BHVN - Immunovant: Strategic Edge In The Autoimmune Sector (Rating Upgrade)
2024-04-04 02:12:07 ET
Summary
- Immunovant's IMVT-1402 shows promise for at-home autoimmune treatment, with a differentiated subcutaneous delivery.
- Phase 1 data indicate significant IgG reductions without major side effects, advancing toward registrational trials.
- Financial health appears strong with a 40-month cash runway, but increased R&D could affect this.
- Recommendation: Upgrade to "Buy" given IMVT-1402's potential and current valuation, despite some ongoing risks.
Immunovant's Promising Path: Pioneering At-Home Autoimmune Treatment
Back in September, I detailed Immunovant's ( IMVT ) promising, yet early, IMVT-1402 Phase 1 data. Its anti-FcRn antibody is differentiated in that it can be administered subcutaneously, at home, on a weekly basis. Recall that the current leader in this field is argenx's ( ARGX ) Vyvgart. Vyvgart is an intravenous solution approved for the treatment of generalized myasthenia gravis. Vyvgart is also available as a subcutaneous injection (Vyvgart Hytrulo), but it must be administered by a healthcare professional , which limits its convenience. It has been postulated that the FcRn inhibitor market can exceed $10 billion. Myasthenia gravis is just the start. Vyvgart is actively expanding into indications like primary immune thrombocytopenia and chronic inflammatory demyelinating polyneuropathy. There are a few other autoimmune conditions that anti-FcRn antibodies are likely to be useful in, so you can begin to imagine where the $10 billion figure comes from....
Immunovant: Strategic Edge In The Autoimmune Sector (Rating Upgrade)