025.

The company intends to launch two Phase 2b studies targeting AD and asthma across Q4 2025 and Q1 2026.

On Stocktwits, retail sentiment was ‘extremely bullish’ amid ‘extremely high’ message volume.

One user on Stocktwits called Kymera a “potentially big winner” and a leader in protein degradation for inflammatory diseases, suggesting it’s ripe for acquisition. 

Another user expressed optimism that the strong news could push the stock even higher, aiming for $45.

The stock has risen 5.5% so far in 2025.

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