When does a cancer leak send any stock up? Usually, that’s the kind of thing that starts a chain reaction of disaster that sometimes ends in court proceedings. But for biotech firm Legend Biotech (NASDAQ:LEGN), a cancer leak actually did the stock a lot of good. So much so, in fact, that Legend Biotech stock is up almost 9% in Friday afternoon trading.
Legend Biotech, backed up by no less than Johnson & Johnson’s (NYSE:JNJ) Janssen unit, produces a drug known as ciltacabtagene autoleucel, or better known by a simpler name, Carvykti. Anyway, Carvykti is a CAR-T therapy designed to address multiple myeloma, and based on the results of leaked data from its latest tests, it’s an excellent therapy. The leaked data revealed that the patients taking Carvykti saw better response rates, more complete responses, and a comparatively low level of “disease negativity” against those getting current standard care. In fact, the leaked reports noted that Carvykti cut the risk of death by 74% against standard care.
That’s great news, and it only gets better; Legend Biotech is already in an exclusive deal to not only develop but also bring Carvykti to market. With this successful testing, it’s a pretty safe bet that the drug will be a widely accepted part of a lot of treatment regimens out there. Carvykti already had conditional marketing authorization in Europe since May 2022, so successful testing can only help therein.
Overall, analyst consensus calls Legend Biotech stock a Strong Buy based on 10 Buys assigned in the past three months. Further, thanks to its average price target of $74.80, it comes with 8.83% upside potential.
