ALX Oncology Holdings (ALXO – Research Report), the Healthcare sector company, was revisited by a Wall Street analyst today. Analyst Swayampakula Ramakanth from H.C. Wainwright maintained a Buy rating on the stock and has a $5.00 price target.
Swayampakula Ramakanth’s rating is based on ALX Oncology Holdings’ promising developments in their clinical pipeline, particularly the potential of their drug candidate, evopacept (Evo), in treating HER2+ breast cancer and microsatellite-stable colorectal cancer (MSS CRC). The decision to explore Evo as a combination therapy for HER2+ breast cancer patients is supported by positive results from previous studies, where Evo demonstrated strong efficacy when combined with other treatments. These findings not only reduce the risk associated with Evo’s development but also provide valuable insights for future clinical trials.
Furthermore, ALX Oncology’s strategic focus on leveraging Evo’s mechanism to target CD47 in MSS CRC, a protein that is overexpressed in this cancer type, highlights the potential for macrophage-mediated immune responses to effectively combat tumors. The company’s plans to initiate new studies and report data in the coming years, along with their ongoing discussions with regulatory bodies for potential accelerated approval, underscore the growth prospects and innovative approach that justify the Buy rating.
According to TipRanks, Ramakanth is a 3-star analyst with an average return of 3.1% and a 34.47% success rate. Ramakanth covers the Healthcare sector, focusing on stocks such as Eton Pharmaceuticals, AbSci, and Ocugen.
In another report released yesterday, Piper Sandler also maintained a Buy rating on the stock with a $9.00 price target.
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