7. Denali Therapeutics Inc. (NASDAQ:DNLI)
Number of Hedge Fund Investors: 31
Denali Therapeutics Inc. (NASDAQ:DNLI) is included in the Jeff Bezos Stock Portfolio. It is a biopharmaceutical company that invests in novel medications that can cross the blood-brain barrier to combat neurodegenerative diseases such as Alzheimer’s and Parkinson’s. It is a development-stage company that is highly unprofitable because it invests in promising yet unproven drugs. The stock is prominently displayed as a holding of Bezos Expeditions. Its product portfolio includes LRRK2, RIPK1, TREM2, and Tau.
Tividenofusp alfa from Denali Therapeutics Inc. (NASDAQ:DNLI) showed sustained improvements in cognitive, behavioral, and auditory abilities as well as strong, long-term biomarker normalization in patients with Hunter syndrome (MPS II). The drug’s regulatory request for accelerated clearance in early 2025, as well as a projected late 2025/early 2026 launch in the United States, position it as a breakthrough treatment. A growing Phase 2/3 trial and breakthrough therapy designation could potentially make tividenofusp alfa the first treatment to treat MPS II’s physical and cognitive symptoms, opening up a significant potential market.
Denali Therapeutics Inc. (NASDAQ:DNLI) is growing its portfolio of TV-enabled therapeutic enzymes, oligonucleotides, and antibodies. It intends to introduce 1-2 new TV programs into the clinic each year for the following three years. This TV platform can produce a new class of barrier-crossing treatments, which is why analysts are hopeful about its future operations.
Here is what Baron Growth Fund has to say about Denali Therapeutics Inc. (NASDAQ:DNLI) in its Q4 2021 investor letter:
“Our Disruptive Growth investments are pursuing idiosyncratic opportunities across the entirety of the global economy. Denali Therapeutics Inc. is pushing the boundaries of drug development by pursuing novel diagnostics and therapeutics in areas including neurodegenerative disease and blood cancers.
