11:48 AM EST, 11/20/2025 (MT Newswires) -- Design Therapeutics' ( DSGN ) Friedreich Ataxia program could deliver meaningful clinical benefits and bolster confidence in the company's platform, RBC Capital Markets said in a Thursday note.

The brokerage highlighted that the program's lead candidate, DT-216P2, is a fundamentally improved formulation with higher systemic exposure and a more durable pharmacokinetic profile compared with the prior DT-216P1.

Early ex-US dosing in the Restore-FA trial has shown favorable safety and pharmacokinetics, supporting expectations for positive upcoming clinical data, with readouts from the Phase I/II study expected in the second half of 2026.

Analysts said DT-216P2's improvements are expected to drive significant increases in frataxin mRNA and protein levels, which could translate into meaningful clinical benefits for patients. RBC also noted potential upside from Design Therapeutics' ( DSGN ) related programs, including DT-168 Fuchs and DM1.

The brokerage estimates Design Therapeutics ( DSGN ) could generate over $1.9 billion in revenues by 2034, though the firm's speculative risk qualifier remains unchanged.

RBC upgraded the stock to outperform from sector-perform and raised the price target to $13 from $6.

Shares of Design Therapeutics ( DSGN ) were up more than 16% in recent trading.

Price: 8.55, Change: +1.21, Percent Change: +16.42