Guggenheim starts Summit Therapeutics at Buy, sees ‘multi-fold upside potential’

As previously reported, Guggenheim initiated coverage of Summit Therapeutics (SMMT) with a Buy rating and $40 price target. The firm liked Summit at $3 when the market was overlooking an imminent ivonescimab head-to-head PFS readout versus Merck’s (MRK) pembrolizumab in lung cancer and it still likes the stock at $24, the analyst tells investors. If Summit’s HARMONi-3/7 first-line lung cancer trials are successful on PFS/OS in 2027-2028, the firm has “high conviction the stock still has multi-fold upside potential from today’s ~$20bn valuation,” the analyst added.