NuCana price target lowered to $25 from $150 at Oppenheimer

Oppenheimer lowered the firm’s price target on NuCana to $25 from $150 and keeps an Outperform rating on the shares. The firm notes the company delivered a disappointing update last Thursday with the announcement that the randomized Phase 2 NuTide:323 trial comparing NUC-3373+leucovorin+irinotecan w/bevacizumab to standard-of-care FOLFIRI+bev in 2L metastatic colorectal cancer will be discontinued for futility. Oppenheimer was surprised by this outcome given the cumulative data on ‘3373, including a supportive PFS signal seen in the CRCA setting. The firm’s focus shifts to the earlier-stage NUC-7738, a ProTide transformation of 3’-deoxyadenosine being evaluated in solid tumors and, with Keytruda, in melanoma. Oppenheimer looks forward to updated Phase 2 results on ‘7738 in PD-1 inhibitor-resistant melanoma at ESMO in a few weeks, which follow encouraging data in this setting as shown at AACR in April.