Xencor price target lowered to $34 from $38 at BMO Capital

BMO Capital lowered the firm’s price target on Xencor to $34 from $38 and keeps an Outperform rating on the shares. The company’s internal and partnered T-cell programs can deliver pipeline upside, but the firm is lowering its target price while removing cytokine programs from its model, the analyst tells investors in a research note. BMO adds however that with multiple opportunities in the pipeline, cash runway into 2027, and a technology platform that the company can continue to leverage through out-licensing deals, it expects Xencor shares to appreciate on positive news flow in the next 12-18 months.