PRAME Franchise & Market Opportunity - Immatics is developing three clinical product candidates (IMA402, IMA203, IMA203CD8) precisely targeting PRAME, an intracellular protein presented on tumor cell surfaces[10, 12] - PRAME expression is prevalent in over 50 cancers[8], with prevalence ranging from 20% in Hepatocellular Carcinoma and Bladder Carcinoma to 95% in Cutaneous Melanoma, Uterine Carcinoma, and Synovial Sarcoma[9] - The addressable PRAME+/HLA-A*02:01+ patient population in the US & EU5 is estimated to be approximately 230,000 per year[20, 24] IMA203 PRAME Cell Therapy (Wave 1) - In a Phase 1 study, IMA203 demonstrated a confirmed objective response rate (cORR) of 56% (18/32) in heavily pretreated patients with metastatic melanoma[34, 45] - The median duration of response (mDOR) was 121 months, with ongoing responses for up to 25+ years[34] - The median progression-free survival (mPFS) was 61 months, and the median overall survival (mOS) was 159 months in all melanoma patients[34, 51] - The SUPRAME Phase 3 trial is actively enrolling patients with unresectable or metastatic melanoma post-ICI, with a planned launch in Q3 2027[35, 59] - Approximately 9,000 PRAME+/HLA-A*02:01+ patients in the US/EU5 with cutaneous and uveal melanoma are addressable[34] IMA203CD8 PRAME Cell Therapy (GEN2) (Wave 2) - IMA203CD8 is a next-generation PRAME cell therapy leveraging CD8 and CD4 T cells, with enhanced pharmacology[24] - In a Phase 1a dose escalation study, IMA203CD8 achieved a cORR of 41% (14/34) at presumably suboptimal doses, with 84% (32/38) of patients experiencing tumor shrinkage[73, 85] - The median duration of response (mDOR) was 92 months, with 3 confirmed responses ongoing at 1+ year[73, 85] - The addressable PRAME+/HLA-A*02:01+ patient opportunity for IMA203CD8 is approximately 75,000 per year, including indications with both high and medium-level PRAME expression[20, 68] IMA402 PRAME Bispecific (Wave 3) - IMA402 is a next-generation half-life extended bispecific primarily targeting first-line settings in combination with ICI and targeted agents[22] - Early signs of clinical activity have been observed, with a melanoma patient achieving a confirmed partial response ongoing at 3 months at DL7[115] - The addressable PRAME+/HLA-A*02:01+ patient population for IMA402 in 1L solid tumors is approximately 145,000 in the US & EU5[20, 100] Beyond PRAME: IMA401 MAGEA4/8 Bispecific - IMA401 is a bispecific targeting MAGEA4/8, with a Phase 1a study demonstrating a 29% (5/17) ORR and 25% (4/16) cORR in patients with MAGEA4/8high expression at relevant doses[132, 149] - The addressable MAGEA4/8+ and HLA-A*02:01+ patient population in the US & EU5 is approximately 62,000 per year[128, 130]

Core Viewpoint - Immatics (IMTX) shows significant upside potential with a mean price target of $16.50, indicating a 174.5% increase from the current price of $6.01 [1] Price Targets - The average of seven short-term price targets ranges from a low of $10 to a high of $25, with a standard deviation of $5.01, suggesting a variability in analyst estimates [2] - The lowest estimate indicates a 66.4% increase, while the highest points to a 316% upside [2] - A low standard deviation indicates a strong agreement among analysts regarding the price movement direction [9] Analyst Sentiment - Analysts have shown increasing optimism about IMTX's earnings prospects, as evidenced by a positive trend in earnings estimate revisions [11] - Over the last 30 days, the Zacks Consensus Estimate for the current year has increased by 5.1%, with two estimates moving higher and one lower [12] - IMTX holds a Zacks Rank 2 (Buy), placing it in the top 20% of over 4,000 ranked stocks based on earnings estimates [13] Caution on Price Targets - Solely relying on price targets for investment decisions may not be wise, as analysts' ability to set unbiased targets has been questioned [3][7] - Analysts often set overly optimistic price targets due to business incentives, which can lead to inflated estimates [8] - While price targets should not be ignored, they should be approached with skepticism as they may not accurately predict stock price movements [10]

