Latest news with #ivonescimab
Forbes
2 days ago
- Business
- Forbes
Is SMMT Stock A Buy After Its Recent Plunge?
POLAND - 2025/01/09: In this photo illustration, the Summit Therapeutics company logo is seen ... More displayed on a smartphone screen. (Photo Illustration by Piotr Swat/SOPA Images/LightRocket via Getty Images) Summit Therapeutics (NASDAQ: SMMT) experienced a significant 30% decrease in its stock on Friday, May 30th, closing at $18. This sudden decline came even though the stock had doubled within the past year, driven by favorable updates regarding its lung cancer medication, ivonescimab. The recent drop was caused by a combination of trial outcomes. On a positive note, ivonescimab, when used alongside chemotherapy, reduced the risk of disease progression or mortality by 48%. Furthermore, the company detected no major differences between Asian and Western patient demographics, which holds great importance for future research. Nevertheless, the trial fell short of achieving the 'statistically significant' criteria for overall survival – which the FDA requires for approval. This understandably caused investors to react strongly. However, upon reflection, these results aren't as negative as the market perceived. In fact, we believe this actually brings Summit closer to obtaining FDA approval for ivonescimab since it demonstrates a reduced risk of disease progression and efficacy outside of Asia. Separately, take a look at – Buy, Sell, or Hold HIMS Stock? It's essential to keep in mind that Summit has yet to launch any commercial products, and ivonescimab has the potential to be a significant revenue generator. For biotech firms without market-ready products, their value hinges on the potential of their pipeline. The company has been depleting its resources, reporting net operating losses of $226 million last year and $610 million the year before. Despite the drop on Friday, we believe Summit remains worth considering. Naturally, there are risks involved. Any negative developments regarding its drug pipeline could severely impact the stock – the reaction on Friday clearly demonstrated its sensitivity to setbacks. The stock also has a history of performing poorly during market declines, evidenced by its staggering 94% drop during the 2022 inflation crisis compared to a 25% decline in the S&P 500, and its 78% decrease during the 2020 COVID-19 market correction versus a 34% drop in the S&P 500. Considering the latest results of ivonescimab, Summit Therapeutics could present a promising turnaround opportunity for investors willing to assess the risks involved. However, with numerous other robust investment choices available at present, careful consideration is necessary to determine if SMMT is the right selection. Keep in mind that there is always a significant risk associated with investing in a single stock, or a small number of stocks. Consider Trefis High Quality (HQ) Portfolio which, consisting of 30 stocks, has a proven track record of significantly outperforming the S&P 500 over the previous four-year period. Why is that? In aggregate, HQ Portfolio stocks offered superior returns with reduced risk compared to the benchmark index; they exhibited less volatility, as indicated by HQ Portfolio performance metrics.
South China Morning Post
2 days ago
- Business
- South China Morning Post
Chinese biotech firm Akeso tumbles on US partner Summit's setback for cancer drug
Chinese biotech firm Akeso, whose cancer drug has been hailed as a breakthrough for the nation's pharmaceutical industry, suffered a setback after less favourable clinical data dashed hopes for a quick US regulatory approval. Advertisement Akeso's shares fell 11.6 per cent to HK$73.65 in the morning session on Monday. US partner Summit Therapeutics' Nasdaq-listed shares slumped 30.5 per cent on Friday to US$18.22, the lowest since April 9. Summit said on Friday that the US Food and Drug Administration (FDA) indicated that a 'statistically significant' benefit on overall survival – from start of treatment to death – was required to support marketing approval for the ivonescimab antibody. Ivonescimab targets non-small cell lung cancer patients whose tumours showed a genetic abnormality that drives unusual cell growth. Akeso is based in Zhongshan in China's southern Guangdong province. Photo: Handout Summit said the first global phase-three clinical trial of Akeso's ivonescimab showed that it was effective in restoring patients' immune systems capabilities to attack tumour cells and slowed tumour progression. But ivonescimab had not yet demonstrated a survival benefit for patients in the study.
