Sensei stock holds Buy rating, $4 target from H.C. Wainwright

Published 28/03/2025, 12:40
Sensei stock holds Buy rating, $4 target from H.C. Wainwright

On Friday, H.C. Wainwright reaffirmed a Buy rating and a $4.00 price target on Sensei Biotherapeutics (NASDAQ:SNSE) shares, representing significant upside potential from the current trading price of $0.43. According to InvestingPro data, analysts maintain a strong consensus recommendation of 1.33 (where 1 is Strong Buy), with price targets ranging from $3.50 to $4.00. The endorsement followed Sensei’s disclosure of preliminary dose expansion data from its Phase 1/2 trial of solnerstotug (SNS-101), a monoclonal antibody aimed at V-domain Ig suppressor of T-cell activation (VISTA), with a focus on selective targeting for active VISTApH6.0 over VISTApH7.4.

The ongoing Phase 1/2 study, which has enrolled 60 patients as of March 17, 2025, is evaluating solnerstotug’s safety, tolerability, pharmacokinetics, pharmacodynamics, and efficacy. While the company advances its clinical programs, InvestingPro analysis shows Sensei maintains a strong financial position with a current ratio of 8.84, indicating ample liquidity to fund its operations. However, the company is quickly burning through cash, a common characteristic of clinical-stage biotech companies. The drug is being tested as both a monotherapy and in combination with Libtayo (cemiplimab) in patients with advanced solid tumors. The dose expansion segment of the trial includes 40 patients with "hot" tumors, 90% of whom had previously progressed on PD-1/PD-L1 therapy. These patients are receiving solnerstotug in combination with Libtayo.

Out of 21 "hot" tumor PD-(L)1 resistant patients who were evaluable for efficacy, Sensei reported a 14% overall response rate and a 62% disease control rate. Notably, there was a durable complete response in one Merkel cell carcinoma (MCC) patient treated with solnerstotug at 15mg/kg combined with Libtayo. This patient experienced consistent tumor shrinkage up to week 18 and has been tumor-free for 42 weeks and counting. Additionally, partial responses were observed in another MCC patient and in an MSI-High CRC patient, both treated with the same dosage and combination.

All patients who saw tumor shrinkage are continuing with the study, and solnerstotug has been well-tolerated to date. H.C. Wainwright’s analyst cited these findings as the basis for reiterating the Buy rating and $4 price target for Sensei Biotherapeutics. With a current market capitalization of just $10.84 million and a stock that has declined 12% in the past week, InvestingPro analysis indicates the company appears undervalued based on its Fair Value model. InvestingPro subscribers have access to 8 additional key insights about Sensei’s financial health and market position.

In other recent news, Sensei Biotherapeutics, Inc. reported preliminary results from a clinical trial of their cancer therapy, solnerstotug. The Phase 1/2 trial showed a 14% overall response rate in patients resistant to PD-(L)1 inhibitors, which is nearly three times the expected response for such patients. Notably, a complete response was observed in a Merkel Cell Carcinoma patient who has been on treatment for over 42 weeks. The company plans to initiate a Phase 2 study in early 2026, focusing on biomarker-based patient selection. Additionally, Sensei Biotherapeutics is facing potential delisting from the Nasdaq Stock Market due to its stock price falling below the required minimum bid. The company received a second notice from Nasdaq and must regain compliance by July 7, 2025. Sensei Biotherapeutics will be transferred to the Nasdaq Capital Market on January 8, 2025, as it continues to monitor its stock price and consider options like a reverse stock split. If compliance is not achieved, the company may face delisting, with the option to appeal the decision.

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