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Merus price target raised to $91 from $84 at BMO Capital

BMO Capital analyst Etzer Darout raised the firm’s price target on Merus (MRUS) to $91 from $84 and keeps an Outperform rating on the shares as the firm turns incrementally more positive on the name following its ASCO presentations. The presentation for petosemtamab in front-line treatment of patients with squamous-cell head and neck cancer, or HNSCC, with Merck’s (MRK) was in line with expectations but the opportunity to see patient-level details on response and durability increases the firm’s confidence in the HSNCC programs, the analyst tells investors in a research note. BMO is also raising its probability of success for petosemtamab in HNSCC to 75% from 65%.

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