IO Biotech, Inc. (NASDAQ:IOBT) Stock Analysis: A Closer Look at Its Prospects and Challenges

Core Insights - IO Biotech, Inc. is a clinical-stage biopharmaceutical company focused on immune-modulating therapies for cancer treatment, with its lead product candidate, IO102-IO103, in phase 2 trials for melanoma and phase 1 trials for other cancers [1] - The consensus price target for IO Biotech's stock has remained stable at $3, indicating that analysts' expectations have not shifted significantly [2][6] - Piper Sandler upgraded IO Biotech to a Zacks Rank 2 (Buy), reflecting growing optimism about the company's earnings prospects [3][6] - IO Biotech reported approximately $28.1 million in cash and cash equivalents at the end of Q2 2025, along with €12.5 million from the European Investment Bank, supporting operations into Q1 2026 [4][6] - The company plans to meet with the FDA to discuss data from its pivotal Phase 3 trial of Cylembio® combined with KEYTRUDA® for advanced melanoma, which showed clinical improvement but narrowly missed statistical significance [5]