Does Akeso’s (SEHK:9926) First Alzheimer’s Bispecific Antibody Approval Reinvent Its Innovation Narrative?

• Earlier this month, Akeso, Inc. announced that its novel bispecific antibody AK152 received approval from the National Medical Products Administration (NMPA) to begin clinical trials for Alzheimer's Disease, marking the first such therapy of its kind developed in China for disease modification.
• This milestone also signifies Akeso's entry into innovative central nervous system therapeutics, leveraging enhanced brain penetration and robust preclinical results for potential next-generation Alzheimer's treatments.
• With AK152's clinical trial approval as China’s first bispecific antibody for Alzheimer's, we'll examine how it reshapes Akeso's investment narrative.

This technology could replace computers: discover 26 stocks that are working to make quantum computing a reality.

Akeso Investment Narrative Recap

To be a shareholder in Akeso, one needs confidence in the company’s ability to turn scientific breakthroughs into commercial success, particularly by expanding its R&D-driven portfolio beyond oncology. The NMPA’s approval of AK152 for Alzheimer’s clinical trials brings much-needed diversification in its pipeline and could emerge as a vital short-term catalyst, even as continued losses and heavy reliance on a few commercialized products remain core risks in the near term.

Of Akeso’s recent announcements, the inclusion of ivonescimab and cadonilimab in China’s National Reimbursement Drug List stands out as complementary to the AK152 milestone. This increased market access and anticipated revenue growth help balance the short-term drag on margins from the price cut, supporting the company’s ambitions for profitability and strengthening its financial base for further innovation.

Yet, investors should be aware that, in contrast to this expanding R&D portfolio, Akeso’s ongoing challenge is still...

Read the full narrative on Akeso (it's free!)

Akeso's narrative projects CN¥8.0 billion revenue and CN¥2.0 billion earnings by 2028. This requires 55.4% yearly revenue growth and a CN¥2.51 billion earnings increase from the current CN¥-514.5 million.

Uncover how Akeso's forecasts yield a HK$172.00 fair value, a 53% upside to its current price.

Exploring Other Perspectives

Retail investors in the Simply Wall St Community assigned Akeso fair value estimates ranging widely from HK$70 to HK$200.74, based on six independent analyses. While these perspectives are diverse, the company’s ongoing reliance on a handful of key therapies for commercial revenue highlights the importance of considering multiple angles on future performance.

Explore 6 other fair value estimates on Akeso - why the stock might be worth as much as 78% more than the current price!

Build Your Own Akeso Narrative

Disagree with existing narratives? Create your own in under 3 minutes - extraordinary investment returns rarely come from following the herd.

• A great starting point for your Akeso research is our analysis highlighting 2 key rewards and 1 important warning sign that could impact your investment decision.
• Our free Akeso research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate Akeso's overall financial health at a glance.

Contemplating Other Strategies?

The market won't wait. These fast-moving stocks are hot now. Grab the list before they run:

• Uncover the next big thing with financially sound penny stocks that balance risk and reward.
• We've found 14 US stocks that are forecast to pay a dividend yield of over 6% next year. See the full list for free.
• Trump has pledged to "unleash" American oil and gas and these 22 US stocks have developments that are poised to benefit.

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com