Warnings for Nuvation’s Ibtrozi as expected, says JonesResearch

JonesResearch analyst Soumit Roy keeps a Buy rating on Nuvation Bio (NUVB) with a $10 price target after the FDA approved Ibtrozi for adults with locally advanced or metastatic ROS1-positive non-small cell lung cancer. The firm’s physician call yesterday indicated “clear market potential” for Ibtroz. The physician did not bring up any of the adverse events as a concern, but thinks the drug will have a measured ramp of adoption due to rare disease type prevalence and less frequent decision making points, the analyst tells investors in a research note. Jones believes the warnings and precautions on the label are as expected for Ibtrozi, is inline with the class drug, and is better than peer drugs, such as Augtyro, Xalkori and Rozlytrek. Xalkori has added warnings for severe visual loss and cardia and Rozlytrek has added warnings for congestive heart failure, the firm adds.