On Friday, Piper Sandler initiated coverage on Monopar Therapeutics shares, assigning an Overweight rating and setting a price target of $72.00. The stock, currently trading at $24.46, has shown remarkable momentum with a 1,004% return over the past year.
According to InvestingPro data, analysts maintain a strong buy consensus with price targets ranging from $22 to $37. The firm's analysts believe that Monopar's two therapeutic pursuits, which include radiotherapeutics targeting a novel oncology marker and a small molecule for Wilson disease, offer significant value that surpasses the company's current market capitalization.
The analysts detailed that Monopar's radiotherapeutics harness a unique new oncology target known as uPAR, while their small molecule copper mobilizer has shown promising proof of concept data in treating Wilson disease. These two distinct programs are seen as collectively providing substantial upside to the current stock price. InvestingPro analysis reveals the company maintains strong financial flexibility with a current ratio of 5.41, indicating ample liquidity to fund its development programs.
Piper Sandler predicts that as the year progresses, several key developments are expected to draw investor attention to Monopar. These include the initial efficacy data for the radiopharmaceutical MNPR-101 1H25 and the filing of a New Drug Application (NDA) for ALXN1840 in the treatment of Wilson disease.
The price target of $72 set by Piper Sandler is based on a 9x multiple applied to their 2031 revenue estimate of $409 million for Monopar, which has been discounted back at a rate of 20% per year.
The analysts concluded their coverage initiation by suggesting that Monopar Therapeutics represents a compelling buy opportunity at current levels. While the company shows promise, InvestingPro subscribers can access additional insights, including 8 more ProTips and detailed financial health metrics, to make more informed investment decisions.
In other recent news, Monopar Therapeutics has announced a new stock offering and a private placement of pre-funded warrants, aiming to raise $40 million in gross proceeds. The company has also secured an exclusive global license for ALXN-1840, a drug candidate for Wilson's disease, from Alexion (NASDAQ:ALXN), a subsidiary of AstraZeneca (NASDAQ:AZN) Rare Disease. This strategic move has led to Jones Trading and H.C. Wainwright upgrading their stock price targets for Monopar to $37.00 and $22.00, respectively, both maintaining a Buy rating.
Monopar reported no revenues for the second quarter of 2024 and posted a net loss of $0.10 per share. The company has initiated a Phase I therapeutic trial for MNPR-101-Lu in Australia, targeting patients with advanced solid cancers. Monopar also announced a 5-for-1 reverse stock split, regaining compliance with Nasdaq's minimum bid price requirement.
The company has expanded its partnership with NorthStar Medical (TASE:PMCN) Radioisotopes, securing a long-term contract for the supply of actinium-225, a key radioisotope used in cancer treatment. Lastly, Monopar announced the retirement of CFO Kim R. Tsuchimoto, with Karthik Radhakrishnan set to assume her roles.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.