Cue Biopharma stock adds to gains after Nobel Prize validates CUE-401 approach

Investing.com -- Cue Biopharma (NASDAQ:CUE) stock rose 9% Thursday, adding to recent gains, after the 2025 Nobel Prize in Physiology or Medicine recognized breakthroughs in immune regulation that align with the company’s CUE-401 development program.

The Nobel Prize was awarded to Mary E. Brunkow, Fred Ramsdell, and Shimon Sakaguchi for their discoveries in peripheral immune tolerance and regulatory T cells (Tregs), validating the scientific foundation of Cue’s approach to treating autoimmune diseases.

CUE-401 employs a dual IL-2/TGF-β mechanism designed to rebalance immune homeostasis by expanding Tregs while suppressing pathogenic effector cells. The company’s preclinical data has shown the molecule can induce potent and stable Tregs, suggesting potential applications across multiple autoimmune conditions.

Dev Prasad, an analyst at Lucid Capital Markets, commented on the development in a note earlier this week, writing: "The 2025 Nobel Prize in Physiology or Medicine spotlighted the foundational biology of regulatory T cells (Tregs) and immune tolerance, directly validating the scientific rationale behind Cue’s CUE-401 program. With a rationally engineered dual IL-2/TGF-β mechanism, we view CUE-401 designed to precisely rebalance immune homeostasis by expanding Tregs while suppressing pathogenic effector cells. Robust preclinical data have demonstrated potent and stable Treg induction and supporting the molecule’s disease-modifying potential across multiple autoimmune indications."

Cue Biopharma is advancing CUE-401 toward first-in-human studies, with initial development focused on atopic dermatitis as an entry point for demonstrating the drug’s biological activity.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.