Is Oncolytics Biotech the Market’s Most Undervalued Cancer Opportunity?

ISSUED ON BEHALF OF ONCOLYTICS BIOTECH

Strong breast cancer trial results suggest Oncolytics Biotech (NASDAQ: ONCY) (TSX: ONC) won’t stay under the radar for long.

Every now and then, a biotech stock releases remarkable data that signals a major breakthrough, yet for whatever reason… the market is slow to react.

For savvy investors, this type of delay can be a rare chance to get in before the wider market catches on.

That’s EXACTLY what’s happening with Oncolytics Biotech (NASDAQ: ONCY) (TSX: ONC).

The company’s Phase 2 BRACELET-1 trial just revealed promising results in advanced breast cancer, showing significant survival benefits. But the stock price hasn’t surged—yet.

In less than FIVE MINUTES of your attention, we’ll show you why this market disconnect offers a timely opportunity for potentially huge gains, with REAL examples of biotech stocks that experienced similar delays before skyrocketing.

Let’s now take at why the MARKET is asleep at the wheel on Oncolytics Biotech (NASDAQ: ONCY) (TSX: ONC).


WHAT Analysts Are Saying + WHY the Market Is Slow to Catch On

Across six top analysts listed by NASDAQ.COM, including RBC Capital Markets, Canaccord Genuity, and Cantor Fitzgerald, Oncolytics Biotech (NASDAQ: ONCY) (TSX: ONC) is receiving a consensus STRONG BUY rating with an average price target of $4.77.

That’s a potential +400% gain from its Sept 19, 2024 share price of $0.92!

But here’s the surprising part: despite the remarkable results from Oncolytics’ BRACELET-1 Phase 2 trial, the market barely reacted.

The stock didn’t surge—in fact, it hardly moved. So why hasn’t the market caught on yet?

Studies show that smaller biotech companies often experience delayed stock responses to breakthrough results[1],[2]. The big jumps in share price usually happen after key milestones like regulatory approvals or the start of late-stage trials.

NOW… with Oncolytics gearing up for a registration-enabling study, the market could be waiting for this next step to wake up.

For investors, this lag in market reaction could be your window to act before the big move.

The analysts see it. The data supports it. And yet the market hasn’t fully priced in the potential. This is the kind of opportunity that savvy investors dream of—where you can get in before the crowd and reap the rewards as the market finally catches up.

Time is ticking. Don’t let this chance pass you by.


WHAT the Market Missed in BRACELET-1’s Results:

  1. The Data Was Strong, Not Weak:
    • Median overall survival (OS) for pelareorep combined with paclitaxel wasn’t reached, meaning more than half of the patients were still alive at the end of the study. This shows significant long-term survival benefits—a huge win in metastatic breast cancer.
  2. Underappreciated OS Improvement:
    • The estimated median OS of 32.1 months versus 18.2 months in the control arm is a 76% improvement. This is meaningful in any clinical trial, but for breast cancer, it’s huge.
  3. The Stock Didn’t Reflect the Reality:
    • Despite these promising results, the market failed to respond. Stocks often move on sentiment rather than data, and the current market sentiment missed the significance of this news. But savvy investors see the disconnect—this could be the moment to capitalize before the market corrects itself.

How Does Oncolytics Stack Up to Comps?

To give a clearer sense of where Oncolytics Biotech (NASDAQ: ONCY) (TSX: ONC) stands in the oncology space, we’ve broken down two sets of comparable companies.

Group 1 consists of companies with higher market caps than Oncolytics but are behind in the clinical trial process—as ONCY has completed a Phase 2 trial already, whereas none of the examples to be presented are past Phase 1 trials in their current pipelines.

Meanwhile, Group 2 highlights case study examples of stocks that surged after reaching the same stage that Oncolytics is currently at, offering a look into the potential future.


Group 1: Bigger Market Caps, Behind in Trials

 Several companies are currently valued far higher than Oncolytics Biotech (NASDAQ: ONCY) (TSX: ONC) but are in earlier stages of clinical development. This creates a discrepancy between their market value and Oncolytics’ potential, as pelareorep progresses through trials with promising results.

Here’s a look at the companies with larger market caps but behind in the trial process compared to ONCY.

