Biotech stock Xencor (NASDAQ:XNCR) got a hefty boost today thanks to a little new analyst perspective from none other than Bank of America. As a result, Xencor shot up over 5% at the time of writing, and the reasons behind that new analyst perspective make for an exciting case for Xencor.
Bank of America, via analyst Alec Stranahan, specifically pointed to Xencor’s current pipeline, which features an array of inflammation treatments as well as some cancer-fighting drugs. That pipeline was large enough to attach a Buy rating to Xencor’s operation, as well as lead off with a price target of $42 per share.
The news comes at an odd time; just over a week ago, Xencor brought out its earnings report, a double-miss disaster that not only featured a full-on loss of $1.02 per share but a loss that was actually worse than expected. Analysts were expecting a loss of $0.66 per share. Revenue figures only got worse; not only did Xencor’s revenue of $18.96 million miss by almost $8 million, but it also represented a decline of 77.8% against the previous year. But with Xencor also recently completing construction on a $40 million lab, that suggests some real possibilities in its future.
What’s more, analysts are clearly on Xencor’s side. A combination of 12 Buy ratings and one Sell makes Xencor stock a Strong Buy. What’s more, Xencor stock investors can get in on 57.25% upside potential thanks to the average price target of $43.15.
