Absci stock reiterated at Buy at H.C. Wainwright on AI-drug discovery leadership

On Friday, H.C. Wainwright maintained a positive stance on Absci Corp (NASDAQ:ABSI), with an analyst from the firm reiterating a Buy rating and a price target of $7.00.

The endorsement comes after a recent investor breakfast where Absci's management team discussed the company's competitive edge in the AI-drug discovery sector.

Absci's management, including CFO and CBO Zach Jonasson, CAO Todd Bedrick, and VP of Finance and Investor Relations Alexander Khan, underscored the company's success in forging partnerships across the pharmaceutical landscape.

With over 25 active drug creation programs, Absci has established collaborations with notable industry players, including four with Merck (NS:PROR), two with Almirall, and one with AstraZeneca (NASDAQ:AZN). These partnerships, though not all rated by H.C. Wainwright, are projected to potentially generate in excess of $1.5 billion in revenue, excluding future royalties.

The firm emphasized the strategic value of the data Absci accrues through these collaborations. This data is considered crucial for enhancing the predictive capabilities of Absci's AI models, despite not having direct monetary value. The AI platform's therapeutic area agnosticism was also highlighted, demonstrated by Absci's diverse partnerships in fields ranging from oncology to animal health.

Absci's technological prowess was further evidenced by its development of novel HIV antibodies that target a previously 'undruggable' region of the virus. This achievement is seen as a testament to the platform's broad potential across various indications.

Analysts at H.C. Wainwright said the "recently announced partnership with Advanced Micro Devices (NASDAQ:AMD; not rated) and AMD™s $20M equity investment validates Absci™s technology and leadership in AI-drug discovery."

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