Knight Therapeutics Secures Strategic Licensing Agreement with Sumitomo Pharma America, Boosting Market Potential and Investment Appeal

Bloom Burton analyst David Martin PhD has maintained their bullish stance on KHTRF stock, giving a Buy rating on June 5.

David Martin PhD has given his Buy rating due to a combination of factors related to Knight Therapeutics’ strategic moves and market potential. The company has recently secured an exclusive licensing agreement with Sumitomo Pharma America, allowing them to commercialize several promising pharmaceutical assets in Canada. These assets include Myfembree, Orgovyx, and Vibegron, which are either newly approved or soon to be approved, along with three mature drugs. This agreement involves a significant upfront payment and potential milestone payments, indicating a strong commitment to expanding their market presence.
Furthermore, the introduction of Orgovyx, the first oral GnRH receptor antagonist for prostate cancer treatment in Canada, positions Knight Therapeutics favorably against competitors that rely on more invasive administration methods. The potential for these assets to generate substantial revenue, as evidenced by their previous fiscal performance, supports the Buy rating. This strategic acquisition is expected to enhance Knight’s portfolio and drive growth, making it an attractive investment opportunity.

In another report released on June 5, RBC Capital also maintained a Buy rating on the stock with a C$8.00 price target.

KHTRF’s price has also changed moderately for the past six months – from $3.790 to $4.408, which is a 16.31% increase.