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Exelixis downgraded to Perform at Oppenheimer on zanzalintinib concerns

As previously reported, Oppenheimer downgraded Exelixis (EXEL) to Perform from Outperform with a price target of $33, down from $41. The firm is concerned about the differentiation of zanzalintinib versus cabozantinib following the abstract released ahead of the ASCO-GI meeting, the analyst tells investors. While the firm thinks the data from STELLAR-001 will likely derisk the Phase 3 STELLAR-303 study in metastatic colorectal cancer, it doesn’t “necessarily see clear differentiation” for zanzalintinib so it is moving to the sidelines for now.

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