Company Performance - Compass Therapeutics, Inc. (CMPX) has gained approximately 17% year-to-date, outperforming the average gain of 1.7% in the Medical group [4] - The Zacks Consensus Estimate for CMPX's full-year earnings has increased by 5.6% over the past 90 days, indicating improving analyst sentiment [4] - CMPX currently holds a Zacks Rank of 2 (Buy), suggesting a favorable outlook for the stock [3] Industry Context - Compass Therapeutics operates within the Medical - Biomedical and Genetics industry, which consists of 447 companies and is currently ranked 82 in the Zacks Industry Rank [6] - The Medical - Biomedical and Genetics industry has seen an average gain of 7.7% year-to-date, indicating that CMPX is performing better than its industry peers [6] - In contrast, another Medical stock, Ekso Bionics (EKSO), which belongs to the Medical - Instruments industry, has returned 14.2% year-to-date, while its industry has declined by 9.8% [5][6]

Core Viewpoint - Compass Therapeutics, Inc. (CMPX) has shown a significant price increase of 20.2% over the past four weeks, with a mean price target of $13.23 indicating an upside potential of 113.7% from the current trading price of $6.19 [1] Price Targets and Estimates - The mean estimate consists of 13 short-term price targets with a standard deviation of $6.47, where the lowest estimate of $8.00 suggests a 29.2% increase, while the highest estimate predicts a surge of 384.7% to $30.00 [2] - A low standard deviation indicates a strong agreement among analysts regarding the stock's price movement, which can serve as a starting point for further research [9] Analyst Sentiment and Earnings Estimates - Analysts have shown growing optimism regarding CMPX's earnings prospects, as evidenced by a positive trend in earnings estimate revisions, which correlates strongly with near-term stock price movements [11] - The Zacks Consensus Estimate for the current year has increased by 5.1% over the past month, with two estimates rising and no negative revisions [12] - CMPX holds a Zacks Rank 2 (Buy), placing it in the top 20% of over 4,000 ranked stocks based on earnings estimates, indicating a strong potential upside [13] Caution on Price Targets - While price targets are often sought after by investors, they can be misleading, and reliance solely on them may not yield favorable returns [3][10] - Analysts may set overly optimistic price targets due to business incentives, which can inflate expectations [8]

Core Insights - The article emphasizes the importance of understanding the science behind biotech investments to avoid potential pitfalls in the industry [1]. Group 1 - The author has a PhD in biochemistry and extensive experience analyzing clinical trials and biotech companies [1]. - The mission is to educate investors on the scientific aspects of biotech businesses to facilitate informed decision-making [1].

Core Viewpoint - Compass Therapeutics is a monoclonal antibody discovery and development company focused on oncology, with significant advancements in its drug pipeline, including positive efficacy signals for its drugs in clinical trials [2][3]. Group 1: Company Overview - Compass Therapeutics is based in Boston, Massachusetts, and specializes in monoclonal antibody development for cancer treatment [2]. - The company has three drugs currently in clinical trials and plans to introduce a fourth drug this quarter [2]. Group 2: Pipeline and Clinical Trials - The most advanced program is Tovecimig, a DLL4 VEGF-A bispecific antibody, which is a next-generation angiogenesis inhibitor [3]. - Tovecimig recently achieved the primary endpoint in a randomized study involving patients with advanced biliary tract cancer [3]. - Data from a Phase II study of Tovecimig in patients with very advanced colorectal cancer was presented at ASCO GI, demonstrating unequivocal monotherapy efficacy [4].

