SAN DIEGO - Kura Oncology, Inc. (NASDAQ: NASDAQ:KURA), a clinical-stage biopharmaceutical company valued at $663 million, announced leadership changes with Dr. Mollie Leoni promoted to Chief Medical (TASE:PMCN) Officer (CMO) and Dr. Francis Burrows to Chief Scientific Officer (CSO). The company's stock has declined over 56% in the past six months and currently trades near its 52-week low of $8.42. According to InvestingPro analysis, the stock appears undervalued based on its Fair Value metrics, with 13 key financial indicators available for deeper analysis. The changes come as Dr. Stephen Dale steps down from his role as CMO and Head of R&D for personal health reasons, effective January 2, 2025.
Dr. Leoni, who has been with Kura since February 2020, previously held the position of Executive Vice President of Clinical Development and was the clinical lead for ziftomenib, a therapy under development for acute myeloid leukemia (AML). Dr. Burrows has been with the company since July 2014, leading translational research efforts and contributing to the development of treatments for various cancers and diabetes.
Under Dr. Dale's leadership, Kura navigated Project Optimus, advanced ziftomenib through its first registration-enabling study, and developed KO-2806 as a potential treatment for multiple solid tumor indications. The company maintains a strong liquidity position with a current ratio of 11.47 and more cash than debt on its balance sheet, though InvestingPro data indicates the company is quickly burning through its cash reserves. Get access to comprehensive financial health scores and detailed analysis of over 1,400 stocks with an InvestingPro subscription. Troy Wilson, President and CEO of Kura Oncology, expressed gratitude for Dr. Dale's contributions and wished him well in his health recovery.
Dr. Leoni's background includes significant experience in oncology and orphan drug development, having worked on several oncology programs, including mogamulizumab, which achieved international registration for cutaneous T-cell lymphoma. She holds degrees from the University of Pennsylvania and trained at Thomas Jefferson University. Dr. Burrows brings over two decades of experience in drug discovery and development, with a focus on cancer biology and small molecule drugs. He earned his Ph.D. in immunology and specialized in antibody-based therapeutics for cancer.
Kura Oncology is focused on developing precision medicines for cancer treatment. Its pipeline includes drug candidates targeting cancer signaling pathways. Ziftomenib has received Breakthrough Therapy Designation from the U.S. Food and Drug Administration for the treatment of relapsed/refractory NPM1-mutant AML. A Phase 2 trial has been completed, with a New Drug Application expected in 2025.
The company is also evaluating ziftomenib in combination with other treatments for newly diagnosed and relapsed/refractory AML. Additionally, KO-2806 is in a Phase 1 trial, and tipifarnib is undergoing a Phase 1/2 trial for head and neck squamous cell carcinoma. With analyst price targets ranging from $11 to $40 and a consensus "Strong Buy" recommendation, the market appears optimistic about Kura's pipeline potential despite current challenges. The company's next earnings report is expected on February 20, 2025. This information is based on a press release statement from Kura Oncology and InvestingPro data.
In other recent news, Kura Oncology is making significant strides, especially with its financial and strategic developments. The company recently announced an expansion of its stock option plan, reserving an additional 1.9 million shares, indicating an intent to attract top talent and expand its workforce. On the financial front, Kura Oncology reported a net loss of $54.4 million for the third quarter, but maintained financial stability with over $455 million in assets.
Kura Oncology has also entered a strategic partnership with Kyowa Kirin that includes a $330 million upfront payment and potential for up to $1.2 billion in total milestone payments. This alliance is expected to fund and speed up the development of ziftomenib, a promising treatment for acute myeloid leukemia (AML).
Furthermore, several analyst firms have updated their outlook on Kura Oncology. Stifel reduced the price target to $11.00 from $18.00 while maintaining a Hold rating. Jefferies also maintained a Buy rating but reduced the stock's price target from $32.00 to $28.00. Meanwhile, H.C. Wainwright reaffirmed a Buy rating and raised the target price to $37.00. These updates followed the recent partnership and revised development trajectory for ziftomenib.
These recent developments highlight Kura Oncology's commitment to advancing its pipeline of oncology treatments and its strategic efforts to strengthen its position in the pharmaceutical industry.
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