Why ImmunoGen, Inc. Shot Up Today

What happened

ImmunoGen (NASDAQ: IMGN  ) is up 11.7% at 11:52 a.m. EDT after an analyst at Leerink upgraded the biotech to outperform and slapped an $8 price target on the stock.

So what

ImmunoGen has been on a tear over the last few months, up 78% year to date. As we often see with biotechs, investors left ImmunoGen for dead last year without any impending catalysts, and are buying back in now, with the company expected to release data this quarter.

Upgrade stamp.

Image source: Getty Images.

The data will come from a phase 1b/2 trial called FORWARD II, which is testing ImmunoGen's lead drug mirvetuximab soravtansine in combination with Avastin, carboplatin, Doxil, or Keytruda. Investors can also expect pooled data from multiple phase 1 trials testing mirvetuximab soravtansine as a monotherapy in patients with ovarian cancer. Some of that data will include patients taking steroid eye drops to manage a side effect of the drug.

All of that data should help investors get a better picture of how ImmunoGen's phase 3 FORWARD I trial in patients with platinum-resistant ovarian cancer will turn out. Data from the FORWARD I trial is still a few years away from being available, so any boost in confidence should go a long way toward holding up ImmunoGen's valuation until it's clear whether mirvetuximab soravtansine can be approved by regulators.

Now what

It's back to waiting. If management sticks to its timeline of releasing data this quarter, investors will get the data they're looking for in the next 2 1/2 months -- but hopefully, earlier.

10 stocks we like better than ImmunoGen
When investing geniuses David and Tom Gardner have a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market.*

David and Tom just revealed what they believe are the 10 best stocks for investors to buy right now... and ImmunoGen wasn't one of them! That's right -- they think these 10 stocks are even better buys.

Click here to learn about these picks!

*Stock Advisor returns as of April 3, 2017

Read/Post Comments (0) | Recommend This Article (0)

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

Be the first one to comment on this article.

Compare Brokers

Fool Disclosure

Sponsored Links

Leaked: Apple's Next Smart Device
(Warning, it may shock you)
The secret is out... experts are predicting 458 million of these types of devices will be sold per year. 1 hyper-growth company stands to rake in maximum profit - and it's NOT Apple. Show me Apple's new smart gizmo!

DocumentId: 4014448, ~/Articles/ArticleHandler.aspx, 4/29/2017 1:31:18 AM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...

Today's Market

updated 4 hours ago Sponsored by:
Change down DOW 20940.5 -40.8 -0.2%
Change down S&P 500 2384.2 -4.6 -0.2%
Change down NASD 6047.6 -1.3 0.0%

Create My Watchlist

Go to My Watchlist

You don't seem to be following any stocks yet!

Better investing starts with a watchlist. Now you can create a personalized watchlist and get immediate access to the personalized information you need to make successful investing decisions.

Data delayed up to 5 minutes

Related Tickers

4/28/2017 4:00 PM
IMGN $4.34 Down -0.01 -0.23%
ImmunoGen CAPS Rating: **

Article registration testing

Revisit this page

Clear article's cache and revisit this page

Or, visit the current page, forcing Test ID to article:interrupt:106919 and

Tookie Value = 12003130457241722525741585355292