This Biotech Fund Just Made a $22 Million Bet on Pharvaris Stock — Is It a Buy?

Core Insights - Saturn V Capital Management has initiated a new position in Pharvaris N.V. (PHVS), acquiring 886,332 shares valued at approximately $22.1 million during the third quarter, indicating strong interest from a major hedge fund in the biotech sector [1][2]. Company Overview - Pharvaris N.V. is a clinical-stage biotechnology company focused on developing novel oral therapies for hereditary angioedema (HAE), a rare genetic disorder [6][9]. - The company has three pivotal programs underway: PHA121 (Phase II), PHVS416 (Phase II), and PHVS719 (Phase I), targeting both acute and prophylactic treatment needs [9][10]. - As of market close on the reporting date, Pharvaris shares were priced at $25.35, reflecting a 33% increase over the past year, outperforming the S&P 500, which rose by 12% in the same period [3][4]. Financial Metrics - Pharvaris has a market capitalization of $1.6 billion and reported a net income of -$163.7 million for the trailing twelve months (TTM) [4]. - The company had €329 million in cash on hand as of September 30, which is expected to finance operations into the first half of 2027, covering major data readouts [10]. Investment Implications - Saturn V's stake in Pharvaris represents about 4.9% of its 13F assets, aligning with the fund's focus on biotech investments and high-conviction clinical risks [3][11]. - Recent positive topline data from the RAPIDe-3 Phase 3 trial showed a median time to onset of symptom relief of 1.3 hours, highlighting the potential for future growth despite the company being pre-revenue [11][12].