Core Insights - Immatics N.V. announced expanded data from the Phase 1b clinical trial of IMA203 PRAME cell therapy, showing a confirmed overall response rate (ORR) of 56% in heavily pretreated patients with metastatic melanoma [1][8][11] - The ongoing Phase 3 SUPRAME trial is evaluating IMA203 in patients with unresectable or metastatic cutaneous melanoma who have previously received checkpoint inhibitors [1][12][13] Phase 1b Trial Data - The trial included 33 heavily pretreated patients with a median of 2 prior systemic treatments, with a focus on cutaneous melanoma (n=14), uveal melanoma (n=16), and other subtypes [4][8] - The confirmed ORR was 56%, with a median duration of response (mDOR) of 12.1 months and a median progression-free survival (mPFS) of 6.1 months [8][9] - In the cutaneous melanoma subgroup, the confirmed ORR was 50%, with mDOR not reached and mPFS of 6.0 months [8][9] - The uveal melanoma subgroup showed a confirmed ORR of 67% and mDOR of 11.0 months [8][9] Safety and Tolerability - IMA203 maintained a favorable tolerability profile across 74 patients, with manageable treatment-emergent adverse events primarily related to lymphodepletion [5][6] - Cytokine release syndrome (CRS) was mostly Grades 1 and 2, with no long-term CRS observed [6][7] - Immune effector cell-associated neurotoxicity syndrome (ICANS) was infrequent and mostly mild [6][7] SUPRAME Phase 3 Trial Overview - The SUPRAME trial is a randomized, controlled study involving approximately 360 patients with unresectable or metastatic cutaneous melanoma [12][13] - The primary endpoint is progression-free survival (PFS) assessed by blinded independent central review [13] - Patient enrollment began in early 2025, with completion expected in 2026, and a Biologics License Application (BLA) is planned for submission in Q1 2027 [15] PRAME Target and Company Positioning - PRAME is expressed in over 50 cancers, and Immatics aims to establish a broad PRAME franchise with multiple indications and modalities [3][16] - The company is positioned as a global leader in precision targeting of PRAME, with IMA203 being a key product candidate [3][16][17]

Company Overview - Immatics is a small German company specializing in T-cell biology and developing TCR-based immunotherapies aimed at solid tumors [1] Services Offered - The Total Pharma Tracker provides tools for DIY investors, including a software that allows users to enter any ticker for extensive curated research material [3] - In-house experts at Total Pharma Tracker assist investors by identifying the best investible stocks along with buy/sell strategies and alerts [3] Promotional Offer - Total Pharma Tracker is currently offering a free trial for users to access their tools at no cost [4]

