** Shares of drug developer Septerna SEPN.O rise 1.8% to $10.66

** Brokerage H.C. Wainwright initiates coverage with "buy" rating, sets PT at $26

** SEPN's thyroid-stimulating hormone receptor $(TSHR)$ NAM candidate and potential lead candidate in parathyroid hormone 1 receptor program could each constitute future blockbusters in niche specialty indications that provide strategic optionality - brokerage

** Novo Nordisk NOVOb.CO in May struck a $2.2 billion collaboration and licensing deal with SEPN to develop oral small molecule medicines for obesity, type 2 diabetes and other cardio-metabolic diseases

** Brokerage believes the structure of the partnership provides significant strategic flexibility to SEPN, while eliminating clinical development and commercialization-related risk

** SEPN may have sufficient resources to fund operations beyond 2028, as Novo is committed to funding development of obesity and cardiometabolic disease-targeted candidates - Wainwright

** Up to last close, stock down 54.3% YTD

(Reporting by Juby Babu in Mexico City)

((Juby.Babu@thomsonreuters.com;))