In a report released today, Evan Seigerman from BMO Capital maintained a Buy rating on Merus, with a price target of $110.00.
Elevate Your Investing Strategy:
- Take advantage of TipRanks Premium at 55% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence.
Evan Seigerman has given his Buy rating due to a combination of factors including Merus’s recent clinical achievements and its potential acquisition by Genmab. The company’s promising Phase 2 data for petosemtamab combined with pembrolizumab in first-line head and neck squamous cell carcinoma (1L-HNSCC) has shown improved efficacy, which has caught the attention of several large BioPharma companies.
Additionally, Merus’s stock has appreciated significantly, with a 64% year-to-date increase, largely driven by the positive interim data. The ongoing discussions about a potential acquisition by Genmab, along with the expectation of further positive data from Merus’s pipeline, particularly in metastatic colorectal cancer (mCRC), further support the Buy rating. The potential for a deal exceeding $5 billion, given Merus’s market cap and financial positioning, adds to the attractiveness of the stock.
Seigerman covers the Healthcare sector, focusing on stocks such as Vertex Pharmaceuticals, Bristol-Myers Squibb, and Eli Lilly & Co. According to TipRanks, Seigerman has an average return of 3.6% and a 45.90% success rate on recommended stocks.
In another report released on September 26, Barclays also maintained a Buy rating on the stock with a $112.00 price target.