Buy Rating for Oncolytics Biotech Driven by Promising Pelareorep Data in Pancreatic and Colorectal Cancers

In a report released today, Patrick Trucchio from H.C. Wainwright reiterated a Buy rating on Oncolytics Biotech, with a price target of $5.00.

Patrick Trucchio has given his Buy rating due to a combination of factors that highlight the promising potential of Oncolytics Biotech’s lead candidate, pelareorep, particularly in treating pancreatic and colorectal cancers. The recent key opinion leader (KOL) webinar underscored the strong clinical evidence supporting pelareorep’s efficacy in metastatic pancreatic ductal adenocarcinoma (mPDAC) and KRAS-mutant microsatellite-stable colorectal cancer. Experts from renowned institutions emphasized the compelling response rates and durable disease control observed in the Phase 1/2 GOBLET trial, which showcased a 62% response rate and an 85% disease control rate.
Furthermore, the panel of experts advocated for advancing pelareorep to registration-enabling studies in frontline mPDAC, citing its robust survival data and favorable safety profile. The intravenous administration of pelareorep, without the need for intratumoral delivery, was noted as a significant advantage for broader application, including in community settings. The manageable safety profile, characterized by low-grade flu-like symptoms and transient gastrointestinal effects, further supports the feasibility of a Phase 3 trial with overall survival as the primary endpoint. These factors collectively reinforce the clinical rationale for prioritizing mPDAC in Oncolytics’ development strategy, justifying the Buy rating and the $5 price target.