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Pharma & Biotech

Oncimmune is building momentum in key areas says broker finnCap

The City broker's forecasts are unchanged, while it has reiterated its 150p share price target

Oncimnune PLC’s (LON:ONC) trading update today highlights the momentum building within the AIM-listed biotech group, according to broker finnCap.

Both the product (EarlyCDT Lung) and service businesses are making commercial progress as well as fulfilling the strategic objective of diversifying the revenues streams, it said.

Three contracts were signed with pharma/biotech the last quarter of 2020, for example, that are expected to build into long-term, value-accretive partnerships added the broker.

The trading update for the year to May 31 points to full-year sales being in line with forecasts with year-end cash of about £4.2mln.

A positive outlook statement, pointing to an acceleration in EarlyCDT Lung revenues and an enlarging pipeline of contracts within the ImmunoINSIGHTS services business, means finncap has left its forecasts unchanged, while it has reiterated its 150p share price target.

Earlier in a trading update for the 12 months to the end of May 2020, Oncimmune said the next 18 months are expected to create substantial revenues within the EarlyCDT lung cancer test business. while the pipeline of contracts within the ImmunoINSIGHTS services business is building.

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