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On Wednesday, Stifel analysts reaffirmed their Hold rating on Incyte stock (NASDAQ: NASDAQ:INCY) with a maintained price target of $75.00, representing potential upside from the current trading price of $68.20. According to InvestingPro data, the company maintains strong financial health with more cash than debt on its balance sheet. The decision follows the release of new data from presentations at the American Society of Clinical Oncology (ASCO).
The presentations highlighted incremental data on Incyte’s drug candidates, including INCB123667 and INCB057643. Analysts noted that INCB123667 showed promise in dose-expansion studies for certain cancers, but expressed reservations regarding its potential for accelerated approval, citing a 30% overall response rate that appeared minimally durable. The company’s robust current ratio of 2.04 and strong cash flows provide financial flexibility to advance its drug development programs.
Data on INCB057643, a BET inhibitor, provided insights into its Phase 3 development plans. However, safety and tolerability concerns, such as the risk of secondary malignancies, remain a concern for investors, according to the analysts.
The analysts also pointed to the publication of a late-breaking abstract at the European Hematology Association (EHA) as a significant development. This abstract focused on INCA33989, a monoclonal antibody targeting essential thrombocythemia, which was described as directionally encouraging, though outstanding questions remain.
Stifel’s analysis reflects ongoing scrutiny of Incyte’s drug pipeline, with attention to both the potential and challenges of its investigational therapies.
In other recent news, Incyte has been the focus of several analyst reviews and trial data updates. The company announced promising early data from a study involving mCALR in essential thrombocythemia, showing significant improvements in platelet counts. Citi analysts maintained their Buy rating with an $88.00 price target, citing the trial’s efficacy results as convincing proof-of-concept for the novel mCALR mechanism. Similarly, TD Cowen reiterated a Buy rating, highlighting the potential for disease modification, while JPMorgan maintained a Neutral rating, noting the competitive landscape with Merck (NSE:PROR)’s bomedemstat.
Incyte also presented new data for its monoclonal antibody INCA033989, which was accepted for presentation at the European Hematology Association congress. Despite these advancements, BMO Capital reaffirmed an Underperform rating, citing safety concerns and uncertainty about the company’s broader growth strategy. The analysts from BMO Capital pointed out that the launch of the mCALR antibody is not expected until at least 2028, reflecting caution regarding Incyte’s future growth beyond Jakafi’s exclusivity loss. These developments have been closely watched by investors, with Incyte’s ongoing research and presentations potentially impacting its market presence and product pipeline.
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