Bernstein SocGen Group upgraded Summit Therapeutics Inc. to Market Perform from Underperform on Tuesday, citing valuation alignment after the biotech’s shares declined 27% in 2025.
The brokerage raised its price target to $11.90 from $9.80, reflecting a modest premium to Summit’s closing price of $12.73. The stock has traded 5% above its 52-week low of $12.07 and remains well below its 52-week high of $30.05.
Summit reported a net loss of $216 million in the second quarter, with adjusted losses of $0.3714 per share, exceeding analyst expectations of a $0.28 loss per share. The company ended the quarter with $691 million in cash.
Bernstein assigned a 35% probability of technical success to the ILLUMINE Phase 3 trial evaluating ivonescimab in squamous cell carcinoma of the head and neck. The analyst noted that ivonescimab is unlikely to replace Keytruda broadly across tumor types, and that current valuations already reflect the drug’s risk-adjusted intrinsic value.
Stifel and Guggenheim maintained Buy ratings but raised their price targets to $38, citing ivonescimab’s potential while flagging extended timelines for trial data disclosure, now expected in early 2027. Cantor Fitzgerald kept an Overweight rating, while H.C. Wainwright reiterated a Neutral stance.
Bernstein also highlighted a 58% initial overall response rate for a Phase 2 signal-finding study combining Ramucirumab with Keytruda, though it cautioned that the trial is more likely than not to yield a negative overall survival read-out.
