Stonegate Updates Coverage on Incannex Healthcare Inc. (IXHL) 1Q 2025

Rhea-AI Summary

Stonegate Capital Partners has updated its coverage on Incannex Healthcare Inc. (NASDAQ: IXHL) for Q1 2025. The company reported research and development costs of $2.9M, marking a $0.3M increase from Q1 2024. IXHL recovered 28.0% of these costs through an R&D tax incentive of $0.8M, with expectations of normalization around 43.5%. The company has completed dosing for its Phase 2/3 FDA trial for Obstructive Sleep Apnea treatment and received FDA IND clearance for PSX-001, targeting Generalized Anxiety Disorder. Stonegate's probability-adjusted DCF model suggests a per share valuation range of $5.07 to $5.93.

Positive

• FDA IND clearance received for PSX-001 anxiety disorder treatment
• Completion of Phase 2/3 FDA trial dosing for Sleep Apnea treatment
• R&D tax incentive recovery of $0.8M (28% of costs)
• Analyst valuation range of $5.07-$5.93 per share

Negative

• R&D costs increased by $0.3M compared to Q1 2024
• Expected continued increase in R&D expenses

Dallas, Texas--(Newsfile Corp. - December 2, 2024) - Incannex Healthcare Inc. (NASDAQ: IXHL): Stonegate Capital Partners updates their coverage on Incannex Healthcare Inc.  (NASDAQ: IXHL). During 1Q 2025 the Company reported research and development costs of $2.9M, an increase of $0.3M from 1Q24. We expect R&D costs to continue to climb as the Company focuses on getting its drug candidates across the finish line. IXHL recovered 28.0% of these costs with an R&D tax incentive of $0.8M. We expect that this will normalize around 43.5% for the foreseeable future.

To view the full announcement, including downloadable images, bios, and more, click here.

Key Takeaways:

• Incannex's novel drug to treat Obstructive Sleep Apnea has completed dosing for the Phase 2/3 FDA trial.
• IXHL has received IND clearance from the FDA for its PSX-001 drug, designed to treat Generalized Anxiety Disorder.
• When we use a probability adjusted DCF model, it returns an estimated per share valuation range of $5.07 to $5.93.

Click image above to view full announcement.

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About Stonegate
Stonegate Capital Partners is a leading capital markets advisory firm providing investor relations, equity research, and institutional investor outreach services for public companies. Our affiliate, Stonegate Capital Markets (member FINRA) provides a full spectrum of investment banking services for public and private companies.

Contacts:

Stonegate Capital Partners
(214) 987-4121
info@stonegateinc.com
Source: Stonegate, Inc.

 

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/232235

FAQ

What is Incannex Healthcare's (IXHL) current R&D spending in Q1 2025?

Incannex Healthcare (IXHL) reported R&D costs of $2.9M in Q1 2025, representing a $0.3M increase from Q1 2024.

What is the FDA trial status for IXHL's Sleep Apnea treatment?

IXHL has completed dosing for the Phase 2/3 FDA trial of its novel drug to treat Obstructive Sleep Apnea.

What is Stonegate's valuation range for Incannex Healthcare (IXHL) stock?

Stonegate's probability-adjusted DCF model suggests a per share valuation range of $5.07 to $5.93 for IXHL.

How much R&D tax incentive did IXHL receive in Q1 2025?

IXHL received an R&D tax incentive of $0.8M, representing 28.0% of their R&D costs, with expectations to normalize around 43.5%.