Summary of Compass Therapeutics FY Conference Call Company Overview - **Company**: Compass Therapeutics (NasdaqCM:CMPX) - **Industry**: Oncology, specifically monoclonal antibody discovery and development - **Location**: Boston, Massachusetts - **Pipeline**: Four drugs in clinical development, with Tevesemig being the most advanced Key Points on Tevesemig - **Drug Description**: Tevesemig is a DLL4 VEGF A bispecific antibody, functioning as a next-generation angiogenesis inhibitor [1] - **Clinical Trials**: - Achieved primary endpoint in a randomized study for advanced biliary tract cancer [2] - Presented phase II data at ASCO GI showing monotherapy efficacy in advanced colorectal cancer [2] - Ongoing study COMPANION-002 comparing Tevesemig plus paclitaxel to paclitaxel alone in second-line treatment for advanced biliary tract cancer [6] - **Efficacy Data**: - Tevesemig tripled the overall response rate compared to control, with a complete response noted [7] - Significant difference in progression-free survival (PFS) observed, with 42.1% progression in control vs. 16.2% in combination arm at week eight [9] - More than 20% of patients alive at 18 months, compared to less than 10% in FOLFOX regimen [10] - **Market Opportunity**: - Estimated 25,000 new patients annually in the U.S. with biliary tract cancer, with a treatable population of approximately 15,000 [11] - Potential for over $1 billion annual market in second-line biliary tract cancer [11] - **Future Plans**: - Plans to expand indications post-approval, targeting other cancers like colorectal and gastric [12] - Potential to replace Avastin in various indications [13] Other Drug Developments - **CTX471**: - A CD137 agonist antibody showing nearly 30% response rate in post-PD1 melanoma patients [15] - Notable case of a patient with metastatic small cell lung cancer achieving a complete response after multiple therapies [16] - Planning an NCAM-positive basket study to explore efficacy further [17] - **CTX8371**: - A PD1/PDL1 bispecific antibody demonstrating unique T cell engagement and potential to convert PD1-positive T cells to PD1-negative [19] - Responses observed in patients with triple-negative breast cancer and Hodgkin's lymphoma [21] - Ongoing cohort expansions for further evaluation [21] - **CTX10726**: - A novel PD1/VEGF-A bispecific antibody entering clinical trials, showing superior preclinical efficacy compared to leading competitors [22][38] - Expected to initiate phase 1 study this quarter, with clinical data anticipated in the second half of the year [40] Commercialization Strategy - **Tevesemig**: - Plans to commercialize independently in the U.S. due to the specialized nature of the patient population [31] - Open to strategic partnerships for international markets [32] - **Infrastructure Development**: - Building commercial infrastructure over the next 12-18 months in preparation for drug launch [36] Conclusion - Compass Therapeutics is positioned for significant growth with its innovative pipeline, particularly Tevesemig, which has the potential to transform treatment for advanced biliary tract cancer and other malignancies. The company is actively preparing for commercialization and exploring further clinical opportunities across its drug portfolio.

Financial Position - As of December 31, 2025, Compass Therapeutics, Inc. estimated cash, cash equivalents, and marketable securities to be approximately $209 million[6] - The reported amount is unaudited and preliminary, subject to changes upon completion of financial closing procedures[6] - The financial statements for the year ended December 31, 2025, will reflect the finalized amounts[6] Corporate Information - The company provided a corporate update in a press release dated January 6, 2026[5] - The company is listed on the NASDAQ Capital Market under the trading symbol CMPX[2] - The company’s principal executive offices are located in Boston, Massachusetts[1] Company Classification and Compliance - The report indicates that Compass Therapeutics is not currently classified as an emerging growth company[3] - The company has not elected to use the extended transition period for complying with new or revised financial accounting standards[3] Performance and Future Guidance - The report does not provide specific performance metrics or future guidance at this time[4] - There are no details on new products, technologies, market expansion, or mergers and acquisitions in the current report[4]

Core Insights - Compass Therapeutics is advancing multiple first-in-class bispecific antibodies and expects to achieve major data-driven milestones in 2026 [2] - The company has strengthened its management team with the addition of Arjun Prasad as Chief Commercial Officer and Cynthia Sirard as Chief Medical Officer [2] Pipeline Highlights - Key survival analyses for tovecimig in late Q1 2026 could transform treatment for patients with biliary tract cancer [3] - The ongoing Phase 2/3 COMPANION-002 study of tovecimig is on track for late Q1 2026, focusing on progression-free survival (PFS) and overall survival (OS) [5] - CTX-8371 has shown robust responses in patients with solid and hematologic malignancies, with cohort expansions now open for enrollment in triple negative breast cancer (TNBC) and non-small cell lung cancer (NSCLC) [5][11] - Initial data from the Phase 1 study of CTX-10726 is expected in H2 2026, with the study initiation anticipated in Q1 2026 [5][11] Financial Position - As of December 31, 2025, Compass Therapeutics reported an estimated $209 million in cash and marketable securities, providing a cash runway into 2028 [12]

Core Viewpoint - Compass Therapeutics, Inc. has granted stock options to two new executives as part of its 2025 Inducement Plan, which is a material inducement for their employment [1][3]. Group 1: Stock Options Granted - The company granted non-qualified stock options to purchase 1,000,000 shares of common stock each to the newly appointed Chief Commercial Officer, Arjun Prasad, and Chief Medical Officer, Cynthia Sirard [2]. - The exercise price for the stock options is set at $5.17 per share, matching the closing price of the company's common stock on January 2, 2026 [2]. - The options have a 10-year term and will vest over four years, with 25% vesting on the one-year anniversary and the remaining 75% vesting in 36 equal monthly installments, contingent on continued service [2]. Group 2: Company Overview - Compass Therapeutics is a clinical-stage biopharmaceutical company focused on oncology, developing proprietary antibody-based therapeutics for various human diseases [4]. - The company's scientific focus includes the relationship between angiogenesis, the immune system, and tumor growth, with a pipeline targeting critical biological pathways for effective anti-tumor responses [4]. - Founded in 2014 and headquartered in Boston, Massachusetts, Compass plans to advance its product candidates through clinical development and commercialization, both as standalone therapies and in combination with other proprietary antibodies [4].

