BioTuesdays

Maxim recalibrates biotech; lowering PTs as industry multiples contract

In an industry wide series of research reports, Maxim Group analyst Jason McCarthy, Ph.D., lowered price targets on stocks in his coverage universe, saying industry multiples have contracted but company outlooks remain positive.

“Following a strong 2020 with COVID-19 impacting a number of sectors and driving an inflow of capital into biotech (record numbers of IPOs, SPAC mergers, and venture capital deals), 2021 started a sell-off in the industry which has only accelerated into 2022 with indices 25% to 50% off 2021 highs,” Dr. McCarthy said. 

“While fundamentals remain unchanged and balance sheets for some have been strengthened considerably, this must be balanced with shifting macro fundamentals around areas like rising interest rates,” he added. 

However, he said pre-revenue biotech is a data/event driven space and thus execution on clinical programs and reaching key catalysts with positive outcomes will be critical to support valuations rebounding. 

Dr. McCarthy’s target price changes on Feb. 2 include:

  • AIM Immunotech (NASDAQ:AIM) – buy, PT to $3 from $5. 
  • Annovis Bio (NASDAQANVS) – buy, PT to $26 from $70. 
  • Aridis Pharmaceuticals (NASDAQ:ARDS) – buy, PT to $5 from $13. 
  • Artelo Biosciences (NASDAQ:ARTL) – buy, PT to $1.25 from $3. 
  • Atai Life Sciences (NASDAQ:ATAI) – buy, PT to $12 from $25. 
  • 180 Life Sciences (NASDAQ:ANTF) – buy, PT to $5 from $11. 
  • Atossa Therapeutics (NASDAQ:ATOS) – buy, PT to $4 from $7. 
  • Avalo Therapeutics (NASDAQ:AVTX) – buy, PT to $3 from $7. 
  • Biocept (NASDAQ:BIOC) – buy, PT to $7 from $12.
  • Bionano Genomics (NASDAQ:BNGO) – buy, PT to $6 from $12. 
  • Brooklyn Immunotherapeutics (NASDAQ:BTX) – buy, PT to $9 from $20. 
  • 9 Meters Biopharma (NASDAQ:NMTR) – buy, PT to $2 from $3. 
  • Cidara Therapeutics (NASDAQ:CDTX) – buy, PT to $3 from $5. 
  • ContraFect (NASAQ:CFRX) – buy, PT to $9 from $14. 
  • COMPASS Pathways (NASDAQ:CMPS) – buy, PT to $30 from $70. 
  • Clene (NASDAQ:CLNN) – buy, PT to $9 from $18. 
  • Cellectar Biosciences (NASDAQ:CLRB) – buy, PT to $2 from $3. 
  • CNS Pharmaceuticals (NASDAQ:CNSP) – buy, PT to $2 from $4. 
  • Clarus Therapeutics (NASDAQ:CRXT) – buy, PT to $4 from $13. 
  • Cyclo Therapeutics (NASDAQ:CYTH) – buy, PT to $10 from $16. 
  • DiaMedica (NASDAQ:DMAC) – buy, PT to $6 from $11. 
  • Entera Bio (NASDAQ:ENTX) – buy, PT to $6 from $10. 
  • Enveric Biosciences (NASDAQ:ENVB) – buy, PT to $2 from $6. 
  • Cassava Sciences (NASDAQ:SAVA) – buy, PT to $110 from $190. 
  • Field Trip Health (NASDAQ:FTRP) – buy, PT to $5 from $11. 
  • Galmed Pharmaceuticals (NASDAQ:GLMD) – buy, PT to $3 from $6. 
  • GeoVax (NASDAQ:GOVX) – buy, PT to $6 from $10. 
  • Heat Biologics (NASDAQ:HTBX) – buy, PT to $8 from $15. 
  • Indaptus Therapeutics (NASDAQ:INDP) – buy, PT to $11 from $16. 
  • INmune Bio (NASDAQ:INMB) – buy, PT to $22 from $42. 
  • Inovio Pharmaceuticals (NASDAQ:INO) – buy, PT to $11 from $20. 
  • Kintara Therapeutics (NASDAQ:KTRA) – buy, PT to $1.50 from $3. 
  • Moleculin Biotech (NASDAQ:MBRX) – buy, PT to $5 from $10. 
  • Mesoblast (NASDAQ:MESO) – buy, PT to $10 from $18. 
  • MindMed (NASDAQ:MNMD) – buy, PT to $3 from $6. 
  • Monopar Therapeutics (NASDAQ:MNPR) – buy, PT to $8 from $11. 
  • MediciNova (NASDAQ:MNOV) – buy, PT to $6 from $10. 
  • NLS Pharmaceuticals (NASDAQ:NLSP) – buy, PT to $3 from $8.
  • Palisade Bio (NASDAQ:PALI) – buy, PT to $3 from $7.
  • PainReform (NASDAQ:PRFX) – buy, PT to $3 from $6. 
  • Precipio (NASDAQ:PRPO) – buy, PT to $4 from $7.
  • Plus Therapeutics (NASDAQ:PSTV) – buy, PT to $3 from $6.
  • RenovoRx (NASDAQ:RNXT) – buy, PT to $9 from $15. 
  • Reviva Pharmaceuticals (NASDAQ:RVPH) – buy, PT to $5 from $10. 
  • Scynexis (NASDAQ:SCYX) – buy, PT to $11 from $16. 
  • Sellas Life Sciences (NASDAQ:SLS) – buy, PT to $12 from $21. 
  • Synthetic Biologics (NASDAQ:SYN) – buy, PT to $1 from $1.50. 
  • Tracon Pharmaceuticals (NASDAQ:TCON) – buy, PT to $8 from $10. 
  • Viking Therapeutics (NASDAQ:VKTX) – buy, PT to $10 from $14.