Cullinan Management’s Strategic Expansion and Promising Velinotamig Results Justify Buy Rating

Analyst Julian Harrison of BTIG maintained a Buy rating on Cullinan Management (CGEM – Research Report), retaining the price target of $32.00.

Julian Harrison’s rating is based on Cullinan Management’s strategic expansion into bispecific T-cell engagers (TCEs) with the acquisition of velinotamig, a BCMA-targeted construct. This move is seen as a genuine pipeline expansion rather than a risk mitigation strategy, reflecting the company’s confidence in the non-overlapping targets of BCMA and CD19. The exclusive global rights, excluding Greater China, to develop and commercialize velinotamig underscore Cullinan’s commitment to advancing this promising therapeutic candidate.
The positive results from the Phase 1 study of velinotamig in relapsed/refractory multiple myeloma patients further support this Buy rating. The study demonstrated a higher overall response rate compared to other approved BCMA TCEs, particularly in patients with extramedullary disease. Additionally, the manageable safety profile, with no observed ICANS and potential strategies to mitigate CRS, enhances the drug’s potential. These factors collectively affirm the management’s conviction in the safety and efficacy of their TCE platform, justifying the optimistic outlook for Cullinan’s stock.

In another report released yesterday, Morgan Stanley also maintained a Buy rating on the stock with a $35.00 price target.