Yahoo
3 days ago
- Business
- Yahoo
Why Summit Therapeutics Plunged Today
Summit Therapeutics released more data from another HARMONi phase 3 trial. Results were "mixed," which perhaps led to some disappointment in this stock, which had rocketed higher over the past year. Still, all hope is not lost, analysts say. 10 stocks we like better than Summit Therapeutics › Shares of Summit Therapeutics (NASDAQ: SMMT) have plunged 31% as of 1:23 p.m. ET Friday, following the release of some trial data this morning. Summit has been a tremendous winner over the past year, as its bispecific antibody lung cancer drug ivonescimab outperformed prior standards of care in phase 3 trials performed in China by Summit's partner Akeso (OTC: AKES.F). While today's results weren't all bad by any means, apparently investors had hoped for more conclusive information about survival rates. With such high expectations, it appears investors are taking profits or de-risking in a big way. Today's release showed results of the fourth phase 3 trial known as "HARMONi," the first to include a significant Western patient population (about a third of participants). Last year's positive results largely came from a China-only study. On the positive side, today's data did show that ivonescimab in combination with chemotherapy reduced the risk of disease progression or death by 48%. In addition, the company noted no significant differences between the Asian and Western patient populations. However, the trial didn't show a "statistically significant" benefit in overall survival. Summit has been hoping to apply for FDA approval for ivonescimab in the U.S., but the FDA has told the company it will need to show that statistically significant survival benefit in order to get it. Investors may be getting nervous about that eventual approval. However, analysts don't believe investors should panic. Jefferies biotech analyst Kelly Shi noted the survival endpoint still has a chance of being reached as the data matures further and Western trial patients continue to show survival benefits. So basically, it doesn't appear as though the trial has lasted long enough to reach the statistically significant survival threshold, which doesn't mean that it won't get there. Another analyst was also bullish on the data, despite today's drop. Cantor Fitzgerald biotech analyst Eric Schmidt said, "We think it is fairly clear that this is a drug! ... In each of these four trials, the data posted by ivonescimab appear differentiated from and superior to PD-1 therapy." Therefore, investors may want to take a look at Summit on this drop. While today's data didn't meet the threshold many investors had been hoping for, there is still a chance that it will with more time. Given the success ivonescimab has demonstrated over the past year, it seems likely, though not certain, the drug will eventually be approved. Of course, it's a bit difficult to value a stock like Summit, which has a promising drug candidate but no real current revenues and a market cap that, even down 30% today, is still over $13.5 billion. Before you buy stock in Summit Therapeutics, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the for investors to buy now… and Summit Therapeutics wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $638,985!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $853,108!* Now, it's worth noting Stock Advisor's total average return is 978% — a market-crushing outperformance compared to 171% for the S&P 500. Don't miss out on the latest top 10 list, available when you join . See the 10 stocks » *Stock Advisor returns as of May 19, 2025 Billy Duberstein and/or his clients have no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Jefferies Financial Group and Summit Therapeutics. The Motley Fool has a disclosure policy. Why Summit Therapeutics Plunged Today was originally published by The Motley Fool
Axios
20-05-2025
- Business
- Axios
Pfizer signs giant cancer drug deal with Chinese biotech
Pfizer on Tuesday announced a cancer drug licensing deal with Chinese biotech 3SBio that includes a $1.25 billion upfront payment and $4.8 billion in potential earnouts. Pfizer also plans to invest $100 million for an equity stake. Why it matters: This highlights how globalization is still finding a way in pharma, despite trade tensions that threaten to fracture the market. There even were worries expressed during a recent Axios Pro Deals event that there eventually could be U.S. tariffs on Chinese drug IP. Zoom in: Pfizer would get ex-China rights to a bispecific drug candidate for treating colorectal, ovarian and non-small cell lung cancers. It's expected to begin Phase III trials this year in China. Go deeper, via Fierce Biotech: "Interest in PD-1/L1xVEGF bispecifics has been high since Summit and Akeso's ivonescimab beat Merck's megablockbuster Keytruda in a head-to-head trial. Since then, Merck has paid $588 million to join the race and BioNTech has handed over $800 million to secure full rights to a candidate it previously picked up through an ex-China deal."
