Arcus Biosciences price target lowered to $43 from $70 at BTIG

BTIG lowered the firm’s price target on Arcus Biosciences (RCUS) to $43 from $70 and keeps a Buy rating on the shares. The hazard ratio over 1 from Roche’s (RHHBY) Skyscraper-06 trial – a global Phase 2/3 study in first-line non-squamous non-small cell lung cancer – adds skepticism to TIGIT programs and suggests it might not be applicaple as anti-PD-1 drugs, the analyst tells investors in a research note. The firm is updating its model following the Roche news and to relfect Arcus’s recent pipeline updates, which includes the company sharing initial data from Arc-10 around late 2024, which will grant the company an additional opportunity to potentially demonstrate the efficacy that domvanalimab adds to anti-PD-1, BTIG added.