First Berlin Equity Research has published a research update on Cardiol Therapeutics Inc. (ISIN: CA14161Y2006). Analyst Christian Orquera reiterated his BUY rating and maintained his USD 8.50 price target.

Abstract
Cardiol Therapeutics (Cardiol) announced that the first patient has been enrolled in the pivotal MAVERIC phase III study evaluating its oral drug candidate CardiolRx? for the treatment of recurrent pericarditis (RP), a painful and debilitating heart condition. This is good news as it marks the start of a pivotal phase III trial, an important milestone that brings CardiolRx? closer to potential FDA approval. The study, led by leading cardiovascular experts and initiated at Northwestern University, is a randomised, double-blind, placebo-controlled trial that will enrol 110 patients at 20 sites in the US, Canada and Europe. The drug addresses a clear unmet need in RP with a promising, non-immunosuppressive oral option. Backed by an orphan drug designation and strong phase II data in RP, we believe the programme has a good chance of success in the phase III trial, and we also see significant commercial potential in this indication. If successful, this study will support submission of a new drug application to the FDA. The next significant catalyst will be the headline results of the multi-national, randomised, placebo-controlled ARCHER phase II study in acute myocarditis (AM), which we expect within the next one to two months. We have updated our SOTP valuation model, which yields an unchanged price target of USD 8.50. We reiterate our Buy recommendation.