Guggenheim on Celldex Therapeutics (CLDX): 'We continue to think today's stock reaction is overdone'

Guggenheim analyst Yatin Suneja reiterated a Buy rating and {REMOVEPT} price target on Celldex Therapeutics (NASDAQ: CLDX).

The analyst comments "Following today's CLDX announcement of the 52-week data from the Phase II study for barzolvolimab (anti-c-Kit mAb) in CSU, we've been hearing from many investors who have additional questions and concerns regarding the safety and tolerability profile, in particular: (1) the increase in neutropenia (17%), which almost doubled from week 12 (9%); (2) the hypopigmentation cases; and (3) the 2 cases of macrocytic anemia. The company provided further details on the neutrophil counts (see figure below), noting "these counts are stable (after the initial drop [mgmt] guided to) through 52 weeks. Long term treatment does not lead to further decline" (emphasis added). Importantly, there were no further Grade 3 adverse events in the study (other than one case of neutropenia disclosed at week 12) and the on-target cKIT-related AEs are expected to be reversible, per the company. Our previous KOL checks confirm that physicians are okay with the overall drug profile for barzo as a 2L product in CSU. We continue to think today's stock reaction is overdone and are buyers on this weakness (-17% intraday vs. XBI -1%)."

For an analyst ratings summary and ratings history on Celldex Therapeutics click here. For more ratings news on Celldex Therapeutics click here.

Shares of Celldex Therapeutics closed at $40.96 yesterday.

You May Also Be Interested In

• Stripe, Advent In Talks To Buy Paypal - WSJ
• Critical One Energy closes second tranche of flow-through placement
• Aurora Spine settles patent dispute, secures $600K insider loan