BioNTech SE(BNTX) Seeking Alpha·2024-09-11 11:20Core Viewpoint - The recent rally in BioNTech's shares, approximately 13% over two days, is attributed to the success of Summit Therapeutics' bispecific antibody in a Phase III trial, which may lead investors to believe in the revenue potential of BioNTech's similar licensed antibody [1] Group 1: Summit's News and Its Connection to BioNTech - Summit Therapeutics announced a 49% reduction in the chance of death or disease progression for NSCLC patients treated with ivonescimab compared to those receiving Merck's Keytruda, with results deemed highly statistically significant [2] - BioNTech's licensed antibody, PM8002, is a bispecific antibody targeting PD-L1 and VEGF proteins, currently undergoing several Phase 2 and Phase 1/2 clinical trials for advanced NSCLC [2] - BioNTech is expected to provide updates on PM8002 at the European Society for Molecular Oncology from September 13 to September 17 [2] Group 2: BioNTech's Promising Pipeline - BioNTech is developing several other anti-cancer antibodies, including gotistobart, which is in a Phase 3 trial for metastatic non-small cell lung cancer [3] - The antibody-drug combination BNT323/DB-1303, targeting HER2, received breakthrough designation from the FDA for endometrial cancer and is also in a Phase 3 trial for certain types of metastatic breast cancer [3] - BioNTech plans to report data on its BNT113 mRNA immunotherapy in combination with Keytruda for head and neck cancers at ESMO [3] Group 3: Financial Performance and Valuation - BioNTech's revenue is primarily driven by its Covid-19 mRNA vaccine, but concerns about side effects may be impacting consumer confidence and utilization [4] - The company reported a 23% revenue decline last quarter compared to the same period last year, following an 85% year-over-year drop in Q1 [5] - Despite these challenges, BioNTech's forward enterprise value-to-sales ratio is 1.87, significantly below the sector average of 3.6, suggesting favorable valuation for long-term investors [6]