Arcus Biosciences price target lowered to $17 from $22 at BofA

BofA lowered the firm’s price target on Arcus Biosciences (RCUS) to $17 from $22 and keeps a Neutral rating on the shares following Gilead’s (GILD) decision against opting into the development of HIF2a inhibitor casdatifan. The firm suspects the news, along with Arcus’ $150M raise, pressured shares yesterday, but while the recent pullback may prompt a second look at “an admittedly intriguing pipeline,” the firm thinks the risk/reward profile of shares remains balanced given the uncertainties and lack of additional major catalysts this year, the analyst tells investors.