Janux Therapeutics, Inc. (JANX) Faces Platform Risk Amid Lack of Durability Data on JANX007

We recently compiled a list of the 20 Best Biotech Stocks Under $20 to Buy Now. The fifth stock on our list of best biotech stocks is Janux Therapeutics, Inc.

TheFly reported on January 20 that Clear Street downgraded JANX to Hold from Buy and lowered the price target to $12 from $32. The firm noted that the lack of clear durability signals from JANX007 and the absence of new data from JANX008 introduce material platform risk. The firm says that JANX also faces rising competitive pressure and an undefined path for JANX007, which increases execution risk.

Recently, on January 22, Janux Therapeutics, Inc. (NASDAQ:JANX) and Bristol Myers (NYSE: BMY) announced an exclusive worldwide license and collaboration agreement to develop a novel tumor-activated therapy that targets a solid tumor antigen that has been validated. The agreement states that once JANX completes preclinical development through IND filing, Bristol Myers will hold the IND and supervise global development and commercialization.Janux Therapeutics, Inc. (JANX) Faces Platform Risk Amid Lack of Durability Data on JANX007

In addition to tiered royalties on global sales, JANX is qualified for up to $50 million in upfront and near-term milestones, as well as later development, regulatory, and commercial milestones totaling over $800 million. JANX will support the first Phase 1 clinical investigation.

Janux Therapeutics, Inc. (NASDAQ:JANX) is a clinical‑stage biotechnology company that develops novel immunotherapies that activate innate and adaptive immune responses to treat cancer. Its pipeline focuses on engineered cytokine and receptor‑targeted therapies designed to enhance antitumor activity with improved safety.

While we acknowledge the risk and potential of JANX as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than JANX and that has 10,000% upside potential, check out our report about this cheapest AI stock.

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Disclosure: None.