ADC Therapeutics (ADCT, Financial) has revealed promising data from preclinical studies of three novel exatecan-based antibody drug conjugates (ADCs) at the American Association for Cancer Research Annual Meeting 2025. These ADCs target Claudin-6 (CLDN6), prostate-specific membrane antigen (PSMA), and Alanine, Serine, Cysteine Transporter 2 (ASCT2).
Among the highlighted compounds, ADCT-242, designed to target CLDN6, was featured in an oral presentation. The study indicated that ADCT-242 exhibited potent anti-tumor effects in PA-1 and OVCAR-3 xenograft models with moderate CLDN6 expression. Additionally, it showed significant CLDN6-dependent anti-tumor activity in lung cancer models derived from patients. The therapy was well tolerated at doses up to 150 mg/kg in mice and 40 mg/kg in cynomolgus monkeys.
Further insights were shared through poster presentations on ADCT-241 and HuB14-VA-PL2202. ADCT-241, which targets PSMA, demonstrated effective tumor suppression in prostate cancer models and showed synergy with enzalutamide. Meanwhile, HuB14-VA-PL2202, targeting ASCT2, exhibited strong and specific anti-tumor activity in both solid and hematological cancer lines. Both ADCs were well tolerated in preclinical settings involving animal models.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 5 analysts, the average target price for ADC Therapeutics SA (ADCT, Financial) is $8.20 with a high estimate of $10.00 and a low estimate of $7.00. The average target implies an upside of 516.54% from the current price of $1.33. More detailed estimate data can be found on the ADC Therapeutics SA (ADCT) Forecast page.
Based on the consensus recommendation from 6 brokerage firms, ADC Therapeutics SA's (ADCT, Financial) average brokerage recommendation is currently 1.5, indicating "Buy" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell.
Based on GuruFocus estimates, the estimated GF Value for ADC Therapeutics SA (ADCT, Financial) in one year is $2.37, suggesting a upside of 78.2% from the current price of $1.33. GF Value is GuruFocus' estimate of the fair value that the stock should be traded at. It is calculated based on the historical multiples the stock has traded at previously, as well as past business growth and the future estimates of the business' performance. More detailed data can be found on the ADC Therapeutics SA (ADCT) Summary page.
ADCT Key Business Developments
Release Date: March 27, 2025
- Net Product Revenue (Q4 2024): $16.4 million, compared to $16.6 million in Q4 2023.
- Net Product Revenue (Full Year 2024): $69.3 million, compared to $69.1 million in 2023.
- Operating Expenses Reduction: Decreased by 13% year-over-year on a non-GAAP basis.
- Net Loss (Q4 2024): $30.7 million or $0.29 per share, compared to $85 million or $1.03 per share in Q4 2023.
- Net Loss (Full Year 2024): $157.8 million or $1.62 per share, compared to $240.1 million or $2.94 per share in 2023.
- Adjusted Net Loss (Q4 2024): $26.5 million or $0.25 per share, compared to $79.5 million or $0.97 per share in Q4 2023.
- Adjusted Net Loss (Full Year 2024): $111.4 million or $1.15 per share, compared to $185.7 million or $2.27 per share in 2023.
- Cash and Cash Equivalents (End of 2024): $251 million, expected to fund operations into the second half of 2026.
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
- ADC Therapeutics SA (ADCT, Financial) achieved commercial brand profitability with ZYNLONTA in the competitive third-line plus DLBCL space.
- The company completed enrollment in the pivotal Phase 3 LOTIS-5 trial and reported promising initial data from the LOTIS-7 trial.
- ADCT achieved a double-digit reduction in operating expenses for the second consecutive year, strengthening its financial position.
- The company ended 2024 with $251 million in cash and cash equivalents, providing a cash runway into the second half of 2026.
- Promising Phase 2 data from investigator-initiated trials in indolent lymphomas suggest potential for significant market opportunities.
Negative Points
- ZYNLONTA's net product revenues remained flat year-over-year, indicating challenges in revenue growth.
- The competitive landscape in the third-line plus DLBCL market remains intense, with new entrants like Pfizer's ADCETRIS posing potential challenges.
- Despite progress, the company reported a net loss of $157.8 million for the full year 2024.
- The market for ZYNLONTA in indolent lymphomas is estimated to be $100 million to $200 million, which may be considered modest.
- The company faces uncertainty regarding the timing and outcome of regulatory approvals and compendia listings for its pipeline products.
