IO Biotech price target lowered to $4 from $7 at Morgan Stanley

Morgan Stanley lowered the firm’s price target on IO Biotech to $4 from $7 and keeps an Overweight rating on the shares. The company announced that the Phase 3 study of IO102-IO103 + pembro in first-line advanced melanoma did not hit “the high bar” for success on the interim ORR analysis, as the firm had expected, and the IDMC recommends the study continue, the analyst noted. While success on the interim analysis was not expected, and the firm continues to see potential for success on the final analysis expected in the first half of 2025, the analyst is “taking this opportunity for fine tune our price target.”