Should I Buy PRAX? PRAX 2026 Analysis

Should You Buy Praxis Precision Medicines Inc (PRAX) Today? Analysis, Price Targets, and 2026 Outlook.

Conclusion

Buy

Latest Price

312.040

1 Day change

0.68%

52 Week Range

326.910

Analysis Updated At

2026/01/26

Praxis Precision Medicines Inc (PRAX) is a good buy for a beginner investor with a long-term strategy and $50,000-$100,000 available for investment. Despite short-term financial challenges, the company's strong analyst support, multiple upcoming catalysts, and significant price target increases make it a compelling long-term investment opportunity.

Technical Analysis

The technical indicators show mixed signals. The MACD is negative and expanding, indicating bearish momentum, but the RSI is neutral at 59.812. The moving averages are bullish (SMA_5 > SMA_20 > SMA_200), and the stock is trading above key support levels, with the nearest resistance at 321.234. This suggests potential for upward movement in the near term.

Options Data

Bearish

Open Interest Put-Call Ratio

Bearish

Option Volume Put-Call Ratio

The high Put-Call ratios indicate bearish sentiment in the options market, but this could also be interpreted as hedging activity rather than outright pessimism.

Technical Summary

Sell

Buy

Positive Catalysts

Analysts have significantly raised price targets, with the highest being $843, citing strong clinical data and regulatory progress.
The FDA's Breakthrough Therapy Designation for ulixacaltamide increases the likelihood of approval, with analysts estimating an 80%-90% success rate.
Multiple upcoming catalysts in 2026, including NDA filings and potential drug approvals, provide a strong growth narrative.

Neutral/Negative Catalysts

Financial performance is weak, with revenue dropping to zero and negative net income, though losses have narrowed YoY.
Options data shows bearish sentiment, which could indicate short-term volatility.
No recent news or congress trading data to provide additional confidence.

Financial Performance

Praxis reported a 100% YoY decline in revenue for Q3 2025, with net income improving to -$73.93M (up 42.43% YoY) and EPS increasing to -3.36 (up 22.18% YoY). Gross margin also dropped to 0, reflecting the company's pre-revenue stage.

Growth

Profitability

Efficiency

Analyst Ratings and Price Target Trends

Analysts are overwhelmingly positive on PRAX, with multiple firms raising price targets significantly. The highest target is $843, and the lowest is $313, all with Buy ratings. Analysts highlight strong clinical data, regulatory progress, and a favorable competitive position as key drivers for the stock's future growth.

15 Analyst Rating

Wall Street analysts forecast PRAX stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for PRAX is 456.71 USD with a low forecast of 95 USD and a high forecast of 843 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.

14 Buy

0 Hold

1 Sell

Strong Buy

Current: 309.920

Low

Averages

456.71

High

843

Current: 309.920

Low

Averages

456.71

High

843

Piper Sandler

Yasmeen Rahimi

Overweight

upgrade

$450

AI Analysis

2026-01-28

New

Reason

Piper Sandler

Yasmeen Rahimi

Price Target

$450

AI Analysis

2026-01-28

New

upgrade

Overweight

Reason

Piper Sandler analyst Yasmeen Rahimi raised the firm's price target on Praxis Precision to $1,200 from $450 and keeps an Overweight rating on the shares. The firm notes Praxis has traded up about 330% in the past 12 months, where this stock movement was predominantly driven by ulixacaltamide's success in ET and relutrigine in DEEs. As investors are now wondering how much upside remains in the stock, Piper completely updated its model encompassing ulixacaltamide, relutrigine, vormatrigine, and elsunersen. The firm models peak U.S. sales of $23B by 2046. In fact, looking across the three key value-drivers providing the greatest contribution to its price target, Piper projects Praxis to achieve over $20B in revenue with an overall penetration of less than 5% peak market share.

Needham

Ami Fadia

Buy

upgrade

$315 -> $460

2026-01-05

Reason

Needham

Ami Fadia

Price Target

$315 -> $460

2026-01-05

upgrade

Buy

Reason

Needham analyst Ami Fadia raised the firm's price target on Praxis Precision to $460 from $315 and keeps a Buy rating on the shares. The firm sees 2026 as an extension of 2025 for the stock, with multiple new drug application submissions. Praxis could also win approval for ulixacaltamide in essential tremor, if given priority review, based on the unmet need, the analyst tells investors in a research note. Needham sees positive momentum for Praxis in 2026 based on potential approval and multiple data catalysts.

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PRAX Should I Buy

PRAX Should I Buy

Should You Buy Praxis Precision Medicines Inc (PRAX) Today? Analysis, Price Targets, and 2026 Outlook.

Technical Analysis

Options Data

Technical Summary

Positive Catalysts

Neutral/Negative Catalysts

Financial Performance

Growth

Profitability

Efficiency

Analyst Ratings and Price Target Trends

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