Financial Performance - Total revenue for the year ended December 31, 2024, was $161.9 million, a significant increase from $56.1 million in 2023, driven by one-time revenue from collaboration terminations[41] - The company reported a net profit of $15.8 million for the year ended December 31, 2024, a turnaround from a net loss of $98.3 million in 2023[44] - The net loss for the year ended December 31, 2023, was €94,649 thousand, compared to a net profit of €27,703 thousand in 2022, indicating a significant decline in profitability[55] - Comprehensive income for the year 2023 was a loss of €94,804 thousand, down from a comprehensive income of €30,167 thousand in 2022[55] - The net profit for the year ending December 31, 2024, is expected to be €15,218 thousand, marking a recovery from the previous year's loss[55] Cash and Equity - As of December 31, 2024, Immatics had cash and cash equivalents totaling $628.0 million (€604.5 million), providing a cash runway into the second half of 2027[4] - Cash and cash equivalents increased to $628.0 million as of December 31, 2024, up from $442.5 million a year earlier, primarily due to public offerings[40] - Total assets increased to $696.1 million as of December 31, 2024, compared to $510.0 million in 2023[53] - As of December 31, 2023, total shareholders' equity increased to €217,618 thousand from €203,353 thousand at the end of 2022, reflecting a growth of approximately 7.4%[55] - As of December 31, 2024, total shareholders' equity is projected to rise to €574,842 thousand, a substantial increase from €217,618 thousand in 2023[55] Research and Development - The Phase 3 trial SUPRAME for IMA203 commenced in December 2024, with the first patient randomized and enrollment continuing as planned, aiming for completion in 2026[12] - The next data update for the Phase 1b trial of IMA203 is planned for 2025, focusing on extended follow-up and additional data from ovarian cancer patients[4] - Immatics is advancing its second-generation TCR-T therapy, IMA203CD8, which has shown a 41% confirmed objective response rate in heavily pretreated patients, with a median duration of response of 9.2 months[26] - The TCER IMA402 program is exploring its potential in various solid tumors, with initial signs of clinical activity observed in a Phase 1 trial involving 33 heavily pretreated patients[28] - The company plans to provide updates on IMA401 Phase 1 data focusing on head and neck cancer in 2025 and on non-small cell lung carcinoma in 2026[37] Clinical Trials and Approvals - Immatics plans to submit a Biologics License Application (BLA) for IMA203 in Q1 2027, with a potential market launch in Q3 2027[12] - The FDA granted IND clearance for a Phase 1 trial of IMA203 in combination with Moderna's therapy in February 2025[43] - Immatics regained full clinical development rights to IMA401 in September 2024, allowing continued progress on the Phase 1 trial[43] Manufacturing and Operations - The manufacturing facility in Houston is designed for efficient scalability, supporting both clinical and commercial supply with a >95% success rate in quality control testing[17] Patient Population and Market Potential - The addressable patient population for IMA203 in the US and EU5 is approximately 8,600, including 7,300 for cutaneous melanoma and 1,300 for uveal melanoma[7] - The company aims to expand IMA203's application to uveal melanoma through ongoing clinical trials, enhancing its therapeutic reach[13] Expenses and Financial Management - Research and development expenses rose to $153.9 million in 2024, compared to $123.3 million in 2023, reflecting costs associated with advancing product candidates in clinical trials[42] - General and administrative expenses increased to $48.2 million in 2024 from $39.7 million in 2023[44] - Equity-settled share-based compensation decreased to €17,642 thousand in 2024 from €20,705 thousand in 2023, indicating a reduction in compensation expenses[55] - The company exercised share options totaling €1,115 thousand in 2024, up from €139 thousand in 2023, indicating increased employee engagement and retention efforts[55]

