Buy ATE stock for a double, Echelon says

Following the company’s Q2, 2024 interim results, Echelon Capital Markets analyst Stefan Quenneville still thinks there is money to be made on Antibe Therapeutics (Antibe Therapeutics Stock Quote, Chart, News, Analysts, Financials TSX:ATE).

On November 13, ATE issued its Q2, 2024 interim financial results. The company los $5-million, versus the $6.1-million it lost in the same period a year prior.

“Last quarter capped two years of preparation for otenaproxesul’s successful PK/PD study,” commented Dan Legault, Antibe’s chief executive officer. “With human safety addressed and encouraging PK data in hand, we’re excited to be nearing another inflection point in otenaproxesul’s value and partnering potential. We’re looking forward to the phase II trial, on track to launch in calendar Q1 2024.”

In a research update to clients November 13, Quenneville maintained his rating and target on ATE stock.

“We are maintaining our Speculative Buy rating and $2.00/shr price target following FQ224 results that were largely in-line with expectations as the company has made solid progress towards initiating its Phase II trial for otenaproxesul in acute pain in CQ124,” he said. “Given the abuse potential of opioid treatments and the gastrointestinal side-effects NSAIDs, the US$13B acute pain market remains a meaningful commercial opportunity for Antibe. While the stock has performed strongly in recent weeks as the market is beginning to appreciate the value enhancing potential of its Phase II study, which should have results in CQ324 (slightly delayed from Q2 previously), we continue to view Antibe an attractive opportunity for investors with a high-risk tolerance given the number of key milestones expected in the coming year.”

The analyst’s $2.00 price target implied a return of 120 per cent at the time of publication.