After FDA Approval For Ovarian Cancer Drug, ImmunoGen Becomes Top Pick For This Analyst

• Tuesday, the FDA granted accelerated approval for ImmunoGen Inc’s (NASDAQ: IMGN) Elahere (mirvetuximab soravtansine-gynx) for folate receptor alpha (FRα)-positive, platinum-resistant epithelial ovarian, fallopian tube, or primary peritoneal cancer.

• HC Wainwright says the approved label does not require a prior treatment with bevacizumab, which according to management, could nearly double the eligible patient population.

• The analyst increased the price target from $12 to $20, with a Buy rating.

• Elahere’s broader-than-expected label might result from the FDA’s access to preliminary objective response rate (ORR) and duration of response (DOR) data from both arms of the MIRASOL study.

• Elahere’s label includes a boxed warning for ocular toxicities, but HC Wainwright believes it would have a limited impact on Elahere’s adoption.

• Each 21-day cycle treatment would cost $18,000-$25,000, with an annual cost of $182,400 per patient.

• BMO Capital Markets says ImmunoGen shares were under pressure (-13% vs. -0.26% XBI) following the Elahere approval conference call, which was a surprise.

• BMO analyst raised the price target from $17 to $19 on incrementally more positive on MIRASOL data in early 2023.

• The analyst expects mirvetuximab can only achieve ~$300 million peak sales, undervaluing the ovarian cancer opportunity.

• Price Action: IMGN shares are up 5.09% at $5.27 on the last check Wednesday.

Latest Ratings for IMGN

Date	Firm	Action	From	To
Feb 2022	SVB Leerink	Maintains		Market Perform
Feb 2022	BMO Capital	Initiates Coverage On		Outperform
Dec 2021	Jefferies	Upgrades	Hold	Buy

View More Analyst Ratings for IMGN

View the Latest Analyst Ratings

See more from Benzinga

Don’t miss real-time alerts on your stocks – join Benzinga Pro for free! Try the tool that will help you invest smarter, faster, and better.

© 2022 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.