PASADENA, Calif. - Xencor, Inc. (NASDAQ: NASDAQ:XNCR), a biopharmaceutical company, today detailed the advancement of novel antibody treatments for autoimmune diseases and cancer. The company is set to initiate a Phase 1 study for XmAb942, an anti-TL1A antibody, in the fourth quarter of 2024, aiming to treat inflammatory bowel diseases with data expected in the first half of 2025.
In the oncology domain, Xencor reported initial positive clinical activity, including RECIST responses, in its ongoing Phase 1 dose-escalation study of XmAb819 for advanced clear cell renal cell carcinoma. The study has not yet reached the maximum tolerated dose, and some patients have been treated for over a year. Further updates on the dose expansion cohort are anticipated in the first half of 2025.
Additionally, XmAb808, targeting B7-H3 x CD28 in advanced solid tumors, has shown PSA declines in patients with metastatic castration-resistant prostate cancer during a monotherapy safety run-in period. The company plans to continue dose escalation in combination with pembrolizumab, with further clinical updates expected in the first half of 2025.
For autoimmune diseases, Xencor is preparing to evaluate plamotamab, a CD20 x CD3 bispecific T-cell engager, in a Phase 1b/2a study for multi-drug resistant rheumatoid arthritis in the first half of 2025. This follows favorable tolerability and efficacy data in hematologic cancers. XmAb657, a CD19 x CD3 bispecific antibody, is set to enter Phase 1 study in the second half of 2025, with preclinical studies showing a high potential for B-cell depletion.
The company also mentioned an XmAb TL1A x IL-23 bispecific antibody program for inflammatory bowel diseases, with first-in-human studies planned for 2026.
Xencor's president and CEO, Bassil Dahiyat, Ph.D., emphasized the company's commitment to leveraging protein engineering to address clinical needs and reduce biological uncertainties, thereby increasing the chances of clinical success.
The information in this article is based on a press release statement from Xencor. Investors and media were informed of these updates during a webcast and conference call hosted by the company earlier today.
In other recent news, Xencor Inc . has experienced notable developments. The biopharmaceutical firm has regained full rights to its cancer treatment drug, plamotamab, following Janssen Biotech, Inc.'s decision to terminate its involvement in the product. Analyst firms, BMO Capital, RBC Capital, and BTIG have adjusted their outlooks on Xencor, reducing their price targets while maintaining positive ratings. BMO Capital and RBC Capital continue to hold an Outperform rating, with new price targets of $32 and $31, respectively. BTIG maintains a Buy rating, lowering its price target to $38.
These adjustments were influenced by the recent developments in plamotamab's status. Furthermore, Xencor has welcomed Bart Cornelissen as its new Senior Vice President and Chief Financial Officer. Cornelissen's appointment is expected to support Xencor's growth through strategic planning and capitalization as its internal pipeline progresses through clinical development. These are the recent developments at Xencor, underscoring the ongoing evolution within the company.
InvestingPro Insights
As Xencor, Inc. (NASDAQ: XNCR) continues to push the boundaries of antibody treatments for autoimmune diseases and cancer, investors are closely monitoring the company's financial health and market performance. According to InvestingPro data, Xencor holds a market capitalization of approximately $1 billion USD. Despite the company's innovative efforts in the biopharmaceutical space, it's important to note that Xencor is not currently profitable, with a negative P/E ratio of -5.6 and an adjusted P/E ratio for the last twelve months as of Q2 2024 at -6.56.
Moreover, the company's revenue growth presents a mixed picture. While there has been a significant year-over-year revenue growth of 17.84%, the quarterly revenue growth has declined by 62.74%. This could be reflective of the cyclical nature of clinical trial milestones and the timing of partnership revenues. Gross profit margins also appear to be under pressure, with a -84.4% margin reported over the last twelve months as of Q2 2024, indicating substantial costs relative to revenues.
InvestingPro Tips for Xencor reveal additional insights that may be crucial for investors. The company is noted to have more cash than debt on its balance sheet, which is a positive sign of financial stability (InvestingPro Tip #0). However, analysts have revised their earnings estimates downwards for the upcoming period, and sales are anticipated to decline in the current year (InvestingPro Tips #1 and #2). This could suggest that while the company is financially stable, it may face challenges in the near term that could impact its growth trajectory.
For those interested in a deeper analysis, there are additional InvestingPro Tips available that provide a comprehensive view of Xencor's financial and market performance. The full list of tips, which includes expectations on profitability and trading positions, can be found on the InvestingPro platform.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.