Investing.com - Coherus Biosciences (NASDAQ:CHRS) announced a clinical supply agreement with Johnson & Johnson (JNJ) for a Phase 1b trial evaluating JNJ's pasritamig in combination with Coherus's tagmo in metastatic castration-resistant prostate cancer (mCRPC).
The agreement represents additional large pharmaceutical validation of the CCR8 target, according to Oppenheimer, which reiterated an Outperform rating and $10.00 price target on Coherus stock. This aligns with the broader analyst consensus of "Strong Buy" and price targets ranging from $4 to $10, according to InvestingPro data.
Oppenheimer views the combination as mechanistically aligned and potentially promising for historically difficult-to-treat prostate cancer, positioning Coherus as a leader in CCR8 development.
The firm noted Coherus is one of the only companies pursuing T-cell engager (TCE) combination therapy with multiple datasets for PD-1 combination expected this year.
Oppenheimer also highlighted management's capital discipline in streamlining clinical costs for tagmo development by utilizing its own immune checkpoint inhibitor and the now-supplied TCE, with multiple potentially value-driving data catalysts anticipated in 2026. InvestingPro data shows Coherus holds more cash than debt on its balance sheet, trading at a P/E ratio of just 4.2, suggesting the market may not fully value its pipeline potential.
In other recent news, Coherus BioSciences announced a prospectus supplement for its existing Sales Agreement with TD Cowen, allowing the company to offer up to $64.9 million in stock. This development comes as Oppenheimer initiated coverage on Coherus with an Outperform rating and a $10 price target, citing significant growth potential and favorable prospects through 2026. The firm highlighted the potential of Coherus' lead anti-CCR8 antibody, tagmokitug, in combination with its in-licensed PD-1 backbone, Loqtorzi. Additionally, Coherus BioSciences published promising research data on tagmokitug, showing its high selectivity and potential as an anticancer treatment. This research was featured in Molecular Cancer Therapeutics and demonstrated the antibody's ability to target CCR8+ T regulatory cells effectively.
In other company news, SpyGlass Pharma appointed Jean-Frédéric Viret as Chief Financial Officer. Dr. Viret, who has extensive experience in corporate finance within the life sciences industry, previously served as CFO at Coherus BioSciences among other firms.