Wells Fargo analyst James Shin and staff took over protection of cancer-focused biotech Zymeworks Inc. (New York inventory market :SYME) with an obese advice on Tuesday, noting a variety of catalysts the Canadian firm expects to generate over the subsequent a number of months.
Nonetheless, the corporate is reducing ZYME’s goal to $9 from $45 per share, noting a valuation shift to a DCF-based technique with the next low cost charge that displays early-stage medical improvement and uncertainty within the pipeline.
As potential catalysts, Wells Fargo cites important knowledge anticipated for bispecific antibody Zanidatamab as a second-line choice for bile duct most cancers in This fall 2022 and as a first-line mixture remedy in HER2-positive gastroesophageal adenocarcinomas at 1H 2022.
Whereas the previous is a small/uncommon indication, analysts predict a $450 million alternative for the latter, the place they declare the candidate outperformed the mixture of BeiGene (BNE) anti–PD-1 antibodies Trastuzumab and chemotherapy.
The staff additionally expects mid-stage knowledge for a drug mixture together with Zanidatamab as a third-line choice for breast most cancers in This fall 2022. Nonetheless, they see a tough setup attributable to Enhertu, a rival breast most cancers remedy developed by AstraZeneca (AZN) and Daiichi Sankyo (OTCPK:DSKYF) (OTCPK: DSNKY).
In Could, AstraZeneca (AZN) and Daiichi (OTCPK:DSKYF) introduced US regulatory clearance for Enhertu in HER2 optimistic breast most cancers.