Nvidia shares pop as analysts dismiss AI bubble concerns
Investing.com - Nuvation Bio Inc (NYSE:NUVB) received a Buy rating initiation from B.Riley on Wednesday, with analyst Mayank Mamtani setting a $12.00 price target for the biopharmaceutical company. The target represents a 150% upside from the current price of $4.80, with InvestingPro data showing the stock is slightly undervalued based on its Fair Value assessment.
The positive rating is primarily driven by the strong commercial launch of Nuvation’s lead drug IBTROZI (taletrectinib) for ROS1-positive non-small cell lung cancer (NSCLC), which received FDA approval in June 2025. The drug recorded 204 new patient starts in the third quarter of 2025, exceeding investor expectations for its first quarter on the market. This successful launch has contributed to Nuvation’s impressive 1137% revenue growth in the last twelve months.
B.Riley highlighted taletrectinib’s attributes as a highly selective, next-generation oral ROS1 tyrosine kinase inhibitor (TKI), noting its "remarkably high and durable response rates" demonstrated in pivotal Phase 3 TRUST-I and II trials involving approximately 300 patients. The firm emphasized the drug’s brain-penetrant efficacy as a key differentiator. InvestingPro data reveals the stock has delivered an 85% return over the past year and a remarkable 109% gain in the last six months, though investors should note its beta of 1.64 indicates higher volatility than the market.
The research firm expects Ibtrozi to drive significant market expansion across different treatment lines in the ROS1-positive NSCLC space, comparing its potential impact to previous multi-billion dollar market expansions seen with AstraZeneca’s Tagrisso and Pfizer’s Lorbrena in other mutation-defined lung cancers.
According to B.Riley, the greatest value creation potential for Nuvation Bio lies in Ibtrozi’s frontline use, with the drug’s performance in both treatment-naïve and previously treated patient populations supporting the positive outlook. With a market capitalization of $1.65 billion, Nuvation Bio’s future hinges on Ibtrozi’s commercial success. Discover more comprehensive analysis in Nuvation’s Pro Research Report, available on InvestingPro along with 10+ additional ProTips and dozens of financial metrics that can help you make more informed investment decisions.
In other recent news, Nuvation Bio Inc. reported its third-quarter 2025 earnings, showcasing a remarkable revenue performance. The company achieved a revenue of $13.1 million, significantly surpassing the forecasted $6.8 million, resulting in a 92.94% surprise. Additionally, Nuvation Bio reported an earnings per share (EPS) of -$0.16, which was slightly better than the anticipated -$0.17. Following these results, Citizens raised its price target for Nuvation Bio from $6.00 to $8.00, maintaining a Market Outperform rating. The research firm highlighted the strong performance of Nuvation Bio’s Ibtrozi, noting 204 new starts in the third quarter of 2025. This launch trajectory is reportedly exceeding expectations and outpacing similar ROS1 inhibitor launches. These developments reflect the company’s robust performance in the recent quarter.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.