Needham Thinks Genocea Biosciences’ Stock is Going to Recover

By Jason Carr

Needham analyst Alan Carr reiterated a Buy rating on Genocea Biosciences (NASDAQ: GNCA) today and set a price target of $15. The company’s shares opened today at $3.33, close to its 52-week low of $2.56.

Carr said:

“Genocea hosted a 3Q16 conference call today. Mgmt guided for top-line 6-mo clinical symptoms data from ongoing Phase 2b GEN-003 trial in HSV2 in Jan 2017 (unch). GEN-003 has consistently demonstrated a durable impact on viral shedding, which we expect to translate to clinical symptoms. An End of Phase 2 mtg w/ FDA is expected to occur in 1Q17 (was 1H17), followed by Phase 3 initiation in 2H17 (unch). Mgmt is delaying initiation of Phase 2 antiviral combination trial until start of Phase 3 trial in order to incorporate FDA feedback on design. The company also announced formal plans to move away from infectious disease vaccines and focus exclusively on immune-oncology going forward.”

According to, Carr is a 4-star analyst with an average return of 3.0% and a 38.8% success rate. Carr covers the Healthcare sector, focusing on stocks such as Catalyst Biosciences Inc, Lexicon Pharmaceuticals, and Aquinox Pharmaceuticals.

Currently, the analyst consensus on Genocea Biosciences is Strong Buy and the average price target is $15, representing a 350.5% upside.

In a report released today, Cowen & Co. also reiterated a Buy rating on the stock with a $40 price target.

Based on Genocea Biosciences’ latest earnings report from March 31, the company posted quarterly revenue of $235K and quarterly net profit of -$9.75M. In comparison, last year the company earned revenue of $213K and had a net profit of -$9.77M.

Genocea Biosciences, Inc. operates as a clinical stage biotechnology company, which discovers and develops novel vaccines to address infectious diseases. It uses its proprietary platform technology, antigen lead acquisition system to discover and develop novel vaccine candidates. Its products include GEN-001, GEN-002, GEN-003, GEN-004 and GEN-005. Genocea Biosciences was founded by Robert Paull and Kevin J. Bitterman on August 16, 2006 and is headquartered in Cambridge, MA.