IGM Bio slumps as JPM cuts to 'underweight' on refocused drug pipeline

IGM Biosciences

01/10/2024 13:33

** IGM Biosciences'  IGMS.O  shares down ~26% at $12
premarket
    ** IGMS announced a CEO change on Monday and said it will
minimize spending on cancer drug research
    ** J.P.Morgan cuts rating on company's stock to
"underweight" from "neutral"
    ** Brokerage cites a more "diminished upside" in the
mid-term after IGMS deprioritized its drug aplitabart
    ** JPM sees "an extended timeline" to IGMS' first commercial
product with a refocused drug pipeline, and says company's cash
runway of H1 2027 seems "overly aggressive"
    ** At least 4 brokerages, including JPM, cut PT on stock
    ** 6 of 10 brokerages covering IGMS rate the stock "buy" or
higher, 3 "hold" and 1 "sell" - LSEG
    ** As of last close, IGMS stock has nearly doubled so far
this year

 (Reporting by Bhanvi Satija in Bengaluru)
 ((Bhanvi.Satija@thomsonreuters.com; Outside U.S. +91
9873062788))