In a May 19 research note, Dawson James Securities analyst Jason Kolbert provided an update on Anavex Life Sciences Corp.'s (AVXL:NASDAQ) lead drug candidate, Anavex2-73, with respect to two indications.
The biopharma is currently evaluating Anavex2-73, or blarcamesine, in three Rett syndrome trials. It is assessing the drug in adults in the randomized, double-blind, placebo-controlled AVATAR Anavex2-73-RS-002 trial and in the Anavex2-73-RS-EP-001 open-label extension study in the U.S. It also is evaluating the drug in pediatric patients in the randomized, double-blind, placebo-controlled EXCELLENCE Anavex2-73-RS-003 trial.
The latest positive news, Kolbert relayed, is that the Data and Safety Monitoring Board reviewed the interim safety data from all three studies and recommended that the biopharma proceed with each trial as is, without changes.
As for Anavex2-73 being studied in patients with Alzheimer's disease, indicated Kolbert, the biopharma has nearly finished enrollment for the planned Phase 2b/3 trial.
In his report, Kolbert included a recent quote from Anavex CEO Chris Missling and wrote that he concurs with the statement. Missling had said, "Positive momentum continues to build this quarter [Q2/21] and affirms the strength of our pipeline and execution capabilities."
Kolbert also highlighted that Anavex currently has $76 million in cash on its balance sheet. Also, he noted the imminent catalysts, expected during this second quarter, for the biopharma. They are topline data from AVATAR and from the Phase 1 ANAVEX3-71 clinical trial in frontotemporal dementia.
With the clinical progress the company has already made in Q2/21 and the positive stock-moving events slated for Q2/21, the second quarter should be a "rich" one for Anavex, according to Kolbert.
Dawson James has a Buy rating and a $17 per share price target on Anavex; the stock is now trading at about $11.47 per share.
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Disclosures for Dawson James Securities, Anavex Life Sciences Corp., May 19, 2021
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