Adaptive Biotechnologies may gain 55%. What do analysts say?

Adaptive Biotechnologies Corporation is a tech stock with an interesting vision. The company aspires to transform the way people diagnoses and treats diseases by taking advantage of the biology of the immune system. Goldman Sachs’ analysts think this firm has a good potential.

Analyst Salveen Richter noted that the company offers commercial technologies designed for specific use cases. Adaptive Biotechnologies immunoSEQ platform can be used in academic and biopharma research. However, the firm developed clonoSEQ for a clinical setting, as it’s able to detect minimal residual disease. The firm will soon include blood-based testing (versus bone marrow), using it as a primary endpoint during clinical trials.

Furthermore, the company’s clinical diagnostic product pipeline includes immunoSEQ Dx from its collaboration with Microsoft. Its drug discovery pipeline features the Amgen-partnered COVID-19 program, both of these projects could bring the stock significant gain.

What are the stock’s other advantages?

Adaptive Biotechnologies develops drugs, as well. It’s currently collaborating with Genentech on the development of cellular therapies in oncology.

Richter thinks that Adaptive Biotechnologies could potentially pursue other opportunities in cell therapy separate from the partnership, including other disease states like cancer vaccines and autoimmune diseases.

Analysts view the firm’s collaborations with industry-defining leaders such as Genentech, AMGN, and MSFT as a validation of Adaptive Biotechnologies’ approach to advance immune-driven medicine. The Genentech agreement provides the company with a significant milestone, as well as royalty payments on future sales of drugs that are created by utilizing Adaptive Biotechnologies’ platform.

According to Richter, these facts indicate that this stock may gain significantly in the coming year. The fundamental trajectory of the business, along with innovative platform technology, speaks in favor of the company. ImmunoSEQ Dx and drug discovery also come as significant value drivers for the future, and steady revenue growth from the stock’s base businesses support them.

Considering all of these, Richter gave Adaptive Biotechnologies a Buy recommendation. She set a price target at $60 per share. In case of success, the stock could gain 55% in the next twelve months.