** Brokerage UBS cuts PT on drugmaker Regeneron Pharmaceuticals REGN.O to $560 from $633

** UBS says it has removed smoker's lung drug, itepekimab, from "current collaboration pipeline given the regulatory uncertainty and potential competitor entries"

** Company and partner Sanofi SASY.PA said last week that their experimental drug, itepekimab, failed in a late-stage trial, testing it for a lung disease commonly called "smoker's lung", but met the goal of another trial for the same disease

** UBS says REGN will have higher operating expenses in the near-to-mid term due to integrating 23andMe and increased R&D for obesity treatments

** However, UBS expects these costs to decrease after 2030

** "Eylea franchise weakness remains a key overhang for our near-term REGN thesis" - UBS

** Including session's move, REGN down 31.8% YTD

(Reporting by Siddhi Mahatole)

((siddhi.mahatole@thomsonreuters.com))