H.C. Wainwright Starts Compugen (CGEN) at Buy

H.C. Wainwright analyst Swayampakula Ramakanth initiates coverage on Compugen (NASDAQ: CGEN) with a Buy rating and a price target of $4.00.

The analyst comments "Immuno-oncology pipeline offers multiple shots on goal. Compugen is a clinical stage biotechnology company with an immuno-oncology pipeline that is anchored by two high-value industry partnerships (AstraZeneca (AZN; not rated) & Gilead (GILD; not rated)) as well as two wholly-owned assets. These assets were designed utilizing Unigen, Compugen’s artificial intelligence and machine learning computational discovery platform. Three of the programs utilize a unique Fc-reduced antibody structure in their design for anti-TIGIT (rilvegostomig and COM902) and anti-PVRIG (COM701). Although TIGIT has experienced many failed programs, Compugen believes that their Fc-reduced structural design may be the solution as it aims to avoid depletion of effector T-cells. The majority of our valuation comes from royalty revenues related to rilvegostomig, as Compugen holds mid-single-digit royalty rights and AstraZeneca estimates peak sales potential of more than $5B – implying a peak royalty stream of over $200M. We believe the pipeline offers multiple shots on goal, and has an attractive risk/reward ratio."

For an analyst ratings summary and ratings history on Compugen click here. For more ratings news on Compugen click here.

Shares of Compugen closed at $1.55 yesterday.

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