Barclays Initiates Coverage of Celldex Therapeutics (CLDX) With an Underweight Rating

Celldex Therapeutics, Inc. (NASDAQ:CLDX) is one of the best small cap stocks with the highest upside. Barclays initiated coverage of Celldex Therapeutics, Inc. (NASDAQ:CLDX) with an Underweight rating on October 13, assigning a $25 price target to the shares. The rating came as part of the firm’s launch of eight companies across rare diseases, inflammation and immunology, and oncology.

Is Celldex Therapeutics, Inc. (CLDX) the Best Cancer Stock to Invest in for Long-Term Gain?

The firm told investors in a research note that although there is binary risk to small and mid-cap biotechnology names, investments supported by de-risked mechanisms of action and previous clinical data represent risk-reward skewed to the upside.

Barclays also told investors that the market is favorable towards new mechanisms and modes of action that potentially improve dosing frequency and compliance.

It contended that although Celldex Therapeutics, Inc. (NASDAQ:CLDX) is continually exhibiting encouraging clinical data for its lead molecule barzolvolimab, the shares fail to offer meaningful upside through 2026 because of safety liabilities and a competitive landscape.

Celldex Therapeutics, Inc. (NASDAQ:CLDX) develops, manufactures, and commercializes novel therapeutics for human health care. The company’s pipeline includes Varlilumab, CDX-1140, CDX-301, and CDX-3379.

While we acknowledge the potential of CLDX to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than CLDX and that has 100x upside potential, check out our report about this cheapest AI stock.

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Disclosure: None. This article is originally published at Insider Monkey.