🐂 Not all bull runs are created equal. November’s AI picks include 5 stocks up +20% eachUnlock Stocks

EO-3021 shows promise in gastric cancer trial

EditorEmilio Ghigini
Published 08/06/2024, 07:17 AM
ELEV
-

BOSTON - Elevation Oncology, Inc. (NASDAQ:ELEV), a company specializing in cancer therapies, reported encouraging initial results from its Phase 1 clinical trial of EO-3021, a treatment for patients with certain advanced solid tumors. The trial targets tumors likely to express Claudin 18.2, including gastric and gastroesophageal junction (GEJ) cancers.

The study showed a 42.8% objective response rate (ORR) in a subset of patients with a high expression of Claudin 18.2. This early data suggests EO-3021 could offer a new treatment avenue for those suffering from gastric or GEJ cancers, which remain diseases with high mortality rates despite recent medical advancements.

EO-3021 is designed to maximize efficacy while minimizing side effects commonly associated with monomethyl auristatin E (MMAE), a potent chemotherapy agent.

According to trial data as of June 10, 2024, the drug was generally well-tolerated, with no reports of severe treatment-related adverse events such as neutropenia or peripheral neuropathy/hypoesthesia, typically linked to MMAE.

The trial included 32 patients across four dose levels, with the most common adverse events being nausea, decreased appetite, fatigue, and diarrhea. Based on these findings, the company has selected two doses for further evaluation in the dose expansion phase of the trial.

Elevation Oncology plans to continue its research with additional data expected in the first half of 2025. The company also aims to initiate dosing in the combination portion of the Phase 1 trial by the end of 2024, exploring EO-3021 in combination with other cancer treatments.

The primary objective of the ongoing study is to assess the safety, tolerability, and preliminary anti-tumor activity of EO-3021 in patients who have progressed on or are intolerant of available standard therapy. The trial also seeks to explore the relationship between Claudin 18.2 expression and treatment response.

The company will host a conference call and webcast today at 8:30 a.m. ET to discuss these initial findings. The webcast will be available on Elevation Oncology's investor relations website, with an archive accessible for 90 days post-call.

This report is based on a press release statement from Elevation Oncology.

In other recent news, Elevation Oncology has maintained its Overweight rating from both Piper Sandler and Stephens, with the former setting a price target of $10.00.

This follows the expansion of the phase 1 trial of EO-3021, which now includes two new combination cohorts for the treatment of gastric/GEJ cancer.

The mid-Q3 update, which is expected to provide insights on the optimal dose, CLDN18.2 expression levels, and the use of anti-emetics in both the combination and monotherapy regimens with EO-3021, is seen as a potential catalyst for Elevation Oncology's trajectory.

In parallel developments, Elevation Oncology received positive feedback from the American Society of Clinical Oncology meeting, where the trial assessed the efficacy of AstraZeneca (NASDAQ:AZN)'s AZD0901 in gastrointestinal and gastroesophageal junction cancers. Updated data showed an increased overall response rate for certain dosage groups, with consistent safety profiles across the dosages.

Stephens also highlighted the potential of Elevation Oncology's lead asset, EO-3021, which has shown promise in its initial Phase 1 trials, demonstrating a significant overall response rate in gastric cancer patients.

These are recent developments, and Stephens expressed confidence in Elevation Oncology's financial position, noting the company's cash runway that extends into 2026. It's important to note that these ratings and updates come from the analysts at Piper Sandler and Stephens, and not from the author of this article.

InvestingPro Insights

As Elevation Oncology, Inc. (NASDAQ:ELEV) shares promising results from its clinical trial, investors and stakeholders are closely monitoring the company's financial health and stock performance. According to InvestingPro data, Elevation Oncology's market capitalization stands at $116.38 million, reflecting the size and market value of the company in the biotechnology space.

Despite the company's potential in developing innovative cancer treatments, the InvestingPro Tips indicate that ELEV's stock has faced significant challenges recently. The stock has experienced a substantial decline over the past week, month, and three months, with price total returns of -22.55%, -25.26%, and -43.05%, respectively. This downward trend may raise concerns among investors about near-term volatility and market sentiment.

Additionally, ELEV's financial metrics reveal that the company is not currently profitable, with an adjusted P/E ratio for the last twelve months as of Q1 2024 at -3.02. This is further supported by the InvestingPro Tip that analysts do not anticipate the company will be profitable this year. Investors may weigh this against the company's research advancements and market potential for EO-3021 in treating advanced solid tumors.

For those looking for more comprehensive analysis and additional InvestingPro Tips for ELEV, there are currently 9 more tips available on the InvestingPro platform, offering deeper insights into the company's financials and stock performance.

While Elevation Oncology's research developments are a key focus, understanding the company's financial position and stock market behavior is crucial for investors. The insights from InvestingPro provide a valuable perspective on ELEV's financial health and market performance, complementing the news of its clinical trial advancements.

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

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.