All eyes on Icosavax's RSV vaccine data after COVID-19 shot setback - William Blair

Icosavax

31/03/2022 14:05

** Brokerage William Blair believes a lot is riding on the
study results for Icosavax's  ICVX.O  respiratory syncytial
virus (RSV) vaccine candidate after its COVID-19 vaccine
effectiveness fell below expectations  urn:newsml:reuters.com:*:nL3N2VS2R1
    ** Following the COVID-19 vaccine setback, investors have
started viewing co's vaccine platform with "a healthy dose of
skepticism", says brokerage
    ** Adds that there is significant downside risk for the
stock if the  RSV vaccine candidate,  IVX-121, fails in interim
early-stage study results expected in Q2
    ** However, brokerage believes positive results could lead
investors to view the COVID-19 vaccine setback as “exception”
instead of a “rule” and could also help the stock regain a large
part of the valuation it lost earlier in March when the
coronavirus vaccine data was reported
    ** Brokerage also believes risk/reward is favorable ahead of
RSV data, highlighting that ICVX shares are currently trading
below cash and that the antigen used in co's RSV vaccine had
previously generated immune response in an early-stage clinical
study
    ** Stock down 76.7% YTD, up to the last close

 (Reporting by Amruta Khandekar in Bengaluru)
 ((Amruta.Khandekar@thomsonreuters.com;))