Allogene Therapeutics price target lowered to $17 from $18 at Truist

Truist lowered the firm’s price target on Allogene Therapeutics (ALLO) to $17 from $18 and keeps a Buy rating on the shares. The analyst states that deprioritizing the only pivotal trial would normally not sit well in any tape, but the firm believes that investors should appreciate that this sacrifice enables Allogene to achieve a much more commercially attractive outcome. Allogene is only giving up first mover “advantage” in a small and diminishing market opportunity – CAR19 naive 3L+ LBCL -, while the trade-off takes them straight into the frontline setting, and roughly at the same time when the allogeneic CAR-T rival from Caribou Biosciences (CRBU), CB-010, should get 2L approval.