H.C. Wainwright maintains Buy on ArriVent shares, $39 target

On Friday, H.C. Wainwright reiterated its Buy rating on ArriVent BioPharma (NASDAQ:AVBP) with a price target of $39.00, representing a potential 79% upside from the current price of $21.81. According to InvestingPro data, analyst targets range from $36 to $41, with a strong consensus Buy recommendation of 1.2 (on a scale of 1-5, where 1 is Strong Buy). The firm’s analyst highlighted the recent clinical data from ArriVent’s firmonertinib, an investigational treatment for non-small cell lung cancer (NSCLC) with EGFR PACC mutations. The oral presentation at the World Conference on Lung Cancer (WCLC) in 2024 showcased firmonertinib’s promising efficacy and safety profile.

According to the data presented, the best objective response rate (ORR) for firmonertinib was 47.8% and 81.8% at doses of 160mg and 240mg respectively. The confirmed ORR was 34.8% and 63.6% at these doses, as assessed by blinded independent central review (BICR). The median duration of response has not been reached, with a high percentage of patients with confirmed responses continuing in the study, and responses appear to deepen over time.

The analyst noted that firmonertinib showed effectiveness in both common and less frequent EGFR PACC mutations. Additionally, a significant portion of first-line patients with brain metastases achieved a confirmed CNS ORR. From a safety perspective, the treatment-related adverse events (TRAEs) and impacts on dosing were within manageable ranges at both tested doses.

The significance of these results is underscored by the lack of FDA-approved treatments for NSCLC patients with EGFR PACC mutations. The analyst compared firmonertinib’s ORR favorably to the outcomes seen with first-, second-, and third-generation tyrosine kinase inhibitors (TKIs) as reported in a systematic review by Borgeaud and colleagues. ArriVent, with a market capitalization of $742 million, maintains a strong financial position with InvestingPro analysis showing more cash than debt and a healthy current ratio of 13.14x.

In light of the unmet medical need and firmonertinib’s clinical performance, H.C. Wainwright reaffirmed its optimistic outlook on ArriVent BioPharma’s stock, maintaining the $39 price target for the next 12 months. While the stock has experienced a 7.6% decline over the past week, InvestingPro analysis reveals 7 additional key insights about ArriVent’s financial health and market position. Subscribers can access detailed valuation metrics, comprehensive financial health scores, and expert analysis to make more informed investment decisions.

In other recent news, ArriVent BioPharma shared its year-end financial results, revealing a cash reserve of $266.5 million. This financial position is projected by Oppenheimer to support the company’s operations through 2026. The company provided a business update, highlighting significant developments in its firmonertinib program, with expectations for further progress in the first half of 2025. ArriVent BioPharma also reported advancements in its Antibody-Drug Conjugate programs, developed in collaboration with Lepu Biopharma, Aarvick Therapeutics, and Jiangsu Alphamab. These efforts are part of the company’s strategy to expand its treatment pipeline. Oppenheimer reaffirmed its Outperform rating for ArriVent BioPharma with a $39.00 price target, reflecting confidence in the company’s strategic initiatives. The company plans to release updates on EGFR-PACC mutation data and top-line results from the FURVENT study in 2025. These recent developments indicate ArriVent BioPharma’s ongoing commitment to advancing its research and development activities.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.