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NEW YORK - Hoth Therapeutics, Inc. (NASDAQ:HOTH) announced Thursday it has begun using Lantern Pharma’s PredictBBB.ai platform, an artificial intelligence tool that predicts blood-brain barrier permeability with 94% accuracy. The micro-cap biotech company, currently valued at $17.63 million, has seen its stock surge nearly 78% year-to-date, reflecting growing investor interest in its innovative approach.
The technology aims to address a significant challenge in drug development by determining whether potential drug candidates can cross the blood-brain barrier, a critical factor for central nervous system treatments. With a strong current ratio of 27.57 and minimal debt, Hoth maintains significant operational flexibility for its research initiatives. According to InvestingPro, the company holds more cash than debt on its balance sheet, positioning it well for continued R&D investment.
"Hoth is committed to deploying disruptive technologies like AI to enhance precision in drug development," said Robb Knie, Chief Executive Officer of Hoth Therapeutics, in the press release. While analysts have set an ambitious $5.00 price target for the stock, InvestingPro analysis reveals additional crucial metrics and insights available to subscribers.
The clinical-stage biopharmaceutical company expects the AI platform to streamline candidate selection, reduce development risk, and accelerate timelines for bringing therapies to market.
Panna Sharma, CEO of Lantern Pharma, described the tool as "a game-changer in CNS drug development" that enables "faster, smarter decisions" in the therapeutic development process.
PredictBBB.ai is part of Lantern’s RADR AI platform and represents one of the growing applications of artificial intelligence in pharmaceutical research.
Hoth Therapeutics focuses on developing treatments across various therapeutic areas and views this technology adoption as aligned with its strategy to improve efficiency while advancing its drug pipeline.
The information in this article is based on a company press release statement.
In other recent news, Hoth Therapeutics announced positive preclinical results for its cancer drug candidate, HT-KIT. The drug demonstrated significant anti-tumor efficacy, with notable tumor cell death and shrinkage observed in preclinical models. This development highlights the potential of HT-KIT as a treatment for aggressive cancers. Additionally, Hoth Therapeutics has extended CEO Robb Knie’s contract for three years, with provisions for automatic renewals. Under this agreement, Mr. Knie will receive a base salary of $550,000 and is eligible for bonuses and equity incentives.
The company is also expanding its Phase II clinical trial of HT-001 into European Union countries, engaging ICON Clinical Research Limited to assist with this process. In collaboration with the U.S. Department of Veterans Affairs, Hoth is evaluating GDNF as a therapy for obesity and fatty liver disease. This study will take place at the Atlanta VA Medical Center. Furthermore, Hoth Therapeutics has entered a non-binding letter of intent with Silo Pharma to form a joint venture focusing on developing an obesity treatment using technology licensed from the VA.
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