1. Syndax Pharmaceuticals, Inc. (NASDAQ:SNDX)
Number of Hedge Fund Holdings: 49
Syndax Pharmaceuticals, Inc. (NASDAQ:SNDX) is a clinical-stage biopharmaceutical company focused on developing innovative cancer therapies. The company creates novel drugs targeting specific molecular pathways involved in cancer progression. Syndax Pharmaceuticals, Inc. (NASDAQ:SNDX)’s primary focus is on two key drug candidates: revumenib for acute leukemias and axatilimab for chronic graft-versus-host disease (cGVHD).
The company’s Revumenib, currently under Priority Review by the FDA for relapsed/refractory KMT2Ar acute leukemia, has a PDUFA action date of December 26, 2024. This approval could significantly impact the market for acute leukemias. Axatilimab is also under Priority Review for refractory chronic graft-versus-host disease (cGVHD), with a PDUFA action date of August 28, 2024. Approval for this indication would address a critical unmet need in transplant patients. These potential approvals could propel Syndax Pharmaceuticals, Inc. (NASDAQ:SNDX) from a clinical-stage company to a commercial entity with multiple revenue streams.
Financially, the corporation reported a net loss of $84.1 million for Q3 2024 which was driven by increased R&D and SG&A expenses due to clinical trials and commercial readiness. Syndax Pharmaceuticals, Inc. (NASDAQ:SNDX) expects total operating expenses for 2024 to be between $365 and $370 million, with R&D expenses projected at $245 to $250 million. The company also entered into a $350 million royalty financing agreement with Royalty Pharma to fund operations through profitability based on U.S. sales of Niktimvo. As of September 30, 2024, Syndax Pharmaceuticals, Inc. (NASDAQ:SNDX) had cash and investments totaling $399.6 million, which, along with other funding sources, is expected to support operations until profitability is reached.
As of Q3 2024, 49 hedge funds, tracked by Insider Monkey, held stakes in the company with Kynam Capital being the largest stakeholder with shares worth $112.4 million. Based on recent forecasts from 11 analysts, the average 12-month price target for Syndax Pharmaceuticals is $34.56, with a high of $45.00 and a low of $23.00, representing a 92.00% increase from the current price of $18.00.
Overall, SNDX ranks first among the best small-cap biotech stocks. While we acknowledge the potential of biotech companies, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns, and doing so within a shorter timeframe. If you are looking for an AI stock that is more promising than SNDX but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
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