Stock value of anti-cancer drug producer increases by 150%

Intensity Therapeutics, a U.S. company that produces drugs specifically designed to treat breast cancer, has presented the results of its latest studies that have proven 95% efficacy of the INT230-6 drug against cancer cells. As a result, the company’s stock value has risen by 2.5 times. In June 2023, Intensity Therapeutics went public with Freedom Capital Markets as its underwriter.

Details

On December 8, 2023, during the San Antonio Breast Cancer Symposium, Intensity Therapeutics revealed positive data on stage II of its research of a new therapy method to treat breast cancer in the early stages. For instance, the drug developed by the company has shown a high rate of necrosis of breast tumors. For some female patients, this rate was about 95% which meant almost the total death of breast tumors even before surgical operation.

«A large unmet need in the treatment of breast cancer is that the majority of breast cancers are immune quiescent, resulting in minimal response to immunotherapies. INT230-6 has the potential to fill this unmet need for multiple subtypes, including triple-negative breast cancer, through its unique multiple anti-cancer mechanisms of action that cause tumor cell necrosis, ignition of an anti-cancer immune-based activation, increasing the diversity of the T-cell repertoire systemically that can enter into the tumor and its microenvironment,» said Ms. Angel Arnaout, M.D., MSc., Breast Surgical Oncologist at the Ottawa Hospital. She also believes that «the ability for INT230-6 to induce necrosis and noted immune effects prior to a patient’s surgery, while maintaining a favorable safety profile, would be a major move forward for the treatment paradigm of breast cancer and potentially many other cancers.»

Financial evaluation

The presented positive data on the drug has also had a positive impact on the company’s market evaluation. «Thanks to successful results of Stage II of the INVINCIBLE drug research, our forecast for the INT230-6 market launch to treat soft tissue sarcoma, early-stage breast cancer and triple-negative breast cancer is now more positive. We are increasing the target price for INTS from $10 to $16 and recommend buying this stock,» Freedom Finance said in a statement. For Freedom, which was an underwriter of the IPO, it was one of the first public offerings organized by the company outside of Kazakhstan.

Five years after being established in 2012, Intensity Therapeutics presented its new drug designed for the treatment of cancer cells. Since 2017 more than 200 patients have taken part in two clinical trials. Currently, the company is preparing the launch of Stage III of its long-term research.

However, the company is still showing negative financial results, which is typical for companies that haven’t yet completed research on their drugs. In the third quarter of 2023 (ending on September 30), Intensity Therapeutics reported a net operating loss of $2.3 million compared to $1.8 million for the same period last year. As of September 30, 2023, the company possessed monetary funds and their equivalents and securities in the amount of $15.6 million. Intensity Therapeutics expects that it will have enough financial resources to support its current activities up to the second half of 2025.