Arcellx a buy at Truist on unique cancer cell therapies

Truist has initiated Arcellx (NASDAQ:ACLX) with a buy saying the biotech's technology provides a unique approach to tackling cancer compared to CAR-T therapies.
The firm has a $60 price target (~45% upside based on Wednesday's close).
Analyst Asthika Goonewardene said that the company's lead asset, ddBCMA, currently in a pivotal study for multiple myeloma, could eventually become the lead cell therapy for the condition. He added that the data so far for ddBCMA indicates that it is at least as good at Johnson & Johnson (JNJ) and Legend Biotech's (LGND) Carvykti (ciltacabtagene autoleucel).
He noted that the multiple myeloma market is large and there is room for other cell therapies. He added that Carvykti and Bristol-Myers Squibb (BMY) and 2seventy bio's (TSVT) Abecma (idecabtagene vicleucel) are facing manufacturing issues and are likely not able to meet demand in the near-to-medium term.
Goonewardene wrote that Arcellx's (ACLX) deal with Gilead Sciences (GILD) in late January on ddBCMA's development validates the candidate.
He added that the company has other upcoming catalysts that could further add upside.

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