MiNK Therapeutics stock falls after William Blair downgrade

Investing.com -- MiNK Therapeutics (NASDAQ: INKT) stock fell 30% on Monday, paring a massive 730% gain from Friday after William Blair downgraded the shares following the spectacular rally.

The stock had surged to $64.17 on Friday after the company announced a publication in Nature’s Oncogene describing a complete remission in a testicular cancer patient treated with Opdivo plus agenT-797 in a Phase I trial. However, shares retreated in premarket trading after William Blair analyst Matt Phipps downgraded the stock to Market Perform from Outperform.

Phipps noted that while the clinical results were encouraging, the stock had exceeded the firm’s previous fair-value estimate of $33 following Friday’s rally. The downgrade comes as the analyst awaits additional data from MiNK’s ongoing gastric cancer trial and clarity on how the company will secure necessary funding to expand its pipeline.

The published case involved a patient with treatment-refractory testicular cancer who had previously progressed after multiple therapies, including PD-1-based regimens. The patient achieved complete remission after receiving Opdivo in combination with a single infusion of agenT-797.

MiNK ended the first quarter with only $3.2 million in cash, raising concerns about its ability to fund ongoing research without additional capital.

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