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On Tuesday, H.C. Wainwright raised its price target on shares of Aura Biosciences (NASDAQ:AURA) to $25 from $22 while maintaining a Buy rating. Currently trading at $7, with a market capitalization of $350 million, AURA’s stock sits well below the analyst consensus target range of $20-23. The revision followed the progress in the development of Aura’s novel treatment, Bel-sar, for early-stage choroidal melanoma. InvestingPro analysis shows the stock is currently trading near its Fair Value, with additional insights available to subscribers.
Bel-sar, a virus-like drug conjugate, has received Orphan Drug Designation from the FDA and EMA, as well as FDA Fast Track Designation. The treatment is being evaluated in the Phase 3 CoMpass trial, which compares its safety and efficacy against a sham control. The trial is significant as it aims to provide a vision- and organ-sparing option for patients with solid tumors.
The CoMpass study has been designed to include an enrichment strategy that targets enrolling approximately 100 patients with documented tumor growth. In an update on the trial’s progress, Aura Biosciences reported that since June 2024, over 175 patients have been registered in pre-screening that met initial enrollment criteria. The study’s primary endpoint is time to tumor progression, with the final assessment scheduled when the last patient completes 15 months of follow-up.
Despite a delay in European enrollment, the company has now opened up participation in Europe and is rapidly catching up. The analyst from H.C. Wainwright highlighted the importance of this trial and the potential of Bel-sar to fill a significant treatment gap, as there are currently no approved vision-preserving therapies for early-stage choroidal melanoma.
Looking ahead, the firm anticipates Phase 3 data for Bel-sar to become available in 2026. If successful, Aura Biosciences may commercially launch the treatment for primary choroidal melanoma in 2027. H.C. Wainwright forecasts sales of $33 million in the launch year, with projections reaching up to $680 million by 2030. InvestingPro data reveals the company maintains a strong liquidity position with a current ratio of 12.47, though it’s currently burning through cash. The company’s next earnings report is scheduled for May 8, 2025. The strong sales outlook and the unmet medical need in the market underpin the firm’s decision to reiterate a Buy rating and raise the price target for Aura Biosciences stock.
In other recent news, Aura Biosciences has reported promising results from a Phase 1 trial of its investigational drug bel-sar for non-muscle invasive bladder cancer (NMIBC). The trial showed that bel-sar, when activated by light, led to complete responses and tumor shrinkage in several patients, with a favorable safety profile. Aura Biosciences is presenting these findings at the 40th Annual European Association of Urology Congress and plans to discuss future development strategies at a virtual investor event. H.C. Wainwright has maintained its Buy rating and $22 price target for Aura Biosciences, reflecting confidence in bel-sar’s potential as a significant treatment option in the bladder cancer market. The firm also projects that bel-sar could launch in 2030, with estimated sales reaching $82 million that year. The company is also planning to expand its trial to a Phase 1b/2 study. Aura Biosciences continues to focus on developing precision therapies for solid tumors, with bel-sar as its lead candidate in late-stage development for primary choroidal melanoma and early-stage development for bladder cancer.
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