Oppenheimer Reaffirms Buy Rating on Compugen with $4 Price Target

Oppenheimer analyst reaffirms Buy rating on Compugen with a $4.00 price target. The company has a Strong Buy consensus rating on the Street with a $6.00 average price target. The one-year high and low are $2.66 and $1.13, respectively.

Oppenheimer analyst has reaffirmed its Buy rating on Compugen (CGEN) with a price target of $4.00. This reaffirmation comes amidst a Strong Buy consensus rating on the Street with an average price target of $6.00. The one-year high and low for Compugen shares are $2.66 and $1.13, respectively.

Compugen's financial performance has been volatile, with Q1 2025 revenue declining to $2.3 million from $17.47 million in Q4 2024, driven by milestone-dependent partnerships. Despite this decline, the company's cash runway extends into 2027, providing stability for ongoing operations. Analysts project Q2 2025 revenue at $3.95 million, a modest increase from Q1 but still far below the $17.67 million reported in Q3 2024.

The stock has mirrored this uncertainty, with a 9.2% decline from $1.45 in May to $1.39 in July 2025. Despite a "Buy" consensus from analysts and a median price target of $4.00, the 52-week range of $1.13–$2.66 reflects investor skepticism about near-term profitability.

Compugen's recent clinical and strategic advancements in immuno-oncology and AI-driven drug discovery raise critical questions about the company's ability to offset financial headwinds. The initiation of the MAIA-ovarian global adaptive platform trial for COM701 in July 2025 and the Phase 1 trial for GS-0321 with Gilead are significant milestones. The AstraZeneca partnership also remains a cornerstone of Compugen's strategy, with the rilvegostomig program expanding to ten Phase 3 trials across various cancers.

The leadership transition in September 2025, with Anat Cohen-Dayag moving to Executive Chair and Dr. Eran Ophir becoming CEO, signals a strategic shift toward operational execution. This transition aims to stabilize operations and accelerate pipeline execution.

Investors should focus on two key metrics: clinical data and partnership milestones. Positive interim results from the COM701 trial or rilvegostomig's ASCO 2025 presentation could drive a re-rating. Additional payments from AstraZeneca or Gilead would also signal confidence in Compugen's platform.

For risk-tolerant investors, Compugen represents a speculative bet on its AI-driven pipeline and strategic alliances. However, those prioritizing near-term stability may prefer to wait for clearer data before committing. As the August 6 earnings call approaches, all eyes will be on whether Compugen can convince the market that its science is worth the wait.

References:
[1] https://www.ainvest.com/news/compugen-q2-2025-earnings-preview-biotech-ai-driven-pipeline-justifying-downward-revenue-trend-2508/
[2] https://www.theglobeandmail.com/investing/markets/stocks/CGEN/pressreleases/33957159/compugen-reports-q2-2025-results-and-advances-in-immuno-oncology-trials/
[3] https://www.nasdaq.com/articles/compugen-cgen-reports-q2-loss-lags-revenue-estimates