Analysts Cuts Price Target On MacroGenics - Read Why - Macrogenics (NASDAQ:MGNX)

BMO Capital Markets downgraded MacroGenics Inc MGNX to Market Perform following the discontinuation of enoblituzumab (B7H3 antibody) for head and neck cancers.
The analyst said that enoblituzumab was not a meaningful contributor to the last valuation.
The update has eroded confidence in MacroGenics's ability to address the unresolved safety issues with MCG018 (B7H3 ADC).
The company's platform has delivered several clinically active molecules and one commercial program in Margenza.
Related: Patient Death Prompts MacroGenics To Close Mid-Stage Head & Cancer Study.
The analyst says that no program appears to stand out as a necessary value driver over the next 12-18 months. BMO lowered the price target to $4 from $31.
JMP Securities also lowered the price target to $20 from $24 by removing enoblituzumab. The analyst notes that there is no read-across to the B7-H3 targeting ADC MGC018, which will provide data in 2H22.
Price Action: MGNX shares are up 0.70% at $3.58 during the market session on the last check Tuesday.