Shares of CG Oncology (CGON) surged to a four-month high following the release of promising results for its bladder cancer treatment, which rivals Johnson & Johnson’s (JNJ) offering. The biotech company is developing treatments for non-muscle invasive bladder cancer. After two years, 34% of patients treated with CG Oncology’s cretostimogene achieved a complete response, indicating all signs of cancer disappeared. The median duration of response was 27.9 months. Analyst Gregory Renza from RBC Capital Markets noted these results show “emerging best-in-class durability signals.” CG Oncology’s stock jumped by 25%, with intraday gains reaching up to 44%. Although shares initially surpassed their 200-day moving average, they closed below it. In comparison, J&J’s drug TAR-200 showed a 46% complete response rate after one year, aligning closely with CG’s results. Renza believes CGON has a better chance at capturing market share due to its potentially superior durability profile. He maintained an outperform rating and a $66 price target on CG Oncology shares.
— new from Investor’s Business Daily
