Piper Comments On Increased Interest To Invest In Arcturus, 'Incrementally Positive' On Argenx


Piper Sandler noted that Arcturus Therapeutics Holdings Inc's ARCT recently filed 10-K mentions funding of $25 million from a "pharmaceutical company" to run a clinical trial for LUNAR-COV19 vaccine candidate as a booster. 

  • According to analyst Yasmeen Rahimi, the investment either means that the undisclosed pharma company believes that ARCT-154 data will be positive or that they have already seen the data and decided to invest ahead of its disclosure. 
  • Either way, she believes that increased interest from "strategics" validates the LUNAR platform, and she has "high conviction" in a positive outcome for ARCT-154. 
  • Related: Arcturus Therapeutics' COVID-19 Booster Clinical Trial Show Encouraging Neutralizing Antibody Responses.
  • The analyst keeps an overweight rating and a $140 price target on Arcturus.

Piper Sandler is also "incrementally positive" on Argenx SE ARGX after subcutaneously (SC) administered efgartigimod demonstrated noninferiority in total IgG reduction compared to IV route.

  • Analyst Allison Bratzel notes that while bridging trials are not typically high-risk, the SC formulation is critical to uptake. There was some investor scrutiny on this catalyst. 
  • The analyst continues to like the setup for Argenx with the SC opportunity "now meaningfully de-risked." 
  • She keeps an Overweight rating on the shares with a $375 price target.
  • Price Action: ARCT shares are up 13.10% at $27.67, and ARGX stock is up 5.44% at $314.75 during the market session on the last check Tuesday.
  • Photo by artisano via Pixabay
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