Exelixis, Inc. (EXEL) Gets Upgraded to Outperform from Market Perform by Leerink Partners

Exelixis, Inc. (NASDAQ:EXEL) is one of the most profitable biotech stocks to buy. On October 21, Exelixis, Inc. (NASDAQ:EXEL) got upgraded to Outperform from Market Perform by Leerink Partners. The firm also raised its price target on the stock to $48 from $38.

Why Exelixis, Inc. (EXEL) Skyrocketed On Wednesday

The rating update came after the ESMO presentation of the Phase 3 STELLAR-303 trial that evaluated zanzalintinib plus atezolizumab versus regorafenib in 3L non MSI-high metastatic colorectal cancer.

The firm told investors that while Exelixis, Inc. (NASDAQ:EXEL) stock was down 12% and pressured on the data, it believes that the trial established several significant levers crucial to its longer-term investment thesis.

It added that STELLAR-303 established the approvability of zanzalintinib in this setting, paving the way for the next generation TKI to offset cabo revenues after patent expiry in 2028.

Exelixis, Inc. (NASDAQ:EXEL) discovers, develops, and commercializes new medicines for difficult-to-treat cancers. Its product portfolio includes cabometyx, cometriq, and cotellic.

While we acknowledge the potential of EXEL 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 EXEL 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.