Gilead resumed with a Neutral at BofA

BofA analyst Geoff Meacham resumed coverage of Gilead (GILD) with a Neutral rating and $85 price target. Gilead’s Kite announced a collaboration with Arcellx (ACLX) to co-develop and commercialize CART-ddBCMA, which is currently in phase 2 development for the treatment of r/r MM, and Meacham thinks the deal makes sense as it leverages Kite’s CAR-T manufacturing capability and compliments Gilead’s growing oncology pipeline, the analyst tells investors in a research note. He thinks the announcement is a net positive for Gilead, but argues that further de-risking is still needed for CART-ddBCMA, despite positive phase 1 data presented this past weekend at ASH.