On Tuesday, Truist Securities maintained a Buy rating on shares of Affimed (NASDAQ:AFMD) Therapeutics (NASDAQ:AFMD), with a steady price target of $25.00. According to InvestingPro data, analyst targets for AFMD range from $6.00 to $39.79, with the stock currently trading significantly below these levels at $2.13.
The decision comes after the biopharmaceutical company provided an update on its AFM24-102 trial, which evaluates the combination of AFM24 and Atezolizumab in patients with refractory or relapsed EGFR mutant and EGFR wild-type non-small cell lung cancer (NSCLC).
The stock experienced a pre-market drop of approximately 25%, a reaction to median progression-free survival (mPFS) results that fell short of investor expectations. Despite this, the combination treatment continues to show signs of effectiveness, with a reported mPFS of 5.6 months.
InvestingPro analysis indicates the stock's RSI suggests oversold conditions, with the price now trading near its 52-week low of $2.02. Subscribers to InvestingPro can access 12 additional key insights about AFMD's current market position and financial health. Analysts have suggested that a mPFS of 7 months may be necessary for the treatment to be considered competitive within the market.
Further insights from the company's post-hoc exposure analysis indicated that patients receiving the higher 480 mg dose of AFM24 had better overall response rates (ORR), progression-free survival (PFS), and overall survival (OS). In light of these findings, Affimed will proceed with enrolling patients at an increased dose of 720 mg to further investigate these preliminary outcomes.
The company's management's remarks align with the analysis provided by Truist Securities, which appears to support the ongoing development and potential of the AFM24 and Atezolizumab combination therapy. Affimed's commitment to advancing the trial, by testing the higher dosage, reflects an effort to optimize treatment efficacy and patient outcomes in the fight against NSCLC.
While the company maintains a strong current ratio of 1.93 and holds more cash than debt, InvestingPro data shows it's currently experiencing rapid cash burn, a critical factor for investors monitoring its clinical development progress. For detailed analysis of AFMD's financial health and future prospects, investors can access the comprehensive Pro Research Report, available exclusively to InvestingPro subscribers.
In other recent news, Affimed Therapeutics continues to make strides in its clinical programs with promising results. The company recently reported a reduced net loss in Q3 2024, with total revenue standing at €0.2 million, a decrease from €2 million in the same quarter of the previous year. Despite a decrease in cash balance from €72 million at the end of 2023 to €24.1 million, Affimed expects these resources to sustain operations until the fourth quarter of 2025.
H.C. Wainwright reiterated a Buy rating on Affimed, setting a $10 price target based on upcoming clinical data updates for Affimed's AFM24, a potential treatment for non-small cell lung cancer. The firm anticipates data on objective response rate and safety from approximately 40 patients.
This follows initial results from a subset of 15 evaluable patients who were treated with the AFM24/atezo combination, demonstrating a confirmed objective response rate of 27% and a median progression-free survival of 5.9 months.
In line with these developments, Affimed is actively exploring partnership opportunities to secure additional funding and enhance financial stability. The company is also preparing to present significant clinical data on the progress of AFM24 and AFM28 at the American Society of Hematology 2024 conference.
These recent developments underscore Affimed's commitment to advancing its clinical programs and providing innovative treatments for patients with significant unmet medical needs.
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