Strong clinical data from BioXcel Therapeutics Inc BTAI’s two key assets could give the early stage biopharma company a unique play in the neurology and oncology fields, according to Barclays.
Analyst Geoff Meacham initiated coverage on BioXcel with an Overweight rating and $15 price target.
BioXcel’s BXL105 is in development for acute agitation associated with Alzheimer’s, schizophrenia and bipolar disorder.
So far, clinical data has suggested better safety and efficacy results than other agents, Meacham said in a Monday note.
“While there is more clinical data needed to fully de-risk the asset, we are comfortable with the probability of success and ultimately, we forecast peak sales in the $700 million range."
Meacham describes BXCL701, the company’s second key asset, as a “novel oncology drug in development for treatment-emergent neuroendocrine tumors in prostate cancer and pancreatic cancer."
The drug could reach peak sales in the $700-million range given the unmet need in both tNPEC and pancreatic cancer, the analyst said.
“Given what we view a unique play in both neurology and oncology as well as AI, with clinical data expected over the next 12 months, we see good upside potential for BTAI shares."
BioXcel shares were trading up 5.46 percent at the time of publication Monday.
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