Affimed’s Financial and Strategic Challenges Lead to Hold Rating Amid Funding and Regulatory Concerns

Leerink Partners analyst Daina Graybosch downgraded the rating on Affimed (AFMD – Research Report) to a Hold today, setting a price target of $0.39.

Daina Graybosch’s rating is based on several critical factors impacting Affimed’s financial and strategic outlook. The primary concern is the company’s inability to secure funding for its three clinical programs, despite promising initial clinical signals. This lack of financial backing is attributed to either the market opportunities not being substantial enough or the clinical signals not being as strong upon closer examination by potential partners.
Additionally, the company’s recent filing indicates a significant reduction in their operational cash runway, raising concerns about their liquidity and ability to continue operations beyond the second quarter of 2025. The potential for accelerated FDA approval for their therapies has also diminished due to regulatory challenges. These factors combined have led to a Hold rating, reflecting uncertainty in the company’s ability to sustain its clinical development programs.