Actuate: B. Riley Securities initiates Buy rating with $20 price target.

Actuate: B. Riley Securities initiates Buy rating with $20 price target.

Actuate Therapeutics (NASDAQ: ACTU), a clinical-stage biopharmaceutical company, has received a positive rating from B. Riley Securities, which initiated a "Buy" rating with a $20 price target. The rating reflects the company's recent advancements in its Phase 2 clinical trial for metastatic pancreatic cancer, which showed promising results [1].

The Phase 2 study, presented at the American Society of Clinical Oncology (ASCO) meeting, demonstrated a doubling of the survival rate of metastatic pancreatic cancer patients at Year 1, an unprecedented outcome. The study involved 286 patients randomized 2:1 to receive Actuate's GSK-3β inhibitor elraglusib (elra) in combination with the standard gemcitabine and nab-paclitaxel (GnP) treatment or GnP alone. Patients in the elra+GnP arm had a median overall survival of 10.1 months compared to 7.2 months for those on GnP alone, with a 37% reduction in the risk of death [1].

The study also indicated that elra can make tumors more visible to the patient's immune system, enhancing the effectiveness of existing cancer therapies. This immune-modulating mechanism of action could potentially extend the benefits of checkpoint immunotherapy to pancreatic tumors, which are typically "cold" and resistant to immune responses [1].

Beyond pancreatic cancer, Actuate's elra is being explored as a backbone platform for combination therapies in other cancers such as colorectal, melanoma, and Ewing sarcoma. The company has announced plans for a Phase 1b trial of elra in combination with Incyte Corporation's PD-1 inhibitor retifanlimab and modified FOLFIRINOX (mFOLFIRINOX) as frontline therapy in advanced pancreatic adenocarcinoma [1].

The positive clinical data and the company's plans for further development have garnered attention from investors. B. Riley Securities' "Buy" rating reflects the potential of Actuate's platform therapy to address the urgent unmet need in a broad range of cancers. The $20 price target is based on the company's clinical progress and the potential market size for its first-in-class platform therapy [1].

References:
[1] https://www.morningstar.com/news/accesswire/1064578msn/actuate-therapeutics-advances-a-new-era-in-oncology-with-potential-universal-backbone-therapy