Yahoo
08-05-2025
- Business
- Yahoo
Can Summit Therapeutics Stock Double Your Money?
Ivonescimab is a promising cancer drug that has sent its shares soaring in the past year. The drug isn't approved yet, but it's involved in dozens of trials and has shown promise. The stock's high price tag could be a problem for investors looking for a big return. 10 stocks we like better than Summit Therapeutics › Summit Therapeutics (NASDAQ: SMMT) has more than just a potential blockbuster cancer drug in its portfolio. Ivonescimab could be one of the best drugs to ever hit the market. This has investors excited that Summit may be one of the next big healthcare companies in the world. After all, sometimes all it takes is one huge drug to change a company's long-term prospects. There's been no shortage of optimism around Summit of late, and if ivonescimab does come to market and proves to be a game changer for the business, that could transform its operations. Could this be an investment that possibly doubles your money within the next five years? The bullish case for Summit Therapeutics, and the reason the stock has been soaring in the past year, is that it's potentially sitting on a drug that could generate tens of billions in revenue. Ivonescimab performed better than one of the best cancer drugs in the world, Keytruda (which Merck owns), in a trial involving non-small cell lung cancer. It could mean a new standard of care for patients. While ivonescimab hasn't obtained approval from regulators yet, Summit and its China-based collaboration partner, Akeso, are studying the drug in over a dozen trials. Investors are more than just a little optimistic that there will be at least some approvals forthcoming for the drug, which could not only justify Summit's $21 billion market cap but may push its valuation even higher. But that high price tag could pose a problem for investors looking to earn a significant return on the stock. For Summit to double in value, its already-high market capitalization would need to soar to more than $40 billion. It's already trading at a significant value for a business that doesn't generate any consistent revenue and doesn't have an approved drug in its portfolio. While there is hope that it may soon have at least one approval, investors shouldn't assume it's a slam dunk. There are serious question marks about ivonescimab. Most of the trials involving the drug take place in China, where there may not be a diverse enough group of participants to convince the U.S. Food and Drug Administration of how safe and effective it is. There are a few global trials taking place, and that could put those fears to rest, but it remains to be seen if they will justify the optimism. With such a high market cap, it could still mean limited gains for investors who take a chance on the healthcare stock at this point. In just the past 12 months, Summit Therapeutics shares have skyrocketed more than 530%. The risk for investors is that a lot of the upside in the stock is already priced in. Approval of ivonescimab may not necessarily send it to a whole new level -- it may simply avoid a steep sell-off. When there's so much speculation involving a stock, there's a tendency for investors to buy the rumor and sell the news. At its current price, there's a lot more risk than there is upside for Summit. While I wouldn't rule out more gains for the stock, especially if ivonescimab obtains approval, I wouldn't expect it to double in value, even within the next five years. But I could see it losing significant value if there are any hiccups along the way for the drug. You may want to take a wait-and-see approach with the stock for the time being. Before you buy stock in Summit Therapeutics, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the for investors to buy now… and Summit Therapeutics wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $613,546!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $695,897!* Now, it's worth noting Stock Advisor's total average return is 893% — a market-crushing outperformance compared to 162% for the S&P 500. Don't miss out on the latest top 10 list, available when you join . See the 10 stocks » *Stock Advisor returns as of May 5, 2025 David Jagielski has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Merck and Summit Therapeutics. The Motley Fool has a disclosure policy. Can Summit Therapeutics Stock Double Your Money? was originally published by The Motley Fool Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
