On Wednesday, EF Hutton commenced coverage on shares of Anixa Biosciences (NASDAQ: NASDAQ:ANIX), issuing a Buy rating with a price target of $10.00. The biotechnology firm is recognized for its innovative work in the field of cancer treatment, particularly its development of a CAR-T therapy aimed at solid tumors, such as those found in ovarian cancer, which is presently undergoing early clinical trials.
Anixa Biosciences is also advancing in the creation of cancer vaccines, with a focus on one for triple-negative breast cancer and another for ovarian cancer. These vaccines are designed to target specific proteins like alpha-lactalbumin and AMHR2-ED, with the intent to activate the immune system to prevent the onset of cancer.
EF Hutton's analyst highlighted the company's strategic approach to combating cancer through the immune system. By targeting these unique proteins, Anixa aims to develop treatments that could potentially prevent the formation of cancer cells, a method that has garnered attention in the biotechnology industry.
The $10.00 price target set by EF Hutton reflects confidence in Anixa Biosciences' ongoing research and potential in the oncology space. The firm's current projects, including the CAR-T therapy and cancer vaccines, are central to this optimistic outlook.
As Anixa Biosciences continues its clinical trials and development of its cancer-fighting therapies, the Buy rating from EF Hutton signals a positive view of the company's prospects in the market. The targeted approach to immunotherapy and vaccine development is key to Anixa's strategy in addressing challenging forms of cancer.
In other recent news, Anixa Biosciences, in collaboration with Cleveland Clinic, has received a Japanese patent for its breast cancer vaccine technology, adding to its existing patents in the U.S. and Europe. The vaccine, currently in phase one clinical trials, targets a protein associated with certain breast cancers, aiming to stimulate an immune response against tumors expressing this protein. Anixa, the exclusive licensee of this technology, is advancing in its clinical development.
Simultaneously, the biotech firm reported a net loss of $3.1 million for the second fiscal quarter of 2024, lower than the expected loss of $3.5 million. In response to the financial results and a new partnership for cancer vaccine development, H.C. Wainwright adjusted its outlook on Anixa, reducing the 12-month price target to $7.00 from the previous $12.00, while maintaining a Buy rating.
Furthermore, Anixa has initiated treatment for the fifth patient in its Phase 1 clinical trial for a novel CAR-T therapy for ovarian cancer, conducted in partnership with Moffitt Cancer Center. The therapy targets the follicle-stimulating hormone receptor on ovarian cells.
Moreover, Anixa and Cleveland Clinic have entered a joint development agreement to create new vaccines targeting various types of cancer, building on clinical trials for a vaccine against triple-negative breast cancer and pre-clinical work on an ovarian cancer vaccine.
Lastly, the company has expanded its Cancer Business Advisory Board with the addition of Dr. Sanjay Juneja, a renowned medical oncologist. These developments reflect Anixa's ongoing commitment to advancing cancer treatment and prevention through strategic partnerships and innovative technology.
InvestingPro Insights
EF Hutton has initiated coverage on Anixa Biosciences with a bullish stance, and the InvestingPro data provides further context to this perspective. Anixa's market capitalization stands at $102.42 million, reflecting its position as a small-cap biotech player with significant growth potential.
Despite not being profitable in the last twelve months, analysts expect sales growth in the current year, which could indicate a positive trajectory for the company's financial health. Additionally, Anixa holds more cash than debt, suggesting a stable financial footing that could support its ongoing research and development efforts in cancer treatment.
InvestingPro Tips reveal that Anixa has liquid assets exceeding short-term obligations, providing some financial flexibility as it pursues its clinical trials. However, the company faces challenges with weak gross profit margins and is not expected to be profitable this year.
The absence of a dividend payout may not attract income-focused investors, but a strong return over the last month showcases recent investor optimism. For those considering a deeper analysis, InvestingPro offers additional tips that could provide further insights into Anixa's market position and future prospects.
With EF Hutton's target price in mind, investors can weigh the current price against the fair value estimates from analysts and InvestingPro, which stand at $7 and $2.96 respectively. As Anixa Biosciences advances its innovative cancer therapies, these financial metrics and expert insights can help investors make more informed decisions. For a comprehensive outlook, there are 8 additional InvestingPro Tips available for Anixa Biosciences at https://www.investing.com/pro/ANIX.
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