Oric recent weakness a buying opportunity, says JPMorgan

JPMorgan notes that shares of Oric Pharmaceuticals (ORIC) have come under pressure late yesterday into early today following the release of the abstract for Pfizer’s (PFE) data from the phase 1 dose expansion study of the mevrometostat combo in metastatic castration-resistant prostate cancer that will be presented at the ASCO GU event. Oric shares are off about 20%-30% this morning on top of pressure from late-day trading yesterday, but the firm sees a “fundamental de-risking” for ORIC-944 post the competitive ASCO GU abstract update and would use the recent weakness as a buying opportunity, the analyst tells investors. The firm, which disagrees with the “sell-the-news phenomena” being seen after the abstract release, reiterates an Overweight rating and Analyst Focus List designation on Oric shares based on the long-term potential of ORIC-944 and ORIC-114.