10 Oversold Biotech Stocks to Buy Now

7. Janux Therapeutics, Inc. (NASDAQ:JANX)

Relative Strength Index (RSI): 37.02

Janux Therapeutics, Inc. (NASDAQ:JANX) is a clinical-stage biopharmaceutical company working on cancer treatments that activate the immune system to fight tumors. Tumor Activated T-cell Engagers (TRACTr) and Tumor Activated Immunomodulators (TRACIr) are two unique platforms that the company has created.

Janux Therapeutics, Inc. (NASDAQ:JANX) develops safe, efficient treatments that minimize adverse effects while assisting the immune system in eliminating malignancies. For solid tumors, the company is creating a range of TRACTr and TRACIr therapies.

It now has two TRACTr therapies in clinical trials: one targets the Epidermal Growth Factor Receptor (EGFR) for colorectal, lung, head and neck, and kidney malignancies, and the other targets the Prostate-Specific Membrane Antigen (PSMA) for prostate cancer.

The two main candidates of Janux Therapeutics (NASDAQ:JANX) are JANX007, which targets PSMA for prostate cancer, and JANX008, which targets EGFR for a variety of solid tumors. Both JANX008 and the lead candidate, JANX007, are undergoing Phase 1 trials for different solid tumors and metastatic castration-resistant prostate cancer, respectively.

Janux Therapeutics, Inc. (NASDAQ:JANX) reported strong financials for Q3 2024, with $658 million in cash and investments as of September 30, up from $344 million at the end of 2023. This solid cash position ensures the company can continue funding clinical trials and pipeline development.

R&D expenses rose to $18.6 million from $11.9 million in the same period last year, reflecting ongoing work on its clinical programs, JANX007 and JANX008. G&A expenses also jumped to $17.7 million from $6.4 million, mainly due to $9.5 million in stock-based compensation.

Janux Therapeutics, Inc. (NASDAQ:JANX) reported a net loss of $28.1 million for Q3 2024, compared to $11.6 million in 2023. This increase is due to higher spending on research, development, and administrative costs, which are essential for advancing its biotech initiatives. Despite this, Janux remains a compelling option for investors looking at oversold stocks in the biotech industry with strong cash reserves and innovative treatments in development.