In a report released today, Robert Burns from H.C. Wainwright reiterated a Hold rating on MacroGenics (MGNX – Research Report), with a price target of $4.00.
Robert Burns has given his Hold rating due to a combination of factors that raise concerns about the safety profile and efficacy of MacroGenics’s drug candidate, vobra duo. The recent Phase 2 TAMARACK trial results for vobra duo showed a concerning number of serious treatment-emergent adverse events (TEAEs) and events leading to dose interruption or treatment discontinuation. Moreover, the occurrence of fatal outcomes in the trial, including deaths that are under investigation for a possible connection to the drug, has prompted a reduction in the probability of the drug’s approval for treating metastatic castration-resistant prostate cancer (mCRPC).
Burns’s cautious stance is further confirmed by the lowering of the price target for MacroGenics’s stock, which reflects the diminished outlook for vobra duo. While the drug did show some efficacy in terms of PSA reduction and objective response rates, the significant safety concerns overshadow these benefits at this time. The analyst has therefore recommended a wait-and-see approach, maintaining a neutral position until more conclusive data emerges that could potentially support a competitive profile for the drug in a crowded market.
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MacroGenics (MGNX) Company Description:
MacroGenics, Inc. is a clinical-stage biopharmaceutical company, which engages in discovering and developing antibody-based therapeutics designed to modulate the human immune response for the treatment of cancer. 2. Its product pipeline includes Margetuximab, Flotetuzumab, Enoblituzumab, MGA012, MGD013, MGD019, MGD009, MGC018, and MGD007 for oncology; and MGD014 for infectious diseases. The company was founded by Scott E. Koenig, Jeffrey V. Ravetch, LeRoy E. Hood, Ruedi Aebersold, and Alan Aderem on August 14, 2000 and is headquartered in Rockville, MD.
Read More on MGNX:
- MacroGenics price target lowered to $16 from $22 at JMP Securities
- MacroGenics downgraded to Hold from Buy at TD Cowen
- MacroGenics price target lowered to $14 from $25 at Barclays
- MacroGenics downgraded to Hold from Buy at Stifel
- MacroGenics downgraded to Market Perform from Outperform at BMO Capital
