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2 ‘Strong Buy’ shares about $ 10 with a three-digit upside potential
The S&P 500 rose to another record high on Friday, and at least one strategist believes we are at the start of a new bull market. Chief market strategist Ryan Detrick, written by LPL Financial, noted several market historical points that indicate sustained gains are underway. The most important of its points are the returns in the first quarter and the size of the current shares. With the return, Detrick emphasizes that the S&P 500 rose almost 6% in the first quarter – and that the 6% level was an accurate indicator of short-term trends. “Since 1950, when the S&P 500 rose between 5% and 10% in the first quarter, the rest of the year has risen by an average of 12.4%, 86.7% of the time,” the strategist said. noticed. profits, however, may be a more important point. Detrick tells us that current rallies attract participation from a variety of market sectors – the stocks are virtually higher than 95% of the S&P 500 components moving above their 200 days. on average over the past few weeks. Detrick shows that this pattern was common in December 2003 and September 2009 – and that the two months were the beginning of years of bull run. This is therefore the key to finding supplies in the coming environment. with the TipRanks database, we found two stocks that fit a profile: they boast a consensus rating of Strong Buy analysts, trading prices around $ 10 per share, and best of all: it can speak to great growth prospects for us across your table t three-digit upside potential here. F-star Therapeutics (FSTX) The first place is F-star Therapeutics, a clinical stage of biopharma focusing on immune oncology. The company’s pipeline contains tetravalent bis-specific mAb2 antibodies, an proprietary technology that, according to F-star, will address the challenges of immune oncology therapies. According to the company, the antibodies are ‘designed to address multiple immune pathways’, enhancing their effect on currently available treatments. F-star has a development pipeline with both proprietary and partnership programs. FS118, the most advanced drug candidate, completed a Phase 1 clinical trial, which showed positive results, with signs of clinical activity related to its new mechanism of action. A trial-of-concept trial is now underway, with patients suffering from PD-1-resistant head and neck cancer. In addition, the European Patent Office granted a patent on the FS118 molecule in January this year, with an expiration date in 2037. The next most advanced program, FS222, is described as a potentially best-in-class antibody on CD137. and PD-L1. ‘The drug candidate is starting a Phase 1 study, with the first patient being administered this past January. The trial will evaluate safety, tolerance and early signs of efficacy. The patient base will be adults, with a diagnosis of advanced malignancy. This past November, F-star was announced on the NASDAQ through a SPAC merger. The merger was completed, and the FSTX ticket began trading on November 23; since then, the stock has risen an impressive 151%. Oppenheimer’s 5-star analyst, Hartaj Singh, describes the company as a potential north star of bispecific antibody engineering, and believes there is still a lot left upside down for FSTX. We believe that FSTX performs well between different bispecific antibody platforms (BsAbs) that have developed rapidly over the past two years (our white paper), given the ability of the company platform to leverage the three most important features of BsAbs: conditionality / crosslinking / grouping by its molecules’ Fc-gamma receptor (FcγR) independent four-valued binding and generates uncorrelated high-value oncological assets, “Singh thought. The analyst added:” In our opinion, FSTX’s story checked the blocks for: (1) a biomarker -driven targeted oncology approach to identify a patient population subgroup that enables accelerated approval; (2) improved risk / benefit profile with low immunogenicity / high affinity target involvement / no hook effect / etc .; (3) the unveiling of new target energy that cannot be achieved through the combination of mAbs; and (4) experienced / executive management. Consistent with its bullish view, Sing FSTX rates better (ie buy) and sets a price target of $ 30. Its target implies an upward potential of 200% for one year. (Looking at Singh’s record , click here) Singh is not an outlier on this, the four most recent reviews on F-star are to “buy”, which makes the analyst’s consensus rating a strong buy.The shares are trading at $ 9.98, and their $ 33.5 The average price target indicates a 235% lead for the coming year. (See FSTX stock analysis on TipRanks) Veru (VERU) Veru, the next company we look at, is another biopharma company with a focus on oncology The company is working on new medical treatments for prostate and breast cancer, two high-profile malignancies Veru’s leading candidate, VERU-111, is being investigated as a treatment for both prostate and breast cancer , and is even being tested as a possible treatment for COVID-19. t has started a phase 2 clinical trial in the treatment of metastatic castration and resistance to prostate cancer for androgen receptors. The trial was fully enrolled and is ongoing, and no serious adverse effects were reported. Efficacy results include decrease in PSA along with objective, lasting tumor responses. The second application of VERU-111 is the treatment of metastatic triple negative breast cancer (TNBC), and an aggressive form of the disease that accounts for approximately 15% of all cases of breast cancer. TNBC patients may be candidates for treatment with VERU-111, and preclinical studies have shown that the drug candidate can significantly inhibit the proliferation, migration, metastasis, and penetration of TNBC tumor cells that develop resistance to taxan treatment. Veru will meet with the FDA during 1H21 to discuss trial designs for a Phase 2b clinical study of this medical avenue, starting in 2H21. VERU-111 also completed a rapid phase 2 clinical study of its efficacy for the treatment of inpatients with COVID-19 and at high risk for acute respiratory distress syndrome (ARDS). The FDA has agreed to advance the study to a phase 3 trial to confirm the risk / benefit analysis. Clinical results are expected to begin during 4K21. Another drug that the company has developed for the treatment of breast cancer is enobosarm, a selective androgen receptor agonist, which could potentially treat AR + / HR + breast cancer that is resistant to current endocrine therapy. The company plans to launch a phase 3 study for enobosarm in the coming months, with the expected data in 2H23. In addition, the company has submitted its NDA for tadalafil, a new drug for the treatment of lower urinary tract symptoms due to benign prostatic hyperplasia. The PDUFA date is expected in December 2021, and if approved, Veru will market the drug through third-party medicine partners. The company also has an FDA-approved product, FC2, a female, internal condom for preventing unintended pregnancies as well as disease prevention. During the fourth quarter, the company saw a 50% increase in prescription sales of FC2, with revenue increasing from $ 6.1 million in 4Q20 to $ 9.1 million. The multi-applications caught the attention of Chris Howerton, an analyst at Jeffries, who rated the VERU shares a buy with a price target of $ 19. This figure indicates an upside potential of 104% of the current share price of $ 9.32. (Click here to look at Howerton’s record.) “We love major cancer programs, ‘111 for prostate cancer and enobasar arm for breast cancer, which will soon appear in Ph3, with positive results that could increase cumulative sales of> $ 3 billion, peak “After recent strategy shift, non-core / legacy assets are expected to be sold, which could provide NT, non-dilutive capital,” Howerton noted. The analyst further said: “We consider other, non-core pipeline programs and business units, such as their female condom (FC2), as buying options for our fundamental valuation. Historically, Veru was built as a prostate-oriented enterprise, with a supportive sexual health enterprise to pay the bills. As a result, there are peculiar features of their pipeline that can provide upward, close to medium-term upside, but we do not consider it material for long-term valuation. ‘The rest of Wall Street reflects Howerton’s bullish game , as TipRanks analytics is showing VERU as a strong buy, of the 5 analysts tracked over the past 3 months, all 5 are strong on the stock, with a return potential of ~ 154%, the consensus price target of the stock is up $ 23.60 (see VERU stock analysis on TipRanks) To find great ideas for stocks trading at attractive valuations, visit TipRanks’ best-selling stocks, a newly launched aid means uniting all the insights of TipRanks’ shares. The content is for informational purposes only. It is very important to do your own analysis before investing.