DeepVerge PLC (LON:DVRG) could get a significant upgrade on the current target price if Microtox BT receives full clinical validation followed by a CE marking, broker Turner Pope said today.
Earlier, DeepVerge reported initial results from phase III clinical studies of the rapid Coronavirus (COVID-19) breath test showed it can deliver results in under 60 seconds.
Chief executive Gerard Brandon described the early data from the real-world assessment of the Microtox BT system as a “major milestone”.
Researchers found the average virus breath condensate sample provided a nine-times higher signal than the control group when assessed using a specially developed nano-chip for detection.
DeepVerge said further data was required to confirm the same high sensitivity and specificity is achieved on breath test clinical trials, which are underway.
The UK Target Product Profile (TPP) for a rapid breath test requires 150 confirmed positive samples and 250 ‘negatives’.
Shares rose 8% to 36.75p on the news, which compares to the broker’s target of 84.8p.
Turner Pope said: “Although additional supervised breath test clinical trials from a larger group of patients now need to be completed, Deepverge’s management consider these will provide sufficient data to meet the ‘desired’ and ‘acceptable’ criteria specified in the UK Target Product Profile (‘TPP’) that should, in turn, enable the product to secure its CE marking followed by a broad roll-out for COVID-19 (and other pathogen) breath tests which might be expected before the end of 2021.”