TD Cowen analyst Phil Nadeau has maintained their neutral stance on XOMA stock, giving a Hold rating on August 9.
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Phil Nadeau has given his Hold rating due to a combination of factors related to Xoma’s current financial and strategic position. The company’s recent financial performance, including cash receipts and net income, indicates a stable but not overly aggressive growth trajectory. Additionally, Xoma’s cash balance and recent acquisitions, such as those of LAVA Therapeutics, Turnstone Biologics, and the planned acquisition of HilleVax, suggest a strategy focused on expanding its royalty portfolio.
While these acquisitions add potential future revenue streams through royalties, the immediate impact on profitability and growth remains uncertain. The company’s portfolio includes several assets in various stages of development, with key milestones anticipated in the coming years. However, the outcomes of these developments are yet to be determined, which contributes to the cautious Hold rating as investors await further clarity on the success of these strategic moves and their impact on Xoma’s financial health.
According to TipRanks, Nadeau is a 3-star analyst with an average return of 2.7% and a 40.87% success rate. Nadeau covers the Healthcare sector, focusing on stocks such as Kura Oncology, Syndax Pharmaceuticals, and Biogen.
In another report released on August 9, TR | OpenAI – 4o also reiterated a Hold rating on the stock with a $27.00 price target.