By George Glover
Vertex Pharmaceuticals stock was rallying on Tuesday after positive results from a trial of its drug treating a rare kidney disease impressed Wall Street.
Shares rose 5.3% to $485.10 in premarket trading. Futures tracking the S&P 500 were 0.4% higher as investors hoped for a swift end to the Iran war.
Vertex said in a statement late Monday that its drug povetacicept had met its primary objective in a late-stage trial. Patients treated with povetacicept achieved a 52% reduction from baseline in protein in their urine, the company said.
High levels of protein in urine tend to indicate that the kidneys' filtering units are damaged or leaking.
The company said it would apply to the Food and Drug Administration by the end of March for accelerated approval of the drug.
Vertex acquired the drug, which treats the kidney condition known as IgA nephropathy, when it bought Alpine Immune Sciences for $4.9 billion in the second quarter of 2024.
"Bigger picture, we see this readout as an important step forward in the company's push to become a nephrology powerhouse," said Evercore ISI analyst Cory Kasimov, adding that the successful trial was a "pretty good validation" of the Alpine acquisition. Kasimov rates the stock at Outperform, with a $530 price target.
Cantor analyst Carter Gould said it was "the first major step in unlocking the renal franchise," which he estimates could exceed $10 billion in peak sales. Gould rates Vertex at Overweight, with a price target of $590.
Vertex is trying to expand beyond its treatments of cystic fibrosis, which have helped power its total market capitalization above $100 billion. Wall Street has been focusing on the company's next-generation painkiller Journavax, as well as its IgA nephropathy treatment.
Write to George Glover at george.glover@dowjones.com
This content was created by Barron's, which is operated by Dow Jones & Co. Barron's is published independently from Dow Jones Newswires and The Wall Street Journal.
(END) Dow Jones Newswires
March 10, 2026 05:20 ET (09:20 GMT)
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