After over a 20% decline in the previous session, clinical-stage biotech Alaunos Therapeutics, Inc. (NASDAQ:TCRT) extended losses on Thursday as Street reacted to the company’s early Phase 1/2 data for solid tumor therapy, which Cantor Fitzgerald said ticked all the boxes for the first patient.
The open-label dose escalation study currently underway at The University of Texas MD Anderson Cancer Center indicated a partial response for the patient who had non-small cell lung cancer despite three prior lines of therapy.
Cantor analyst Prakhar Agrawal attributes the selloff to “sell the news event” and market expectations for a complete response which wasn’t the case for the patient.
“Update for the first patient checks all the boxes on efficacy, safety, persistence but most of this was already priced in the stock,” Agrawal wrote with an Overweight rating and a $5 per share target.
TCRT plans to include the readout at the CRI-ENCI-AACR International Cancer Immunotherapy Conference (CICON) next week.
However, Agrawal notes uncertainty over additional patient data, which he said is required to drive near-term upside in the lead-up to the Sep. 30 presentation.
Read: Ahead of the readout, Seeking Alpha contributor Terry Chrisomalis called TCRT “a great speculative biotech play.”