BioNTech SE: Hold Rating Amid Mixed Clinical Trial Results for BNT327

J.P. Morgan analyst Jessica Fye has maintained their neutral stance on BNTX stock, giving a Hold rating on May 29.

Jessica Fye has given her Hold rating due to a combination of factors surrounding BioNTech SE’s recent clinical trial data. The global phase III HARMONi trial results for BNT327, a VEGFxPD-L1 bispecific, showed a strong progression-free survival (PFS) signal, but the overall survival (OS) improvement was less pronounced. This discrepancy between PFS and OS benefits suggests that while the treatment shows promise, its impact on overall survival is not as significant, which is a critical factor for market valuation.
Moreover, the consistency of these results with prior data from China is reassuring, yet it also highlights the need for more comprehensive data across different settings to fully assess the commercial potential of BNT327. The market may require additional evidence to confidently price in a broad commercial opportunity for the bispecifics. Consequently, while there is potential in BioNTech’s pipeline beyond COVID-19, the current data does not warrant a more aggressive investment stance, leading to the Hold rating.

In another report released on May 29, Goldman Sachs also initiated coverage with a Hold rating on the stock with a $110.00 price target.

Based on the recent corporate insider activity of 32 insiders, corporate insider sentiment is negative on the stock. This means that over the past quarter there has been an increase of insiders selling their shares of BNTX in relation to earlier this year.