In this article, we will take a look at the 5 stocks with biggest upside potential according to analysts. To read our analysis of recent market trends, you can go to 12 Stocks with Biggest Upside Potential According to Analysts.
5. Arvinas, Inc. (NASDAQ:ARVN)
Number of Hedge Fund Holders: 22
Upside Potential as of July 20: 188.63%
New Haven, Connecticut-based Arvinas, Inc. (NASDAQ:ARVN) is a clinical-stage biopharmaceutical company focused on the development of therapies that degrade disease-causing proteins. It uses its proprietary PROTAC® Discovery Engine platform to engineer targeted protein degraders that are designed to harness the body’s own natural protein disposal system to degrade and remove disease-causing proteins selectively and efficiently.
The clinical stage programs of Arvinas, Inc. (NASDAQ:ARVN) include bavdegalutamide (ARV-110) and ARV-766 for the treatment of men with prostate cancer, and vepdegestrant (ARV-471) for the treatment of patients with breast cancer.
On July 6, Carrick Therapeutics Ltd announced a clinical trial collaboration and supply agreement with Arvinas, Inc. (NASDAQ:ARVN) and Pfizer Inc. (NYSE:PFE). The agreement covers the execution of a Phase 1b/2 clinical trial to evaluate the combination of Carrick’s samuraciclib (CT7001) and Arvinas’ vepdegestrant for the treatment of advanced breast cancer.
On June 26, Oppenheimer analyst Matthew Biegler assumed coverage of Arvinas, Inc. (NASDAQ:ARVN) shares with an ‘Outperform’ rating and a target price of $95.0 per share. The target price represents a potential upside of 291.43% based on the share price on July 20.
4. Iovance Biotherapeutics, Inc. (NASDAQ:IOVA)
Number of Hedge Fund Holders: 40
Upside Potential as of July 20: 224.02%
San Carlos, California-based Iovance Biotherapeutics, Inc. (NASDAQ:IOVA) is a biotechnology company focused on innovating, developing, and delivering tumor infiltrating lymphocyte (TIL) therapies for patients with cancer. Its lead late-stage product candidate, lifileucel for metastatic melanoma, has the potential to become the first approved one-time cell therapy for a solid tumor cancer.
On July 13, Iovance Biotherapeutics, Inc. (NASDAQ:IOVA) announced the closing of an underwritten public offering of 23 million of its common stock at an offering price of $7.50 per share. The offering generated gross proceeds of $173 million which the company intends to use for the commercial launch of lifileucel (if approved), to continue to prepare the company’s manufacturing facility in Philadelphia, and for other activities.
Previously on July 10, Iovance Biotherapeutics, Inc. (NASDAQ:IOVA) announced that it had received positive feedback from FDA for its IOV-LUN-202 trial for accelerated approval of TIL therapy in advanced non-small cell lung cancer. Following the announcement, Chardan Capital reiterated a ‘Buy’ rating and a $29 price target for the shares of the company.
As of Q1 2023, Iovance Biotherapeutics, Inc. (NASDAQ:IOVA) was the second most commonly held stock out of the 12 stocks with biggest upside potential according to analysts. Its shares were held by 40 of the 934 prominent hedge funds tracked by Insider Monkey with a total value of $463 million.
3. AbCellera Biologics Inc. (NASDAQ:ABCL)
Number of Hedge Fund Holders: 19
Upside Potential as of July 20: 238.44%
Vancouver, British Columbia-based AbCellera Biologics Inc. (NASDAQ:ABCL) is a technology company that searches, decodes, and analyzes natural immune systems to find antibodies that its partners can develop into drugs to prevent and treat disease. Its drug discovery platform integrates engineering, microfluidics, single-cell analysis, high-throughput genomics, machine learning, and hyper-scale data science to accelerate drug discovery.
On May 24, AbCellera Biologics Inc. (NASDAQ:ABCL) announced a C$701 million co-investment partnership with the Governments of Canada and British Columbia to strengthen capabilities and infrastructure for drug development, manufacturing, and clinical research in Canada. AbCellera Biologics Inc. (NASDAQ:ABCL) plans to invest C$401 million in the project over the next 8 years.
On May 5, Credit Suisse lowered the target price on AbCellera Biologics Inc. (NASDAQ:ABCL) shares to $28 from $34 while maintaining an ‘Outperform’ rating for the shares. The target price represents an upside potential of nearly 258% based on the share price on July 20.
2. Day One Biopharmaceuticals, Inc. (NASDAQ:DAWN)
Number of Hedge Fund Holders: 22
Upside Potential as of July 20: 242.34%
Brisbane, California-based Day One Biopharmaceuticals, Inc. (NASDAQ:DAWN) is a clinical-stage biopharmaceutical company developing targeted therapies for patients of all ages with life-threatening diseases. Its lead product candidate, tovorafenib (DAY101), is an investigational, oral, brain-penetrant, highly selective type II pan-RAF kinase inhibitor.
On June 12, Day One Biopharmaceuticals, Inc. (NASDAQ:DAWN) announced the close of its previously announced public offering of its common stock at a public offering price of $13.00 per share to raise gross proceeds of nearly $172.5 million.
On June 5, HC Wainwright & Co. raised the price target on Day One Biopharmaceuticals, Inc. (NASDAQ:DAWN) shares to $50 from $45 and maintained a ‘Buy’ rating for the shares. The target price represents a potential upside of nearly 321% based on the share price on July 20.
1. Vir Biotechnology, Inc. (NASDAQ:VIR)
Number of Hedge Fund Holders: 22
Upside Potential as of July 20: 282.48%
San Francisco, California-based Vir Biotechnology, Inc. (NASDAQ:VIR) is a commercial-stage immunology company focused on the development of therapies to treat and prevent serious infectious diseases. Its current development pipeline consists of product candidates targeting COVID-19, hepatitis B and D viruses, influenza A and human immunodeficiency virus.
On July 20, Vir Biotechnology, Inc. (NASDAQ:VIR) announced that the Phase 2 Prevention of Illness Due to Influenza A (PENINSULA) trial evaluating VIR-2482 for the prevention of symptomatic influenza A illness did not meet primary or secondary efficacy endpoints.
Following the announcement, HC Wainwright & Co. reiterated its target price of $100 and a ‘Buy’ rating for Vir Biotechnology, Inc. (NASDAQ:VIR) shares. The analyst believes that the selloff of the company’s shares following the trial miss was ‘overdone’.
As of Q1 2023, Vir Biotechnology, Inc. (NASDAQ:VIR) shares were owned by 22 of the 943 hedge funds tracked by Insider Monkey, with a total value of $161 million. Notable hedge fund investors included Point72 Asset Management, Avidity Partners Management, and Renaissance Technologies, among others.
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