Goldman Sachs downgrades Iovance Biotherapeutics stock to Sell on Amtagvi adoption challenges

Published 15/07/2025, 09:18
Goldman Sachs downgrades Iovance Biotherapeutics stock to Sell on Amtagvi adoption challenges

Investing.com - Goldman Sachs downgraded Iovance Biotherapeutics (NASDAQ:IOVA) from Buy to Sell and slashed its price target to $1.00 from $8.00, representing a potential 50% downside. The $671 million market cap company has seen its shares plummet nearly 77% over the past year, according to InvestingPro data.

The investment bank cited slower-than-expected adoption of Iovance’s lead drug Amtagvi, a personalized TIL therapy for second-line and later melanoma treatment, as the primary reason for the downgrade.

Goldman Sachs pointed to operational and logistical challenges at authorized treatment centers (ATCs) that have persisted more than a year after launch, limiting patient access to the therapy despite its clinical profile.

The firm’s proprietary physician survey and key opinion leader discussions revealed underutilization of Amtagvi due to a limited eligible patient population, a narrow treatment window, and ongoing complexities at treatment centers.

Goldman Sachs also expressed concern that these same headwinds could be magnified for international launches and for potential second-line non-small cell lung cancer treatment, which the firm estimates could receive approval in 2027.

In other recent news, Iovance Biotherapeutics has reported a real-world retrospective study of its TIL therapy, Amtagvi, showing a 48.8% objective response rate in advanced melanoma patients, with higher response rates in less heavily treated individuals. Amtagvi, which received accelerated FDA approval earlier this year, is the first one-time T cell therapy approved for a solid tumor cancer. In corporate developments, Iovance appointed Matthew W. Rosinack as interim Principal Financial (NASDAQ:PFG) Officer following the resignation of Jean-Marc Bellemin, who is leaving to pursue other opportunities. Shareholders recently approved several key proposals during a virtual annual meeting, including the election of board members and amendments to incentive plans. Additionally, Goldman Sachs reiterated its Buy rating for Iovance stock, following promising 5-year survival data presented at the ASCO meeting, with an overall survival rate of 19.7% for patients treated with Amtagvi. Analysts emphasized the importance of early patient identification and collaboration with melanoma experts to optimize treatment outcomes.

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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