Shares of MacroGenics (MGNX) are still slightly in the red year to date and have lost over 20% of their value in the past year. Even after today's announcement of a collaboration inked with Incyte (INCY), I believe there is a case to be made that shares are undervalued.
MGNX data by YCharts
Today´s press release specifies that Incyte is receiving exclusive, worldwide rights to MGA012 in all indications. The drug candidate is a monoclonal antibody that inhibits programmed cell death protein 1 (PD-1). Importantly, the smaller company still has the right to develop other clinical candidates in combination with MGA012. Incyte plans to evaluate the product candidate as a monotherapy and also in combination with other pipeline assets.
