BioTuesdays

Maxim ups AIM ImmunoTech PT to $5 from $2

AIM ImmunoTech

Maxim Group raised its price target for AIM ImmunoTech (NYSE American:AIM) to $5 from $2, citing a strengthened balance sheet and a $14.54-million award from the NCI to study its Ampligen drug candidate in up to five new oncology clinical trials across three cancer types: melanoma, colorectal and ovarian. The stock closed at $2.73 on April 3.

Analyst Jason McCarthy writes that the five new trials are in addition to six ongoing evaluating Ampligen in various combinations and oncology indications.

Amid COVID-19 and the potential of Ampligen as an innate immune stimulator, the value of AIM shares has been rising in 2020, Mr. McCarthy said. “However, a $75-million market cap, in our view, still does not capture the potential value of Ampligen in any of its target oncology indications, or in infectious diseases like COVID-19; this points to additional upside, he added.

As a result of recent developments, Mr. McCarthy lowered his risk adjustment across the Ampligen platform to 50% from 70%, which raised his price target.

Sign up for the BioTuesdays weekly newsletter

Get the latest news on the healthcare industry’s corporate and clinical developments, executive moves, and market updates. Every Tuesday, in your inbox.