Quince Therapeutics stock initiated with Market Outperform rating at JMP

Published 05/08/2025, 08:24
Quince Therapeutics stock initiated with Market Outperform rating at JMP

Investing.com - Quince Therapeutics Inc. (NASDAQ:QNCX), a biotech company whose shares have surged over 130% in the past year, received a Market Outperform rating from JMP Securities on Tuesday, as the investment firm initiated coverage on the rare disease-focused company. According to InvestingPro data, the company appears slightly undervalued at its current market cap of $74 million.

JMP set a price target of $9.00 for Quince shares, representing significant upside potential from current trading levels of $1.63. The rating is based on a risk-adjusted, discounted cash flow analysis of the company’s pipeline. InvestingPro analysis reveals analyst targets ranging from $4 to $10, with eight more key insights available to subscribers.

The investment firm highlighted Quince’s proprietary Autologous Intracellular Drug Encapsulation (AIDE) platform, which leverages a patient’s own biology to treat rare diseases. This technology forms the foundation of the company’s therapeutic approach.

JMP identified eDSP as Quince’s lead candidate, describing it as a novel drug/device combination that enables long-term steroid delivery via autologous red blood cells. This approach aims to maintain the benefits of steroids while improving their distribution and pharmacokinetic properties.

The firm noted that Quince’s technology potentially addresses a key limitation of traditional steroid treatments by avoiding the toxicity issues that typically restrict their chronic use in patients with rare diseases.

In other recent news, Quince Therapeutics has announced the successful completion of a private placement agreement, raising approximately $11.5 million in upfront proceeds. This financing, involving institutional and accredited investors, was priced at $1.325 per share, a 10% premium over the previous closing price. The agreement also includes warrants that could potentially bring in an additional $10.4 million if fully exercised. The private placement was led by Nantahala Capital, with participation from existing shareholders and members of Quince’s senior management. Additionally, Quince Therapeutics has appointed Dr. Hassan Abolhassani, an immunology expert from the Karolinska Institutet, to its Scientific Advisory Board. Dr. Abolhassani is the ninth member of the board, which includes experts in rare diseases. These developments reflect recent strategic moves by Quince Therapeutics to strengthen its financial position and scientific expertise.

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