Analysts' Varied Perspectives On CytomX's CX-904 Cancer Study: Safety Profile But Caution in Pancreatic Cancer

Zinger Key Points
  • The analyst increased the price target from $3 to $8 with added potential CX-904 revenues for pancreatic cancer.
  • CytomX expects to provide an additional Phase 1a dose escalation update by the end of 2024.

Wednesday, CytomX Therapeutics Inc CTMX released initial data from the ongoing CX-904 Phase 1a dose escalation clinical study, demonstrating a favorable safety profile and confirmed anti-cancer activity

As of April 16, 2024, data cutoff, the Phase 1 study enrolled 35 heavily pretreated patients with advanced metastatic solid tumor types.

CX-904 demonstrated a favorable safety profile, supporting administration and monitoring enrolled patients in an outpatient setting.

Eight patients had measurable tumor reduction at data cutoff, including 2 of 6 efficacy-evaluable patients (33%) with pancreatic cancer with confirmed partial responses.

All six efficacy-evaluable patients with pancreatic cancer achieved disease control (objective response or stable disease). 

One patient (6 mg target dose) achieved an 83% tumor reduction for the two patients with a confirmed partial response.

The second patient (5 mg target dose) with a confirmed response achieved a 51% tumor reduction and remained on study treatment.

Third pancreatic cancer patient maintained stable disease with no evidence of tumor growth through 3.5 months of study treatment and remained on treatment as of the data cutoff.

The company expects to provide an additional Phase 1a dose escalation update by the end of 2024.

Wednesday, CytomX Therapeutics reported first-quarter EPS of $0.17 compared to $(0.05) a year ago, beating the consensus of $(0.06) 

Sales increased from $23.5 million to $41.46 million.

Wedbush upgraded CytomX Therapeutics to Outperform from Neutral, noting additional promising validation of the masking technology for T-cell engager (TCEs) (>10 partnered research programs are focused in TCEs) and progression of the clinical pipeline programs.

The analyst increased the price target from $3 to $8 with added potential CX-904 revenues for pancreatic cancer.

H.C. Wainwright notes that the negative stock reaction is likely due to the presentation of the respective tumor types and dose levels where tumor regressions were observed. 

“While we believe the dataset in pancreatic cancer looks most encouraging, this is a subtype that has historically faced numerous clinical challenges, leading to setbacks for other biotech firms—as such, we would like to see a broader pancreatic cancer dataset to become more comfortable in this indication,” H.C. Wainwright adds. 

In other subtypes, the analyst awaits further data to see evidence of trends by tumor type and dose level. It reiterates a Neutral rating without a price target.

Price Action: CTMX shares are down 46.1% at $2.259 at last check Thursday.

Image by PDPics from Pixabay

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