Piper Sandler Upgrades ImmunityBio (IBRX) to Overweight, Lifts PT

On May 20, Piper Sandler analyst Ed Tenthoff upgraded ImmunityBio Inc. (NASDAQ:IBRX) stock from Neutral to Overweight, raising the price target from $4.25 to $5.00.

In a research note, the analyst told investors that the rating is based on the development of the company's ANKTIVA, t-haNK & M-ceNK cell therapies, and DNA vaccines, which combat cancer by supporting the immune system. ANKTIVA, for non-muscle invasive bladder cancer, is attaining a strong position in the market, with a 2025 sales forecast of $83.5 million.

The rating came after ImmunityBio Inc. (NASDAQ:IBRX) reported strong fiscal Q1 2025 results on May 12, with the net product revenue reaching approximately $16.5 million. This translates to a 129% growth over $7.2 million in fiscal Q4 2024. ANKTIVA unit sales volume in the quarter also underwent a notable 150% rise over fiscal Q4 2024, with monthly volume in March growing 69% compared to February.

Although the FDA's Refusal to File (RTF) letter for ANKTIVA in BCG unresponsive papillary NMIBC was a setback, Piper Sandler sees opportunity for ImmunityBio Inc. (NASDAQ:IBRX) as it is initiating the Phase III QUILT-2.005 trial in BCG naive NMIBC and expects to announce data in the coming year.

While we acknowledge the potential of IBRX as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than IBRX and that has 100x upside potential, check out our report about the cheapest AI stock.

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Disclosure: None.