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


Key Data Readouts Expected in 2022 for Developer of Cancer Immunotherapies
Research Report

Share on Stocktwits


Results expected are for trials of Jounce Therapeutics' two lead product candidates, vopratelimab and pimivalimab, both monoclonal antibodies, noted a ROTH Capital Partners report.

Jounce Therapeutics (JNCE:NASDAQ) continues to advance its key products in the clinic, with 2022 being a big year for catalysts in the form of trial results, ROTH Capital Partners analyst Zegbeh Jallah reported in a Nov. 5 research note. Jounce develops cancer immunotherapies and predictive biomarkers.

"We are quite encouraged by Jounce's progress and enthusiastic about its 2022 outlook," she wrote.

One of the studies expected to read out in 2022 is SELECT. This Phase 2 is evaluating vopratelimab plus pimivalimab versus pimivalimab alone in nonsmall cell lung cancer patients. Vopratelimab, Jounce's lead product candidate, is a monoclonal antibody and ICOS agonist. Pimivalimab is a PD-1 inhibiting monoclonal antibody intended for combination use.

The study results "should validate Jounce's unique biomarker strategy for improving outcomes," Jallah wrote.

Results are also expected in 2022 for the INNATE Phase 1 trial evaluating JTX-8064, a LILRB2 (ILT4) receptor antagonist, as a monotherapy.

Also in progress is a Phase 1 dose escalation basket study evaluating JTX-8064 monotherapy and JTX-8064 plus pimivalimab or pembrolizumab, in PD-1-naive and PD-1 experienced patients.

Jallah pointed out that data from Merck's MK-4830 program, also targeting LILRB2, "continue to help derisk Jounce's efforts." Results showed MK-4830 elicited responses in patients who had primary resistance on prior anti-PD-1 therapies. This indicates reprogramming of the tumor microenvironment.

"Efficacy in this difficult-to-treat patient population could be a nice avenue to an accelerated approval pathway," Jallah commented. 

These data also showed no correlation between PD-1 and LILRB2. Thus, targeting both should interfere with T cells and myeloid dendritic cells, two nonoverlapping resistance mechanisms, to elicit responses.

"We are bullish on the 2022 (INNATE) update and would expect strong efficacy with combo therapy," wrote Jallah. "Some refining of biomarkers may be needed to enhance monotherapy efficacy in certain cohorts."

Also noteworthy, Gilead's Phase 1 study evaluating GS-1811/JTX-1811, Jounce's CCR8 antibody, should showcase the immuno-oncology approach of Jounce and result in future milestone payments to it. The firm is eligible for up to $660 million ($660M) in future clinical, regulatory, and commercial milestone payments. On top of that, Jounce is entitled to high single-digit to midteen double digit royalties based on worldwide sales, which ROTH believes, Jallah said, "in totality will be a blockbuster opportunity."

She added, "We are certainly encouraged by the cash influx but even more so by the validation by large pharma, which may attract additional partners for Jounce's broader immuno-oncology platform."

Lastly, Jallah relayed, Jounce had $249M in cash and cash equivalents at the end of Q3/21, enough to see it through the upcoming clinical trial updates.

ROTH Capital Partners has a Buy rating and a $15 per share price target on Jounce, the current share price of which is about $9.61.


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 decision to publish an article until three business days after the publication of the article. The foregoing prohibition does not apply to articles that in substance only restate previously published company releases.  
6) This article does not constitute medical advice. Officers, employees and contributors to Streetwise Reports are not licensed medical professionals. Readers should always contact their healthcare professionals for medical advice.

Disclosures for ROTH, Jounce Therapeutics, Nov. 5, 2021

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

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. The material, information and facts discussed in this report other than the information regarding ROTH Capital Partners, LLC and its affiliates, are from
sources believed to be reliable, but are in no way guaranteed to be complete or accurate. This report should not be used as a complete analysis of the company, industry or security discussed in the report. Additional information is available upon request.

This is not, however, an offer or solicitation of the securities discussed. Any opinions or estimates in this report are subject to change without notice. An investment in the stock may involve risks and uncertainties that could cause actual results to differ materially from the forward-looking statements. Additionally, an investment in the stock may involve a high degree of risk and may not be suitable for all investors.

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