Cantor says FDA probe into CAR-T cell malignancy risk ‘a storm in a tea cup’

Cantor Fitzgerald notes that Cabaletta Bio and other stocks are down on Tuesday following news that the FDA is investigating the link between CAR-T and T-cell malignancies with approved products in oncology. While the report might slow down progress at some centers, this is “likely a storm in a tea cup,” as INDs are still being approved, trials are still proceeding, unmet need remains high, the analyst tells investors in a research note. The firm, which made no change to its Overweight rating or $50 price target on Cabaletta Bio, is not going to be spooked by headlines that say the “FDA is looking into this,” as it has already accepted many development risks to its thinking.