Core Insights - Compass Therapeutics, Inc. has appointed Arjun Prasad as Chief Commercial Officer and Cynthia Sirard as Chief Medical Officer, effective January 1, 2026, to enhance its leadership team in oncology-focused biopharmaceutical development [1][2] Company Overview - Compass Therapeutics is a clinical-stage biopharmaceutical company focused on developing proprietary antibody-based therapeutics for multiple human diseases, particularly in oncology [4] - The company aims to target critical biological pathways necessary for effective anti-tumor responses, including angiogenesis modulation and immune response activation [4] Leadership Experience - Arjun Prasad brings extensive experience in oncology product launches, having successfully led over 10 launches, including the notable VORANIGO® in 2024 and TIBSOVO® for biliary tract cancer [2][3] - Cynthia Sirard has over two decades of experience in oncology drug development, with a focus on gastrointestinal cancers and has led multiple programs through regulatory approval processes [3] Strategic Goals - The appointments of Prasad and Sirard are expected to significantly enhance Compass's ability to deliver innovative therapies, particularly for biliary tract cancer and other oncology indications [2][3] - The company is approaching transformational milestones for its lead candidate, tovecimig, and aims to advance its robust pipeline of therapies [4]

Core Insights - Jefferies recently released a report on the outlook for the U.S. biotech industry in 2026, focusing on preferred investment targets, undervalued potential companies, and potential acquisition opportunities. The report highlights that the biotech sector will see multiple key clinical trial data disclosures, new drug approvals, and policy developments in 2026, with companies in niche segments likely to achieve value re-evaluation through technological breakthroughs and commercialization progress [1]. Preferred Investment Targets - Jefferies identified six core recommended companies for 2026 based on market catalysts and valuation potential: - **Dianthus Therapeutics**: Target price of $66, focusing on the drug claseprubart for various neuromuscular diseases, with peak revenue estimated at $2 billion. Key milestones include mid-analysis of Phase III trials for CIDP and initiation of trials for gMG in 2026 [1]. - **Taysha Gene Therapies**: Target price of $11, with TSHA-102 for Rett syndrome showing significant market potential (peak revenue of $2 billion). Phase III trial data is expected by the end of 2026 [2]. - **Tyra Biosciences**: Target price of $32, with the drug dabogratinib showing disruptive potential in bladder cancer and achondroplasia. Key data is expected next year [2]. - **Tango Therapeutics**: Target price of $14, exploring a combination therapy for pancreatic cancer with expected data release in mid-2026 [2]. - **ORIC Pharmaceuticals**: Target price of $23, with two key assets targeting prostate cancer and lung cancer. Key data updates are anticipated next year [3]. - **Solid Biosciences**: Target price of $15, focusing on gene therapy for Duchenne muscular dystrophy, with critical meetings with the FDA planned for 2026 [3]. Undervalued Companies - The report highlights seven undervalued companies with significant catalysts and potential for value re-evaluation: - **Ultragenyx Pharmaceutical**: Target price of $114, with a current undervalued stock price. Key catalysts include Phase III data for setrusumab expected in late 2025 to early 2026, potentially driving a 100% stock price increase [4]. - **Beam Therapeutics**: Target price of $41, focusing on gene editing with promising data updates expected in early 2026 [5]. - **Aurinia Pharmaceuticals**: Target price of $21, with steady growth in lupus nephritis treatment and new drug development expected to drive growth [5]. - **Kodiak Sciences**: Target price of $39, with three Phase III trial data readouts expected in 2026 [6]. - **Intellia Therapeutics**: Target price of $45, with key data for hereditary angioedema therapy expected in mid-2026 [6]. - **Compass Therapeutics**: Target price of $8, with upcoming data for cholangiocarcinoma therapy expected in early 2026 [6]. - **KalVista Pharmaceuticals**: Target price of $38, with a first-in-class oral treatment for hereditary angioedema expected to drive rapid growth [7]. Potential Acquisition Targets - Jefferies identified five companies that may become acquisition targets in 2026 due to their unique assets or market positions: - **Arrowhead Pharmaceuticals**: Strong RNAi product line in cardiovascular metabolism and new obesity targets [8]. - **Celcuity**: Unique efficacy of gedatolisib in PIK3CA wild-type breast cancer [8]. - **ORIC Pharmaceuticals**: High-value prostate and lung cancer projects [8]. - **Travere Therapeutics**: Potential market expansion in rare kidney diseases if FSGS indication is approved [8]. - **KalVista Pharmaceuticals**: First-mover advantage and strong growth in oral HAE treatment [8].