CG Oncology stock price target raised to $56 from $52 at Morgan Stanley

Morgan Stanley (NYSE:MS) maintained its Overweight rating on CG Oncology (NASDAQ:CGON) Tuesday while raising its price target to $56.00 from $52.00, citing opportunities in the non-muscle invasive bladder cancer (NMIBC) treatment space. Currently trading at $25.46, the stock has received strong analyst support, with targets ranging from $23 to $82, according to InvestingPro data.

The investment firm updated its model to reflect the expected launch timing for CG Oncology’s treatment "creto," now anticipated in the second half of 2026 rather than the broader 2026 timeframe previously forecasted.

Morgan Stanley’s adjustment is based on expected timelines for the Biologics License Application (BLA) rolling submission, which is set to begin in the second half of 2025.

The revised price target also incorporates potential revenue from BCG-naïve and BCG-exposed NMIBC patients in the base case, applying a 30% probability of success ahead of the Phase 2 CORE-008 Cohort A data expected in the second half of 2025.

CG Oncology’s treatment represents a "meaningful opportunity" in the NMIBC space according to Morgan Stanley, which continues to maintain its Overweight stance on the oncology company’s stock. For deeper insights into CGON’s financial health, valuation metrics, and additional analyst perspectives, explore the comprehensive research available on InvestingPro, which features 10 key investment tips for this emerging biotech company.

In other recent news, CG Oncology has been in the spotlight with various analyst firms weighing in on its prospects. JPMorgan initiated coverage with an Overweight rating and a $41 price target, citing the potential of Cretostimogene, a therapy for non-muscle invasive bladder cancer. The company is preparing to file its first Biologics License Application, and the analysts noted its favorable position in the market due to its unique mechanism and safety profile. UBS also maintained a Buy rating with a $60 target, highlighting the stable 12-month complete response rate of Cretostimogene compared to a decline in its competitor, TAR-200. The firm emphasized the preference among key opinion leaders for Cretostimogene due to its efficacy and safety.

Cantor Fitzgerald reiterated an Overweight rating with a $75 target, projecting over $2 billion in peak worldwide sales for Cretostimogene. The firm sees it as a strong competitor to TAR-200, especially for patients who relapse after initial treatment. H.C. Wainwright also maintained a Buy rating and a $75 target, highlighting new data from the Phase 3 BOND-003 trial that showed a complete response rate of 75.5%. The trial data demonstrated the treatment’s durability, with a median duration of response surpassing 28 months. Analysts from H.C. Wainwright emphasized the treatment’s best-in-class durability profile compared to competitors like pembrolizumab. These recent developments underscore the growing confidence in CG Oncology’s innovative treatment in the evolving bladder cancer therapy landscape.

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