Summary
- Mersana Therapeutics is a clinical-stage biopharmaceutical company developing antibody-drug conjugates ("ADCs") for cancer patients.
- Mersana has developed an early-stage pipeline of 8 therapeutic programs with 2 clinical-stage therapeutics in Phase 1 (XMT-1536, -1592) expected to progress quickly by FYE 2021.
- Mersana has sustained a stable financial position with FYE 2020's cash ending at approximately $255M, enough to fund operations for 2+ years.
- Mersana has a critical catalyst in 2H 2021 which is XMT-1536's anticipated updated interim Phase 1 data from the NSCLC adenocarcinoma expansion cohort.
- In summary, the author projects Mersana Therapeutics as a risky "hold" until 2H 2021 which thereafter may offer +62% upside by FYE 2022.
Graphic Source: Mersana Therapeutics, Inc.
Introduction: What is Mersana Therapeutics?
Mersana Therapeutics (NASDAQ: MRSN) is a clinical-stage biopharmaceutical company developing antibody-drug conjugates ("ADCs") for cancer patients with unmet needs. Mersana is a specialist in the ADC field with platforms like Dolaflexin and Dolasynthen that enable improved efficacy, safety, and tolerability relative to existing ADCs.
Since its founding in 2001, Mersana has grown to over 83 employees on top of a market cap of $1.28B (Jan 2021). This market cap has fluctuated heavily over the past 4-months since Jan 2021's worrisome interim data update for lead therapeutic XMT-1536. 2H 2021 will clarify whether or not the accuracy of the Dolaflexin platform can be applied to ovarian and non-small cell lung cancer (NSCLC) and whether XMT-1536 will progress further as a lead candidate. Till then, investors are encouraged to hold their positions and the following report will explain why.
