Shares of Absci Corp (NASDAQ:ABSI) rose sharply in early trading, gaining 22.2% to reach $4.815 as investors reacted to renewed optimism about the hair-loss treatment market.
Market attention was drawn after KeyBanc emphasized that positive mid-to-late stage results from Veradermics (NASDAQ:MANE) for its oral hair-loss pill strengthen the broader case that the category is substantial enough to sustain multiple therapies. The brokerage estimated the hair-loss market opportunity at more than $40 billion and maintained a $9 price target on Absci.
In its note, KeyBanc highlighted Absci's experimental candidate ABS-201 and suggested the drug could be complementary to other treatments rather than directly competing with them. A specific feature cited was ABS-201's infrequent dosing schedule - two to three injections administered over a six-month period - which the brokerage flagged as a potential differentiator compared with more frequently dosed therapies.
The sector-wide interest has been bolstered recently by additional clinical updates. KeyBanc's commentary follows an update last week from Nektar Therapeutics, which reported that its experimental injection prompted hair regrowth in patients with alopecia areata, a patchy form of hair loss. That development contributed to the narrative that a range of therapeutic modalities - including oral drugs and injections - are producing signals that could expand treatment options for patients.
Investors appeared to price those developments into Absci shares during early trading, producing the more than 22% intraday gain reported. The brokerage's reiteration of a $9 target on Absci was noted as part of the context for the market move.
Contextual note: The information summarized here reflects the analyst commentary and the clinical updates referenced in analyst notes and company announcements.