On Wednesday, H.C. Wainwright analyst Emily Bodnar confirmed a Buy rating and a $40.00 price target on Jasper Therapeutics shares, traded under NASDAQ:JSPR. Currently trading at $7.58 with a market capitalization of $115 million, InvestingPro analysis suggests the stock is significantly undervalued. The reaffirmation follows an evaluation of briquilimab's clinical data, which suggests promising competitive potential.
Bodnar's analysis indicates that the UAS7=0 rates—a measure of urticaria activity—for briquilimab were at least on par with those observed in Phase 1b and Phase 2 studies of barzolvolimab, a comparable treatment developed by Celldex Therapeutics (NASDAQ:CLDX). Specifically, the UAS7=0 rate for barzolvolimab was 37.5% at a 300 mg dose every eight weeks and 51.1% at a 150 mg dose every four weeks. This comparison points to the possibility that briquilimab could match or exceed these rates, depending on the dosage used.
The safety profiles of briquilimab and barzolvolimab were also compared, with similar results observed. Briquilimab was associated with hair changes in 11% of patients versus 8% with placebo, while barzolvolimab had a slightly higher rate of 14%.
Neutropenia, or a decrease in neutrophil count, occurred in 13.5% of patients on briquilimab compared to 8% on placebo, closely aligning with the 9% rate seen with barzolvolimab. Additionally, taste changes were reported in 16% of briquilimab patients, a figure that stands against less than 10% for barzolvolimab.
The analyst noted that the small number of patients in the studies and the yet-to-be-determined optimal dosing regimen for briquilimab make it too early to definitively conclude its efficacy differentiation. Potential dosing regimens under consideration include 240 mg every eight weeks or a 240 mg loading dose followed by 180 mg every eight weeks.
Further clarity on briquilimab's efficacy and dosing is anticipated by mid-2025, as additional data become available. With a beta of 2.19 and recent volatility, InvestingPro subscribers can access 10+ additional key insights about JSPR's financial health and market performance. Investors should note that the company's next earnings report is scheduled for March 5, 2025, which could provide further insights into the development progress.
In other recent news, Jasper Therapeutics has been in the spotlight due to several developments. The company reported preliminary data from the BEACON trial that showed a perplexing dose-response relationship for its lead therapeutic candidate, briquilimab. Despite a significant drop in share value, BMO Capital Markets maintained their Outperform rating on the company, expressing optimism for the potential efficacy of briquilimab, particularly at the 180mg dose level.
In addition, Jasper Therapeutics disclosed promising clinical responses from the BEACON Phase 1b/2a study for its experimental treatment for Chronic Spontaneous Urticaria (CSU), commonly known as chronic hives. However, this did not meet investor expectations, leading to a sharp decline in the company's stock.
The company received clearance from Health Canada to commence a Phase 1b/2a clinical trial for briquilimab as a potential treatment for asthma. Moreover, the U.S. Patent and Trademark Office registered a trademark for Jasper's proprietary Jasper c-Kit Mouse™ model, which has been instrumental in the clinical development of briquilimab.
Analysts from various firms including Stifel, Oppenheimer, BMO Capital Markets, H.C. Wainwright, and BTIG have maintained positive ratings on Jasper Therapeutics. The firm anticipates that the company will move forward with registrational studies in the second half of the year. These future studies are critical as they could potentially validate the efficacy and safety of briquilimab, leading to regulatory approval and commercialization.
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