It didn’t take long for micro-cap Jasper Therapeutics (JSPR) to kickstart 2023 into action. With the year still in its very early innings, the stock has already shown gains of 476% and those returns are only likely to be bestowed upon names working in one segment.
Of course, Jasper operates in the biotech space where exciting clinical trial results have the potential to send a stock soaring. And that’s what happened to Jasper in the year’s maiden session.
So, what’s all the 476% excitement about? Well, the company announced positive clinical data from the first three participants in the Phase 1/2 trial assessing briquilimab (formerly JSP-191) as a conditioning agent for sickle cell disease (SCD)/ transfusion-dependent beta thalassemia (TDT) patients with HLA-matched allo-HSCT (hematopoietic stem cell transplant).
Ok, that’s a mouthful. In layman’s terms, the study is evaluating the drug as a way of assisting patients with sickle cell disease who are undergoing a bone marrow transplant to improve donor chimerism – and to do so without as much toxicity.
According to the company, all three patients successfully engrafted, no serious adverse events were noted, and at the 60-day mark, two of the three participants showed 100% donor myeloid chimerism.
Oppenheimer’s Jay Olson applauds the results and notes the potential for partnerships.
“This update further demonstrates the ‘pipeline in a product’ potential of briquilimab following a recent update on encouraging data in FA (fanconi anemia),” the analyst said. “Beyond allo-HSCT for SCD, a more attractive market may be autologous HSCT coupled with gene therapy/editing. We think this update provides additional validation for collaboration opportunities with gene therapy/editing players in the field, especially on the heels of recent safety concerns from a competitor’s program (Magenta Therapeutics’ MGTA-117).
If you think you’ve missed the bus here, Olson has some good news for you. The analyst reiterated an Outperform (i.e., Buy) rating backed by a price target of $8. This figure makes room for additional gains of a hefty 264% over the coming year. (To watch Olson’s track record, click here)
Looking at the consensus breakdown, other analysts are on the same page. With 4 Buys and no Holds or Sells, the word on the Street is that JSPR is a Strong Buy. JSPR shares are priced at $2.15 and their $7.25 average target implies ~244% gain in the next 12 months. (See JSPR stock forecast on TipRanks)
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Disclaimer: The opinions expressed in this article are solely those of the featured analyst. The content is intended to be used for informational purposes only. It is very important to do your own analysis before making any investment.