Financial Performance and Losses - As of December 31, 2024, the company had accumulated consolidated losses of €589.5 million and expects to continue incurring significant operating losses in the foreseeable future[32]. - The company has German federal net operating loss carryforwards of €158.3 million and U.S. federal net operating loss carryforwards of €143.3 million for the year ended December 31, 2024[40]. - The company has no products approved for commercial sale and has not generated revenue from product sales, indicating a reliance on future product development for potential profitability[32]. - The company may need to raise additional capital to fund operations and execute its business plan, with no committed external source of funds currently available[36]. Clinical Trials and Regulatory Risks - Clinical trials are expected to be expensive and time-consuming, with costs likely to be significantly higher per patient than conventional therapeutic technologies[44]. - The company faces risks related to the completion of clinical trials, including potential delays due to regulatory approvals and challenges in patient recruitment[42]. - There is no assurance regarding the outcomes of ongoing or planned clinical trials, and results from earlier-stage trials are particularly unpredictable due to their limited size[53]. - Regulatory authorities may require additional studies or trials before permitting larger clinical trials, which could increase costs and extend timelines for product candidates[58]. - The time required to obtain regulatory approval is uncertain and typically takes many years, with no assurance that any product candidates will receive approval[59]. Manufacturing and Production Challenges - The company may experience manufacturing problems that could delay development or commercialization of its product candidates[38]. - Manufacturing of cellular products is complex and may lead to delays or failures, impacting patient outcomes[87]. - The company faces risks in scaling up manufacturing processes for its allogenic cellular therapy product candidates, which may lead to delays in clinical trials[91]. - The company has completed the construction of a 100,000 square foot GMP manufacturing facility for IMA203 products and future cell therapy candidates, expected to commence manufacturing in 2025 after regulatory approvals[95]. Competition and Market Risks - The company may face substantial competition, which could impact its ability to successfully develop and commercialize its product candidates[38]. - Market acceptance of the company's product candidates is crucial and may be influenced by competition and existing treatment preferences, potentially affecting revenue generation[104][105]. - The potential market for the company's product candidates may be smaller than estimated, affecting financial projections and business prospects[106]. Intellectual Property and Legal Risks - The company is dependent on intellectual property licensed from third parties, and termination of these licenses could harm its business[126]. - The patent position of the company is uncertain, and challenges to its patents could limit the ability to protect its technology and products[129]. - There is a substantial risk of litigation related to intellectual property rights, which could be expensive and time-consuming, impacting the company's operations[139]. - The company may incur significant costs from defending against claims of patent infringement, which could divert management's attention and resources[137]. Compliance and Regulatory Environment - The company faces significant risks related to compliance with healthcare laws, including potential civil, criminal, and administrative penalties if found in violation[181]. - Compliance with healthcare laws is costly and may disrupt operations if the company becomes subject to a corporate integrity agreement or other compliance obligations[181]. - The company must navigate complex data protection regulations, including the GDPR and CCPA, which could increase compliance costs and potential liabilities[174]. Financial Reporting and Governance - The company has identified a material weakness in its internal control over financial reporting related to the recognition, measurement, and disclosure of deferred tax assets and liabilities, leading to restatements of audited consolidated financial statements for 2023 and 2022[198][199]. - The influence of principal shareholders on the Board may delay or prevent changes in corporate control, potentially disadvantaging other shareholders[210][211]. - The company is subject to the Directive (EU) 2022/2464, which will impact its financial and sustainability reporting starting from the financial year 2025[214]. Operational and External Risks - Health epidemics and natural disasters could disrupt the company's operations, affecting clinical trials and manufacturing processes[160]. - Cybersecurity threats are increasing, and breaches could lead to significant monetary losses and disruption of product development programs[188]. - The company faces significant risks associated with conducting business internationally, including differing regulatory requirements and economic instability in foreign markets[195].

Core Viewpoint - Immatics N.V. is advancing its T cell-redirecting cancer immunotherapy portfolio, with significant milestones expected in 2025, including the initiation of a Phase 3 trial for its lead therapy IMA203 and expansion into additional cancer types [2][3]. Group 1: Clinical Development - The SUPRAME trial for IMA203, targeting advanced melanoma, commenced in December 2024, with the first patient randomized and enrollment ongoing [5][6]. - IMA203 has shown promising Phase 1b results, with a confirmed objective response rate (ORR) of 54%, a median duration of response (mDOR) of 12.1 months, and a median progression-free survival (mPFS) of 6 months [4][13]. - The company plans to expand IMA203's application to uveal melanoma through an ongoing Phase 1b trial [9]. Group 2: Financial Performance - As of December 31, 2024, the company reported cash and cash equivalents of $628.0 million (€604.5 million), an increase from $442.5 million (€425.9 million) in 2023, primarily due to public offerings [33]. - Total revenue for 2024 was $161.9 million (€155.8 million), significantly up from $56.1 million (€54.0 million) in 2023, driven by one-time revenue from collaboration terminations [34]. - The company achieved a net profit of $15.8 million (€15.2 million) in 2024, a turnaround from a net loss of $98.3 million (€94.6 million) in 2023 [36]. Group 3: Manufacturing and Supply Chain - Immatics is enhancing its in-house TCR-T manufacturing facility to support commercial supply, with a high manufacturing success rate of over 95% [11][10]. - The manufacturing process allows for the production of IMA203 from a patient's leukapheresis within 7 days, followed by a 7-day quality control release [11]. Group 4: Future Plans and Collaborations - The company aims to submit a Biologics License Application (BLA) for IMA203 in Q1 2027, with a planned launch in Q3 2027 [8]. - Immatics is collaborating with Moderna to evaluate IMA203 in combination with Moderna's therapy, aiming to enhance T cell responses and reduce costs [29].

