Jones Trading initiates coverage on CG Oncology stock with Buy rating

Investing.com - Jones Trading initiated coverage on CG Oncology (NASDAQ:CGON) Monday with a Buy rating and a price target of $50.00, representing significant upside from the current price of $33.07. The stock has shown strong momentum, gaining over 23% in the past week.

The firm’s analysis focuses on CG Oncology’s development of cretostimogene grenadenorepvec (creto), an oncolytic virus being tested for Non-Muscle Invasive Bladder Cancer (NMIBC) in multiple treatment settings.

Jones Trading noted that the NMIBC treatment landscape has evolved in recent years with several new drug candidates emerging amid shortages of the BCG vaccine, which serves as the standard of care for this condition.

The research firm highlighted feedback from bladder cancer experts who expressed a need for new therapies and enthusiasm for creto as a potentially effective and safe drug candidate that could dominate specific NMIBC market segments.

Jones Trading cited multiple upcoming clinical readouts in the fourth quarter of 2025, CG Oncology’s strong cash position, and the relatively derisked nature of the drug candidate with potentially best-in-class efficacy as key factors supporting its positive outlook on the company. The company’s next earnings report is scheduled for November 18, 2025, with analyst price targets ranging from $40 to $82.

In other recent news, CG Oncology has reported significant developments regarding its bladder cancer treatment. The company announced updated data from its Phase 3 BOND-003 Cohort C trial, revealing a 41.8% complete response rate at 24 months for its treatment, cretostimogene, in patients with high-risk non-muscle invasive bladder cancer. Impressively, 46 out of 110 patients maintained a complete response, with 90% of those who responded at 12 months remaining disease-free at 24 months. Additionally, CG Oncology has completed enrollment for its Phase 3 PIVOT-006 clinical trial, which evaluates cretostimogene as an adjuvant treatment for intermediate-risk non-muscle invasive bladder cancer, enrolling over 360 patients across more than 90 sites.

Analysts have taken note of these developments, with H.C. Wainwright reiterating a Buy rating on CG Oncology, citing strong clinical data and setting a price target of $75.00. Piper Sandler also initiated coverage with an Overweight rating and a price target of $55.00, although they noted decreased investor expectations for 2025. These ratings reflect optimism about the company’s treatment prospects despite some challenges in market performance.

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