Dyne Therapeutics' (DYN) new data supported DYNE-101's treatment effect on myotonic dystrophy type 1 patients but a key overhang remains, Oppenheimer said in a note Friday.

"We view powering of the pivotal study (mid-2026 readout) as a key overhang given the small cohort size and statistical variability," the report said.

Following a recent stock rally, Oppenheimer analysts said they are stepping to the sidelines based on valuation ahead of pivotal readout later this year from DYN-251 in duchenne muscular dystrophy, where they remain "cautious around safety."

Oppenheimer downgraded the stock to perform.

Shares were down over 4% in recent trading.

Price: 14.07, Change: -0.61, Percent Change: -4.16