[3] [4] [5] [6] [7]

Group 2: Case Studies of Biotech Stocks That Surged

As we’ve seen before, smaller biotech companies like Oncolytics Biotech (NASDAQ: ONCY) (TSX: ONC) often experience delayed market reactions to positive trial data[8],[9].

The companies below were in similar positions, with their stock prices surging after releasing key clinical data or hitting major regulatory milestones.

These examples show how the market catches up when the full potential becomes undeniable.


Case Study 1: Candel Therapeutics Inc. (NASDAQ: CADL)

  • Market Cap Surge: $19.52M to $318.27M (Nov 2023 – May 2024)
  • Catalyst: Candel’s stock took off after positive Phase 2 data in pancreatic cancer[10], reporting a 130% improvement in median overall survival (OS) over the control group—a strong comparison to Oncolytics’ 76% improvement in breast cancer.
  • Relevance: Both companies focus on oncology with strong clinical data. Candel’s market cap jumped from ~$20M to over $300M, echoing Oncolytics’ current size and potential for a similar run.

Case Study 2: ADC Therapeutics SA (NYSE: ADCT)

  • Market Cap Surge: $37.75M to $439.75M (Feb 2024 – May 2024)
  • Catalyst: ADC Therapeutics surged after positive Phase 2 lymphoma data[11]. The significant rise was driven by strong clinical results, just as Oncolytics is poised to leverage its breast cancer results.
  • Relevance: Like Oncolytics, ADC is focused on oncology and its Phase 2 success led to a huge market cap increase—proof that positive data in this space can trigger massive stock gains.

Case Study 3: G1 Therapeutics Inc. (NASDAQ: GTHX)

  • Market Cap Surge: $58.03M to $377.22M (Oct 2023 – Sep 2024)
  • Catalyst: G1’s rise was fueled by post hoc analyses from its Phase 2 metastatic triple-negative breast cancer (mTNBC) trial[12], showing improved OS with subsequent therapies.
  • Relevance: As another oncology company with a direct breast cancer focus, G1 offers a compelling comparison to Oncolytics, showing how successful Phase 2 results can drive significant growth in market value.

**Bonus: Pancreatic Cancer Program**

 While breast cancer is the focus, Oncolytics’ pancreatic cancer program also shows promise, with prior trials demonstrating remarkable improved OS and PFS in pancreatic cancer patients, garnering FDA Fast Track Designation.


Don’t Miss This Opportunity!

The market hasn’t caught on yet, but when it does, Oncolytics Biotech (NASDAQ: ONCY) (TSX: ONC) could soar. With analysts predicting a +400% upside and a registration-enabling study on the horizon, now’s the time to act. The data is strong, and those who see the opportunity now could reap the rewards.

Click here to learn more (in more in-depth detail) about why Oncolytics Biotech is one of the most undervalued biotech stocks today.

USA NEWS GROUP

info@usanewsgroup.com

(604) 265-2873


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SOURCES CITED:

[1] https://journals.plos.org/plosone/article?id=10.1371/journal.pone.0272851

[2] https://journals.plos.org/plosone/article?id=10.1371/journal.pone.0071966

[3] https://www.verastem.com/research/pipeline/

[4] https://cytomx.com/pipeline/

[5] https://oricpharma.com/pipeline/

[6] https://www.zymeworks.com/pipeline/

[7] https://www.autolus.com/innovation/pipeline-products/

[8] https://journals.plos.org/plosone/article?id=10.1371/journal.pone.0272851

[9] https://journals.plos.org/plosone/article?id=10.1371/journal.pone.0071966

[10] https://ir.candeltx.com/news-releases/news-release-details/candel-therapeutics-announces-positive-interim-data-randomized

[11] https://ir.adctherapeutics.com/press-releases/press-release-details/2023/ADC-Therapeutics-Announces-Initial-Results-from-Investigator-Initiated-Phase-2-Clinical-Trial-Evaluating-ZYNLONTA-in-Combination-with-Rituximab-in-Patients-with-RelapsedRefractory-Follicular-Lymphoma-FL/default.aspx

[12] https://investor.g1therapeutics.com/news-releases/news-release-details/g1-therapeutics-presents-new-post-hoc-analyses-indicating