Anixa Biosciences shares maintain buy rating on trial update

EditorNatashya Angelica
Published 20/11/2024, 12:58 am
ANIX
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On Tuesday, H.C. Wainwright maintained a Buy rating for shares of Anixa Biosciences (NASDAQ:ANIX) with a stable price target of $7.00. The firm's endorsement comes following Anixa Biosciences' recent update on its Phase 1 trial of CAR-T therapy for ovarian cancer.

The company has successfully dosed the first patient in the third cohort of the trial, marking a significant step forward in the study. The first two cohorts received doses of 1x10^5 cells/kg and 3x10^5 cells/kg respectively, with no dose-limiting toxicity observed in any of the six patients. The third cohort is now receiving a dose of 1x10^6 cells/kg, a tenfold increase from the initial dose.

The CAR-T therapy being tested targets the follicle stimulating hormone receptor (FSHR) on the granulosa cells of the ovaries. This therapy, also known as Chimeric Endocrine Receptor T-cell (CER-T) therapy, is being evaluated in adult women who have recurrent ovarian cancer and have not responded to at least two prior therapies.

The absence of dose-limiting toxicity in the third cohort could pave the way for the fourth cohort to receive an even higher dose of 3x10^6 cells/kg. The anticipation is that higher doses might improve the chances of achieving a partial or complete response in the patients.

Anixa's trial is conducted in collaboration with Moffitt Cancer Center, and further updates from the CAR-T trial are expected in the first half of 2025. The firm's continued support reflects a positive outlook on the potential of Anixa's therapy and its implications for ovarian cancer treatment.

In other recent news, Anixa Biosciences, in collaboration with Cleveland Clinic, has made significant strides in its Phase 1 breast cancer vaccine trial. The vaccine has shown promising results, being safe and well-tolerated across different patient cohorts, with over 70% of patients exhibiting immune responses. The company plans to move forward with a Phase 2 trial scheduled for 2025.

In another development, Anixa Biosciences, working with Moffitt Cancer Center, has submitted a protocol amendment for a clinical trial targeting ovarian cancer. This amendment aims to allow a second dose of CAR-T therapy for suitable patients, potentially improving patient outcomes.

In the financial arena, Anixa Biosciences reported a net loss of $3.1 million for the second fiscal quarter of 2024, less than the projected loss of $3.5 million. Analysts from EF Hutton and H.C. Wainwright have initiated and maintained a Buy rating for the company, respectively, despite H.C. Wainwright reducing the 12-month price target to $7.00.

Other recent corporate actions include the announcement of a share repurchase program and the addition of Dr. Sanjay Juneja to the Cancer Business Advisory Board. Anixa Biosciences has also received a Japanese patent for its breast cancer vaccine technology. These developments highlight the company's ongoing efforts in advancing cancer treatment and prevention.

InvestingPro Insights

As Anixa Biosciences (NASDAQ:ANIX) progresses with its promising CAR-T therapy trial for ovarian cancer, InvestingPro data provides additional context for investors. The company's market capitalization stands at $98.15 million, reflecting its current valuation in the biotech sector.

InvestingPro Tips highlight that Anixa holds more cash than debt on its balance sheet, which is crucial for a biotech company in the clinical trial phase. This financial stability allows Anixa to continue funding its research and development efforts, including the ongoing CAR-T therapy trial.

Analysts anticipate sales growth for Anixa in the current year, which aligns with the potential progress of its clinical trials. However, it's important to note that the company is not currently profitable, with a negative P/E ratio of -7.85. This is not uncommon for biotech firms in the development stage, as they often prioritize research and clinical advancements over immediate profitability.

The fair value based on analyst targets is $8.5, significantly higher than the current price, suggesting potential upside if the CAR-T therapy continues to show promise. However, investors should be aware that biotech investments carry inherent risks, especially during clinical trials.

For a more comprehensive analysis, InvestingPro offers 7 additional tips for Anixa Biosciences, providing deeper insights into the company's financial health and market position.

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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