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CytomX Therapeutics stock maintains Neutral rating post-conference

EditorAhmed Abdulazez Abdulkadir
Published 06/27/2024, 08:11 AM
CTMX
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On Thursday, H.C. Wainwright maintained its Neutral stance on shares of CytomX Therapeutics (NASDAQ:CTMX) following a recent industry conference. During the second annual H.C. Wainwright Immune Cell Engager Conference, CytomX management participated in a fireside chat, primarily discussing the initial data for their drug CX-904, a probody therapeutic aimed at treating multiple EGFR-positive tumor types.

The management spotlighted the encouraging responses witnessed in a subset of pancreatic cancer patients, where the drug led to tumor reductions in four out of six cases. These included two partial responses (PRs) and two cases of stable disease (SDs). The data presented at the conference reinforced the drug's potential, especially with recent competitor bispecific data in pancreatic cancer that further substantiates CX-904's efficacy.

Despite these positive developments, H.C. Wainwright highlighted that it is looking forward to additional data to observe trends across different tumor types and dosage levels. The firm's current position reflects a wait-and-see approach, as they anticipate further evidence that could impact the therapeutic's prospects and, consequently, the company's stock valuation.

The analyst's commentary following the conference did not include a price target for CytomX Therapeutics' shares. The focus remains on the unfolding clinical data and how it may influence the future positioning of CX-904 in the market for EGFR-positive tumor treatments.

CytomX's management also discussed the efficiency of the drug's masking technology during the conference, which is a key feature of the probody therapeutic design. The company believes that this could offer a competitive edge in the treatment landscape. However, the Neutral rating by H.C. Wainwright indicates a cautious outlook until more comprehensive data becomes available.

In other recent news, CytomX Therapeutics reported positive initial data from the Phase 1a dose escalation study of its investigational drug, CX-904. This promising data showed early signs of anticancer activity, particularly in pancreatic cancer, while maintaining a favorable safety profile. The company's strong financial position, with $150 million in cash, ensures funding for operations until the end of 2025.

In executive news, CytomX announced the promotion of Chris Ogden to Chief Financial Officer. Ogden, who joined the company in September 2022, will continue his roles as Principal Accounting Officer and Principal Financial (NASDAQ:PFG) Officer. There are no familial ties or transactional relationships between Ogden and other directors or executive officers of the company.

Analysts have responded positively to these developments. Piper Sandler upgraded CytomX's rating from Neutral to Overweight, citing potential improvements in the therapeutic window due to masking technology. BMO Capital Markets raised its price target for CytomX shares, maintaining a Market Perform rating while emphasizing the need for a more comprehensive understanding of CX-904's effects.

CytomX is also collaborating with Bristol Myers (NYSE:BMY) Squibb and Amgen (NASDAQ:AMGN) on various PROBODY therapeutic programs. These recent developments highlight CytomX's ongoing commitment to innovative oncology treatments and the potential of its investigational drug, CX-904.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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