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On Tuesday, Jefferies analyst Biren Amin revised the price target for Bicycle Therapeutics (NASDAQ:BCYC) stock to $42.00, down from the previous $53.00, while reaffirming a Buy rating for the company. The adjustment comes as the stock trades near its 52-week low of $11.14, having declined about 54% over the past year. The revision follows Bicycle Therapeutics’ financial year 2024 updates, which included promising Phase 1 data for their product Zele+pembo in 1st line Urothelial Carcinoma, showing an objective response rate (ORR) of 65% and a complete response (CR) rate of 25%.
The company also remains on schedule to present Phase 2/3 dose selection data for Duravelo-2 in the second half of 2025. Additionally, Bicycle Therapeutics highlighted upcoming trials in NECTIN4 gene-amplified cancers, with several Phase 1 and 2 trials expected to commence in 2025. The firm anticipates multiple updates concerning radionuclide conjugates from mid to the second half of 2025 and aims to initiate the first clinical trial in 2026.
Bicycle Therapeutics concluded the fourth quarter with a strong cash position of $879.5 million, which is projected to provide the company with financial stability well into the second half of 2027. According to InvestingPro data, the company maintains a healthy current ratio of 17.13, with more cash than debt on its balance sheet. This financial runway is critical for the company as it continues to develop and progress its clinical trials and research initiatives. The maintained Buy rating indicates the analyst’s continued confidence in the company’s potential despite the reduced price target. InvestingPro analysis suggests the stock is currently undervalued, with additional insights available in the comprehensive Pro Research Report, which provides detailed analysis of this and 1,400+ other US stocks.
In other recent news, Bicycle Therapeutics has released promising Phase 1 data for its drug candidate zelenectide pevedotin, showing notable anti-tumor activity and a differentiated safety profile in patients with metastatic urothelial cancer. The ongoing Duravelo-1 trial reported a 65% overall response rate, with no severe treatment-related adverse events of Grade 4 or 5. In financial updates, the company concluded the quarter with approximately $880 million in cash, which is expected to fund operations into the second half of 2027.
Bicycle Therapeutics is advancing its clinical pipeline, with plans to initiate several Phase 1/2 trials of zelenectide pevedotin targeting NECTIN-4 gene-amplified solid tumors in 2025. Meanwhile, analyst firms have made adjustments to their ratings and price targets for the company. Rodman & Renshaw maintained a Buy rating and a $33 price target, citing progress in the clinical pipeline. Conversely, B.Riley reduced its price target to $17 while maintaining a Neutral rating, following clinical data that did not meet expectations.
H.C. Wainwright also adjusted its price target to $33, maintaining a Buy rating due to the drug’s favorable safety profile and potential market penetration. Morgan Stanley (NYSE:MS) kept its Equalweight rating with a $30 price target, noting the clarity in the Phase 2/3 Duravelo-2 trial timing as a positive development. These updates reflect a diverse range of perspectives on Bicycle Therapeutics’ current and future prospects.
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