- BMO Capital Markets raised the price target Replimune Group Inc SUBSTITUTE to $40 from $30 on an optimistic look at upcoming data reads for the leading asset RP1 in melanoma and squamous cell carcinoma of the skin (CSCC).
- The analyst says robust safety and clinical utility would give confidence in RP1 in previous lines of treatment and previous assets, RP2 and RP3.
- The analyst expects RP2 updates for monotherapy and the RP2+Opdivo combination later this year. The first data of the RP3+Opdivo combination are also expected later in 2022.
- RP1 data show superiority over Amgen Inc AMGN Imlygic (approved in 2015 for r/r melanoma, $67 million sales in 2021) and wider acceptance and commercial success are expected.
- Early combo data in CSCC showed an ORR of 64% with a CR of 47.1%. This is a significant improvement over PD1i monotherapy (Libtayo 47% ORR and 4% CR; Keytruda 34% ORR and 4% CR; Opdivo 55% ORR and 0% CR), says the analyst.
- Last year, Replimune a $200 million non-dilutive term loan facility out Hercules Capital Inc HTGC.
- This non-dilutive capital extends the cash runway into 2025.
- Price promotion: REPL shares are up 5.38% to $18.71 on the latest check Friday.
