On June 24, Nektar Therapeutics (NASDAQ: NKTR) stock exploded nearly 157% following news that Rezpeg, the company’s experimental treatment for atopic dermatitis (eczema), successfully met its primary and secondary goals in a Phase 2b trial. Nektar joined a wave of micro-cap biotechnology stocks surging after promising clinical trial results.

And two Wall Street analysts believe shares could go even higher.

BTIG Research and HC Wainwright updated their price targets on the stock to $100 and $120, respectively. As of June 24, the MarketBeat-tracked consensus price target on Nektar was around $76, implying 212% upside. However, when taking these two new targets into account, shares could rise by 349%.

Does the NKTR stock still have room to run? Let's take a closer look.

Rezpeg Meets Its Key Clinical Goals

Rezpegaldesleukin (Rezpeg) is a self-administered subcutaneous injection—not a cream or pill—typically given in the abdomen, thigh, or upper arm. It works systemically to regulate the immune response rather than targeting eczema directly at the skin.

In the Phase 2b clinical trial involving 393 patients with moderate to severe atopic dermatitis, Rezpeg achieved statistically significant results for both its primary and secondary endpoints. Its primary endpoint was the average percentage change in the Eczema Area and Severity Index (EASI) versus placebo. 

Lowering patients' scores on the Eczema Area and Severity Index (EASI), which measures the severity of the disease, is a key way to assess efficacy. Rezpeg demonstrated a 30% average reduction in EASI scores compared to placebo. Notably, up to 46% of patients experienced a dramatic decrease of at least 75% in their severity scores, a key secondary measure.

Currently, Rezpeg has received Fast Track designation from the FDA, indicating its potential to address unmet medical needs in this area. These Phase 2b trial results strongly support continued clinical development and significantly improve the likelihood of eventual FDA approval.

Huge Eczema Market Potential Fuels Analyst Optimism

One likely reason why BTIG and HC Wainwright remain so bullish on Nektar shares despite their already meteoric spike is the massive size of the eczema market.

Moderate to severe eczema affects an estimated 9.8 million adults and children in the United States, representing approximately 2.8% of the total population. Rezpeg’s successful trial positions Nektar to tap into this lucrative and expanding market.

Notably, this significant patient population translates into substantial revenue potential for approved treatments, as the disease often requires ongoing, chronic management. The market for atopic dermatitis therapies has been rapidly growing, driven by high demand for treatments offering superior efficacy, convenient dosing, and long-term relief. 

Rezpeg’s Main Competition: Dupixent

Rezpeg faces stiff competition, especially from Dupixent, a treatment from Sanofi (NASDAQ: SNY) and Regeneron Pharmaceuticals (NASDAQ: REGN).

Despite promising results, Rezpeg didn't perform as well as Dupixent. Based solely on initial efficacy measures, Dupixent remains superior, achieving a 50% average severity improvement versus Rezpeg’s 30%. At 16 weeks, Phase 2b trial results showed Dupixent reduced patients' EASI score by 50% on average versus the placebo, eclipsing Rezpeg’s 30%. Dupixent helped up to 52% of patients reduce their EASI score by 75%.

But Nektar believes Rezpeg stands out from Dupixent in many ways, notably its ability to address underlying immune imbalances that may allow for disease remission and less frequent dosing. Rezpeg also has the potential to treat patients who fail to respond to Dupixent, creating a meaningful niche market.

The real golden ticket for Nektar will be to show that Rezpeg can provide overall better efficacy than Dupixent. The company plans to report 52-week results on Rezpeg in Q1 2026. Showing a deepening of Rezpeg’s effects over this longer period could help position it favorably against Dupixent and unlock even greater market potential.

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