Rajan Sharma, an analyst from Goldman Sachs, maintained the Hold rating on Autolus Therapeutics (AUTL – Research Report). The associated price target is $6.30.
Geoff Meacham has given his Hold rating due to a combination of factors regarding Autolus Therapeutics. The company’s recent strategic partnership with BioNTech is poised to significantly bolster its financial standing, with an upfront payment of $50 million and a $200 million equity investment. This influx of capital is expected to expedite the development of Autolus’s primary asset, obe-cel, across various oncology and autoimmune disease indications. The collaboration also presents an opportunity for Autolus to better utilize its CAR-T manufacturing capabilities, potentially leading to quicker economies of scale and a more direct route to profitability.
However, Meacham notes that despite these financial positives, the collaboration might not lead to immediate operational advantages. Moreover, the recent developments might cool investor speculation regarding a potential acquisition of Autolus, which had been a topic of interest among investors. With the company now considered a less likely target for a merger or acquisition, primarily due to the royalty commitments on obe-cel and the options granted to BioNTech on certain Autolus assets, the anticipation of an M&A premium has been removed from the valuation model. Following these adjustments, the price target has been increased by 26% to $6.30, but the rating remains at Neutral, reflecting a balanced view of the potential benefits and limitations presented by the current situation.
See the top stocks recommended by analysts >>
TipRanks tracks over 100,000 company insiders, identifying the select few who excel in timing their transactions. By upgrading to TipRanks Premium, you will gain access to this exclusive data and discover crucial insights to guide your investment decisions. Begin your TipRanks Premium journey today.
Autolus Therapeutics (AUTL) Company Description:
Autolus Therapeutics Plc is a biopharmaceutical company. It engages in the development of cancer treatments. The firm’s portfolio includes B Cell Malignancies, Multiple Myeloma, T Cell Lymphoma, GD2+ Tumors, and Prostate Cancer. The company was founded by Martin Pulé in February 2018 and is headquartered in London, the United Kingdom.
Read More on AUTL:
- Autolus Announces Pricing of Underwritten Offering
- BioNTech and Autolus Announce Strategic CAR-T Cell Therapy Collaboration to Advance Pipeline and Expand Late-Stage Programs
- Autolus Therapeutics’ CAR T Therapy FDA Application Accepted
- Autolus Therapeutics announces publication in ACS Chemical Biology
- Autolus Therapeutics announces acceptance of Biologics License Application for obecabtagene autoleucel (obe-cel) as a potential treatment for relapsed/refractory Adult B-cell Acute Lymphoblastic Leukemia (ALL)
