Celldex stock falls as Wells Fargo cuts price target on EOE trial failure

Published 20/08/2025, 11:48
Celldex stock falls as Wells Fargo cuts price target on EOE trial failure

Investing.com - Celldex Therapeutics (NASDAQ:CLDX), currently trading at $24.02, is expected to see its shares decline following Wells Fargo (NYSE:WFC)’s price target reduction to $38.00 from $44.00, while maintaining an Overweight rating. According to InvestingPro data, analysts maintain a Strong Buy consensus with targets ranging from $30 to $90.

The price target cut comes after Celldex’s barzolvolimab drug failed in its eosinophilic esophagitis (EOE) clinical trial, with Wells Fargo projecting a 10-15% share price drop based on this development.

Despite showing statistically significant reduction in mucosal mast cells at week 12 compared to placebo (-36.0 vs -2.7), the drug failed to demonstrate clinical improvement in EOE symptoms using standard measurement scales.

The trial showed no difference in histological reduction of esophageal intraepithelial eosinophil infiltration, a key efficacy marker for EOE treatments.

Given these disappointing results, Celldex management has decided not to pursue additional studies in EOE, though Wells Fargo notes the company’s chronic spontaneous urticaria (CSU) opportunity with barzolvolimab still offers "meaningful upside" and recommends buying shares on weakness.

In other recent news, Celldex Therapeutics reported that its experimental drug, barzolvolimab, successfully reduced mast cells in patients with eosinophilic esophagitis but did not improve clinical symptoms in a Phase 2 study. H.C. Wainwright maintained its Buy rating and $50 price target on Celldex following the company’s presentation of 76-week data from a Phase 2 trial of barzolvolimab in chronic spontaneous urticaria (CSU), showing continued benefits through 76 weeks. Additionally, Cantor Fitzgerald reiterated its Overweight rating and $67 price target, emphasizing the unprecedented response rates of the CSU therapy study. Canaccord Genuity also upheld its Buy rating and $64 price target ahead of Celldex’s presentation of clinical trial data at the EAACI Congress 2025. The presentation highlighted 76-week data from the Phase II study of barzolvolimab in CSU, designated as a Late Breaking oral presentation. Celldex shares saw a notable increase after releasing positive long-term data for its skin disorder treatment, with sustained efficacy observed seven months post-dosing. These developments reflect ongoing interest and analysis from various research firms regarding Celldex’s therapeutic advancements.

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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