IO Biotech price target lowered to $3 from $10 at Piper Sandler

Piper Sandler lowered the firm’s price target on IO Biotech (IOBT) to $3 from $10 and keeps an Overweight rating on the shares following several updates, including recent disclosure of FDA’s recommendation to not submit a BLA based on data from the pivotal study of Cylembio + pembrolizumab in 1L advanced melanoma. IO now intends to align with FDA on design of a potential new registrational study for Cylembio and still plans to discuss the data with EU regulators. Based on this news, the firm is pushing back U.S. launch in advanced melanoma to FY29.