On Tuesday, Marker Therapeutics (NASDAQ:MRKR) stock received a Buy rating from Ladenburg Thalmann, accompanied by a price target of $11.00. The firm recognized the potential in the post-CAR-T therapy market, particularly for treatments following relapse in diffused large B-cell lymphoma (DLBCL) patients.
The recent FDA approvals of CAR-T treatments Yescarta and Breyanzi for second-line Relapsed/Refractory (R/R) DLBCL and their promotion to Category 1 recommendation by the NCCN guidelines have left a gap for patients who progress after treatment.
With a median event-free survival (EFS) of about nine months post-CAR-T, there is a clear need for further therapeutic options. The current patient population in the United States requiring post-CAR-T treatments stands at approximately 3,000 annually, a number expected to rise as more CAR-T therapies become available.
Marker Therapeutics' leading drug candidate, neldaleucel, employs multi-tumor-associated antigen (multiTAA)-specific T cell technology, which broadens the ability of T cells to recognize and attack multiple tumor antigens. This approach leverages the T cells' natural function to target and eliminate tumor cells while reducing the chances of tumor escape due to adaptation.
Neldaleucel targets six antigens commonly found in lymphoma cells and represents an evolution of previous multi-TAA T cell therapies, now including WT1 in its design to cater specifically to post-CAR-T patients.
The initial Phase 1 trial results for neldaleucel have shown promising durable responses in the first three patients treated, all of whom had undergone multiple prior lines of therapy. These outcomes have bolstered confidence in the treatment's potential efficacy and safety profile, which has been established through its predecessors in over 200 patients across seven different indications.
Looking ahead, Ladenburg Thalmann anticipates that continued positive trial results could lead Marker Therapeutics to initiate a pivotal Phase 2 single-arm trial. This trial would potentially enroll 60-100 post-CAR-T patients, with a target start date in 2025 and results expected by 2026. The initiation of coverage with a Buy rating and the setting of an $11 price target reflect the firm's optimism about the future prospects of neldaleucel and Marker Therapeutics.
InvestingPro Insights
In light of the Ladenburg Thalmann's optimistic outlook on Marker Therapeutics (NASDAQ:MRKR), current real-time data from InvestingPro provides additional context for investors considering this biotech firm. With a market capitalization of $36.68 million, Marker Therapeutics holds a significant position in the biotech industry despite its challenges. The company's P/E ratio stands at -4.40, indicating that investors are willing to bear with current losses in anticipation of future gains. This is further supported by the company's adjusted P/E ratio for the last twelve months as of Q4 2023, which is -2.64, reflecting a slightly more favorable investor sentiment.
However, the financial health of the company shows some concerns, as evidenced by a gross profit margin of -214.6% for the same period. This suggests that the company is not currently generating enough revenue to cover the cost of goods sold, which can be a red flag for potential investors. On a more positive note, the InvestingPro Tips highlight that Marker Therapeutics holds more cash than debt on its balance sheet and has liquid assets that exceed short-term obligations, which may provide some financial flexibility in its operations and research development.
For investors looking for more in-depth analysis, there are an additional 10 InvestingPro Tips available, which could provide further guidance on the potential risks and opportunities associated with Marker Therapeutics. To access these insights, visit https://www.investing.com/pro/MRKR and consider using the coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription.
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