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Citi promoted Summit Therapeutics (NASDAQ:SMMT) as a top pick in a new note following the latest clinical trial data on its investigational bispecific antibody, ivonescimab. The new data also triggered shares of the drug developer to jump over 64% on Monday.
Citi praised the data, which showed ivonescimab reduced the risk of disease progression or death by 49% compared to Merck’s (MRK) blockbuster cancer therapy Keytruda (pembrolizumab) in the first-line treatment of lung cancer patients.
Analysts said Summit’s (SMMT) drug candidate “decisively beat” Keytruda and exceeded “just about all clinical expectations” against the current “gold-standard immunotherapy”, Keytruda, suggesting it is a solid emerging blockbuster.
Consequently, Citi raised its price target on the stock from $13 to $19, and said it expects Summit (SMMT) to continue to make gains thanks to the positive data and as investors flock to the name. It now excepts peak risk-adjusted sales in the US and Europe of around $7.8B, higher than its earlier estimate of $5.3B.
Conducted in China and sponsored by collaboration partner Akeso (OTCPK:AKESF), the Phase III HARMONi-2 trial evaluated =ivonescimab (AK112) against pembrolizumab in certain non-small cell lung cancer (NSCLC) patients.
