H.C. Wainwright Maintains Buy Rating on Exelixis Despite STELLAR-305 Phase 3 Setback

H.C. Wainwright maintains a Buy rating on Exelixis despite a setback in the STELLAR-305 Phase 3 trial. The analyst trimmed the price target from $53 to $46, but the target is still 21% above the current market price of $38.12. The decision not to proceed with the Phase 3 trial impacted the target cut, as the milestone was crucial in validating the Stellar 305 platform.

On August 12, H.C. Wainwright analyst Robert Burns maintained a Buy rating on Exelixis, Inc. (NASDAQ:EXEL), despite trimming the company’s price target from $53 to $46. The new target is nearly 21% above the current market price of $38.12. The decision not to proceed with the Phase 3 portion of the STELLAR-305 trial led to the target cut. Phase 3 of Stellar 305 was considered crucial for validating the full system performance, mission-readiness, and scalability of the platform.

STELLAR-305 is a clinical trial investigating the use of zanzalintinib, an investigational, oral, third-generation tyrosine kinase inhibitor (TKI) being developed by Exelixis, along with pembrolizumab, a medication used in cancer immunotherapy, as an immune checkpoint inhibitor, for treating recurrent or metastatic head and neck squamous cell carcinoma (HNSCC).

The setback in the Phase 3 trial is a significant development for Exelixis, but the analyst's confidence in the company's long-term prospects remains strong. The price target, despite the cut, is still higher than the current market price, indicating a bullish outlook.

Reference List:
[1] https://uk.finance.yahoo.com/news/h-c-wainwright-maintains-buy-045406193.html
[2] https://finance.yahoo.com/news/h-c-wainwright-maintains-buy-045406193.html