Core Viewpoint - Immatics (IMTX) has received an upgrade to a Zacks Rank 2 (Buy), indicating a positive outlook on its earnings estimates, which is a significant factor influencing stock prices [1][3]. Earnings Estimates and Stock Price Movement - The Zacks rating system is based on the consensus measure of EPS estimates from sell-side analysts, reflecting the company's changing earnings picture [1][2]. - A strong correlation exists between changes in earnings estimates and near-term stock price movements, driven by institutional investors who adjust their valuations based on these estimates [4][6]. Immatics' Earnings Outlook - For the fiscal year ending December 2024, Immatics is expected to earn -$0.80 per share, representing a 38.5% change from the previous year's reported number [8]. - Over the past three months, the Zacks Consensus Estimate for Immatics has increased by 8.4%, indicating a positive trend in earnings estimates [8]. Zacks Rank System - The Zacks Rank system classifies stocks into five groups based on earnings estimates, with Zacks Rank 1 (Strong Buy) stocks historically generating an average annual return of +25% since 1988 [7]. - Immatics' upgrade to Zacks Rank 2 places it in the top 20% of Zacks-covered stocks, suggesting a strong potential for market-beating returns in the near term [10].

Core Viewpoint - Immatics (IMTX) has received an upgrade to a Zacks Rank 2 (Buy), indicating a positive outlook on its earnings estimates, which is a significant factor influencing stock prices [1][3]. Earnings Estimates and Stock Price Movement - The Zacks rating system is based on changes in earnings estimates, which are strongly correlated with near-term stock price movements [4][6]. - An increase in earnings estimates typically leads to higher fair value calculations by institutional investors, resulting in buying or selling actions that affect stock prices [4]. Immatics' Earnings Outlook - For the fiscal year ending December 2024, Immatics is expected to report earnings of -$0.93 per share, reflecting a 28.5% change from the previous year's reported number [8]. - Over the past three months, the Zacks Consensus Estimate for Immatics has increased by 9.9%, indicating a positive trend in earnings estimates [8]. Zacks Rank System - The Zacks Rank system classifies stocks into five groups based on earnings estimates, with Zacks Rank 1 (Strong Buy) stocks historically generating an average annual return of +25% since 1988 [7]. - The upgrade of Immatics to a Zacks Rank 2 places it in the top 20% of Zacks-covered stocks, suggesting a strong potential for market-beating returns in the near term [10][11].

Core Insights - Immatics (IMTX) reported a quarterly loss of $0.12 per share, outperforming the Zacks Consensus Estimate of a loss of $0.27, and showing improvement from a loss of $0.35 per share a year ago, resulting in an earnings surprise of 55.56% [1] - The company achieved revenues of $55.57 million for the quarter ended September 2024, exceeding the Zacks Consensus Estimate by 216.62%, compared to revenues of $6.45 million in the same quarter last year [2] - Immatics has consistently surpassed consensus EPS and revenue estimates over the last four quarters [2] Financial Performance - The company has shown a favorable trend in estimate revisions ahead of the earnings release, currently holding a Zacks Rank 2 (Buy), indicating expected outperformance in the near future [7] - The current consensus EPS estimate for the upcoming quarter is -$0.38 on revenues of $17.51 million, and for the current fiscal year, it is -$0.93 on revenues of $89.48 million [8] Industry Context - Immatics operates within the Medical - Biomedical and Genetics industry, which is currently ranked in the top 25% of over 250 Zacks industries, suggesting a positive outlook for the sector [9] - The performance of Immatics' stock may be influenced by the overall industry outlook, as top-ranked industries tend to outperform lower-ranked ones significantly [9]