BioTuesdays

Maxim ups Indaptus Therapeutics to buy from hold; PT $16

Maxim Group upgraded Indaptus Therapeutics (NASDAQ:INDP) to a “buy” rating from “hold” with a price target of $16, based on the potential of lead oncology program Decoy20 in pancreatic, liver and colorectal cancers as well as in non-Hodgkin’s lymphoma. The stock closed at $7.54 on Oct. 18.

Analyst Jason McCarthy writes that Indaptus is leveraging the ability of attenuated, non-pathogenic gram-negative bacteria to stimulate both innate and adaptive immune responses for oncology indications, as well as for infectious diseases. 

“In our view, this is building on the success of the world’s original immune therapy, Coley’s toxins, with a modernized, safer, and more effective approach,” he added. 

Dr. McCarthy said the company’s focus plans to evaluate potential indications in solid and liquid tumors, with Phase 1 studies planned in 2022. 

As clinical development gets underway and data is reported, focus may narrow on one or more indications, Dr. McCarthy said. The key is with a cash runway into late 2022, an experienced management team, and a program in Decoy20 that could potentially be paired with several existing cancer therapeutics, “we believe there is significant upside at the current approximate $60-million market capitalization.”

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