Get the Latest Investment Ideas Delivered Straight to Your Inbox. Subscribe


Coverage Initiated on Biotech Whose Therapies 'Can Compete with CAR-Ts'
Research Report

Share on Stocktwits


The reasons for the Buy rating on the U.K. firm are delineated in a ROTH Capital Partners report.

In a May 30 research note, analyst Tony Butler reported that ROTH Capital Partners initiated coverage on Adaptimmune Therapeutics Plc (ADAP:NASDAQ) with a Buy rating and a $7 per share price target. The current share price is around $3.69.

The analyst explained why Adaptimmune is a compelling investment.

The company has a platform called SPEAR, which stands for specific peptide enhanced affinity receptor, of "turbo-charged T-cell receptors that can compete with chimeric antigen receptor T cells," Butler highlighted. Currently, three SPEAR T-cell receptors (TCRs) are in clinical trials: ADP-A2M10 (targeting MAGE-A10), ADP-A2M4 (MAGE-A4) and ADP-A2AFP (AFP).

Adaptimmune engineers T-cell receptors using a "differentiated and highly optimized approach," Butler noted. Its TCRs have an enhanced ability to recognize cancer targets, significant because naturally occurring TCRs do this poorly.

Adaptimmune plans to launch its first TCR therapy, ADP-A2M4, in 2022. Early data from the ADP-A2M4 study in synovial sarcoma is "strong," wrote Butler. The overall response rate in this indication was 80% among the cohort receiving the highest dose.

A 60-patient, Phase 2 pivotal trial in synovial sarcoma and myxoid/round cell liposarcoma, called SPEARHEAD-1, is slated to start in the second half of 2019.

In addition, Butler noted, ADP-A2M4 could show promising data in esophageal cancer because it is highly associated with overexpression of MAGE-A4 mRNA. Accordingly, ROTH has factored esophageal cancer into its current valuation of Adaptimmune.

Other key points, Butler indicated, are that Adaptimmune is working on next generation programs and has its own facility for internally developing cell products for clinical trials and possibly manufacturing them for commercialization.


1) Doresa Banning compiled this article for Streetwise Reports LLC and provides services to Streetwise Reports as an independent contractor. She or members of her household own securities of the following companies mentioned in the article: None. She or members of her household are paid by the following companies mentioned in this article: None.
2) The following companies mentioned in this article are billboard sponsors of Streetwise Reports: None. Click here for important disclosures about sponsor fees.
3) Comments and opinions expressed are those of the specific experts and not of Streetwise Reports or its officers. The information provided above is for informational purposes only and is not a recommendation to buy or sell any security.
4) The article does not constitute investment advice. Each reader is encouraged to consult with his or her individual financial professional and any action a reader takes as a result of information presented here is his or her own responsibility. By opening this page, each reader accepts and agrees to Streetwise Reports' terms of use and full legal disclaimer. This article is not a solicitation for investment. Streetwise Reports does not render general or specific investment advice and the information on Streetwise Reports should not be considered a recommendation to buy or sell any security. Streetwise Reports does not endorse or recommend the business, products, services or securities of any company mentioned on Streetwise Reports.
5) From time to time, Streetwise Reports LLC and its directors, officers, employees or members of their families, as well as persons interviewed for articles and interviews on the site, may have a long or short position in securities mentioned. Directors, officers, employees or members of their immediate families are prohibited from making purchases and/or sales of those securities in the open market or otherwise from the time of the interview or the decision to write an article until three business days after the publication of the interview or article. The foregoing prohibition does not apply to articles that in substance only restate previously published company releases.

Disclosures from ROTH Capital Partners, Adaptimmune Therapeutics plc, Company Note, May 30, 2019

Regulation Analyst Certification ("Reg AC"): The research analyst primarily responsible for the content of this report certifies the following under Reg AC: I hereby certify that all views expressed in this report accurately reflect my personal views about the subject company or companies and its or their securities. I also certify that no part of my compensation was, is or will be, directly or indirectly, related to the specific recommendations or views expressed in this report.

ROTH makes a market in shares of Adaptimmune Therapeutics PLC and as such, buys and sells from customers on a principal basis.

Shares of Adaptimmune Therapeutics PLC may be subject to the Securities and Exchange Commission's Penny Stock Rules, which may set forth sales practice requirements for certain low-priced securities.

ROTH Capital Partners, LLC expects to receive or intends to seek compensation for investment banking or other business relationships with the covered companies mentioned in this report in the next three months.

Want to read more about Biotechnology / Pharmaceuticals investment ideas?
Get Our Streetwise Reports Newsletter Free and be the first to know!

A valid email address is required to subscribe