On Monday, BTIG reaffirmed its Buy rating and $10.00 stock price target for Beyond Air (NASDAQ:XAIR), following the presentation of additional positive data from a Phase 1a trial. Beyond Cancer, a subsidiary of Beyond Air, showcased these findings at the American Society of Clinical Oncology (ASCO) 2024 Annual Meeting. The trial involved ultra-high concentration nitric oxide (UNO) in patients with solid tumors that had relapsed or were refractory.
The study's results indicated several positive developments, including an increase in dendritic cells and cytotoxic T-cells, as well as central memory T-cells. Additionally, there was a favorable change in the M1/M2 macrophage ratio.
Notably, a 54% reduction in Myeloid Derived Suppressor Cells (MDSCs) was observed at 21 days post-treatment after a single five-minute dose of 50,000 ppm UNO. These outcomes mirrored those in the cohort treated with 25,000 ppm of UNO, which were initially presented in November at the Society for Immunotherapy of Cancer (SITC) annual meeting.
The treatment was generally well-received, with most toxicities classified as Grade 1. However, there was one incident of a Grade 3 adverse event, considered a dose-limiting toxicity, in the 50,000 ppm group. Among the encouraging signs was a case of relapsed/refractory Triple Negative Breast Cancer (TNBC), where the patient exhibited no evidence of malignancy in a satellite lesion 21 days after receiving UNO treatment. Moreover, the patient showed clinical resolution of radiation-induced dermatitis.
BTIG's commentary highlighted the early promising clinical outcomes and expressed anticipation for future updates as more patients undergo treatment with UNO. The firm noted that these recent findings have not prompted any changes to their financial model, and they reiterated their Buy rating on Beyond Air's stock.
InvestingPro Insights
As Beyond Air (NASDAQ:XAIR) continues to show promise with its recent Phase 1a trial results, investors might find the latest real-time data from InvestingPro insightful. The company holds a market capitalization of $57.83M and, notably, has more cash than debt on its balance sheet, which can be a sign of financial resilience.
Still, it is important to note that the company is not currently profitable, with a negative P/E ratio of -0.59 for the last twelve months as of Q3 2024, and analysts do not anticipate profitability this year. Despite the lack of short-term profitability, Beyond Air has experienced a significant return over the last week with a 15.84% price total return, reflecting recent positive sentiments surrounding the trial outcomes.
InvestingPro Tips suggest that while Beyond Air is quickly burning through cash, its liquid assets exceed short-term obligations, providing some cushion for its operations. Nevertheless, the company's stock price often moves in the opposite direction of the market, which may point to a higher degree of volatility or market-specific factors influencing its share price.
For those considering an investment, the company's significant return over the past week and the potential for future growth as it advances its clinical trials should be weighed against its weak gross profit margins and the fact that it does not pay a dividend to shareholders.
For a deeper dive into Beyond Air's financial health and future prospects, investors can explore additional InvestingPro Tips. There are 11 more tips available that can offer further guidance on the company's performance and valuation. To access these insights, visit InvestingPro's dedicated page for Beyond Air at https://www.investing.com/pro/XAIR and remember to use coupon code PRONEWS24 to receive an additional 10% off a yearly or biyearly Pro and Pro+ subscription.
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