Intellia Therapeutics Faces Mounting Analyst Scrutiny Amid Regulatory Setback

Intellia Therapeutics finds itself in a challenging phase as regulatory delays for a key drug candidate trigger a wave of downgrades from Wall Street analysts. The central question for investors is whether the company’s substantial cash reserves provide enough runway to resolve regulatory concerns and restore confidence.

Financial Resilience Amid Operational Headwinds

Despite the negative sentiment, Intellia’s latest operational update revealed underlying strength. For the third quarter of 2025, the company reported a narrower-than-expected loss per share of -$0.92. Revenue showed significant growth, climbing over 50% year-over-year to reach $13.78 million. Perhaps most critically, the firm’s liquidity position remains robust, with nearly $670 million on hand, providing funding into mid-2027.

This financial cushion is becoming increasingly important as the company contends with a major regulatory obstacle. The U.S. Food and Drug Administration (FDA) placed a clinical hold on the Phase 3 MAGNITUDE studies in October 2025. This action concerns the drug candidate nex-z for treating ATTR amyloidosis and was prompted by reports of elevated liver enzymes in less than one percent of study participants. The future of this high-profile gene-editing program remains uncertain pending a resolution with regulators.

A Wave of Revised Price Targets

The regulatory uncertainty has directly impacted analyst sentiment, leading to a series of downward revisions for the company’s stock:

Should investors sell immediately? Or is it worth buying Intellia Therapeutics?

• Barclays made a sharp reduction, lowering its target from $24.00 to $14.00.
• Wells Fargo adjusted its expectation downward from $17.00 to $12.00.
• Chardan Capital nearly halved its price target, cutting it to $26.00.

The current analyst consensus reflects a cautious market stance. Of the 24 analysts covering the stock, ten recommend holding. This wait-and-see approach is likely to persist until clarity emerges on the path forward for the paused program.

Institutional Investors Hold Steady

Notably, major investors have not abandoned their positions despite the stock’s technical decline, which has seen it trade well below its key moving averages. Institutional ownership remains high at 88.77%. Some entities have even used the share price weakness as a buying opportunity. The Contrarius Group significantly increased its stake during the third quarter, while Vanguard continues to hold a position exceeding 10 million shares.

The loyalty of these investors may be tested by pipeline developments. With the nex-z program on hold, attention shifts to other candidates. The drug targeting hereditary angioedema (HAE) is progressing and is approaching the completion of patient recruitment. In the near term, however, the equity’s direction is expected to be primarily driven by updates from the FDA regarding the clinical hold.