Fennec Pharmaceuticals: Craig-Hallum Raises PT to $14 from $13, Maintains Buy Rating.

Fennec Pharmaceuticals: Craig-Hallum Raises PT to $14 from $13, Maintains Buy Rating.

Fennec Pharmaceuticals Inc. (NASDAQ: FENC; TSX: FRX) has seen its price target raised by Craig-Hallum Capital from $13 to $14, with the firm maintaining a buy rating. The updated assessment reflects the company's robust performance in the second quarter of 2025, marked by a 33% year-over-year (YoY) increase in revenue to $9.7 million, driven by strategic execution and market expansion [1].

Key growth drivers included the addition of 14 new accounts, enhanced adoption of PEDMARK, and expanded patient support programs in the adolescent and young adult (AYA) and pediatric markets. The company's partnership with Norgine for EU market expansion has shown traction in the UK and Germany, with plans to scale to the EU5 countries by 2026 [1].

Fennec's strategic focus remains on clinical adoption, payer access improvements, and resolving production/clinical trial timelines for sustainable growth. The company has achieved significant progress with payers and providers, leading to improved coverage and reduced barriers for sites ready to treat with PEDMARK. The successful initial uptake of PEDMARQSI® in the United Kingdom and Germany, along with the Japan clinical trial (STS-J01) results expected in the second half of 2025, are also positive indicators [2].

Fennec Pharmaceuticals has demonstrated three consecutive quarters of growth, with a focus on stabilizing the business and building sustainable growth. The company's revenue growth is attributed to a focused set of strategic imperatives, including increasing awareness of PEDMARK's benefits, expanding patient support services, and enhancing clinical adoption, particularly in AYA settings [2].

The company's financial results for the second quarter of 2025 ended June 30, 2025, show net product sales of approximately $9.7 million compared to $7.3 million in the second quarter of 2024. Selling and marketing expenses were $4.4 million, and general and administrative (G&A) expenses were $7.0 million. Cash and cash equivalents were $18.7 million as of June 30, 2025, compared to $22.7 million as of March 31, 2025 [2].

The Craig-Hallum Capital update reflects the market's confidence in Fennec Pharmaceuticals' ability to capitalize on its growth opportunities and maintain its strong performance trajectory.

References:
[1] https://www.ainvest.com/news/fennec-pharmaceuticals-q2-2025-unpacking-key-contradictions-patient-adherence-production-timelines-market-strategies-2508/
[2] https://www.globenewswire.com/news-release/2025/08/14/3133259/0/en/Fennec-Pharmaceuticals-Reports-Second-Quarter-2025-Financial-Results-And-Provides-Business-Update.html