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Undervalued Potential of Aquestive Therapeutics: A Closer Look at Anaphylm

Published December 17, 2024

Cantor Fitzgerald recently began coverage on Aquestive Therapeutics, Inc. (NASDAQ:AQST), a pharmaceutical company known for its innovative approaches and five commercialized products.

Aquestive is currently working to advance its late-stage proprietary products, including one for treating severe allergic reactions such as anaphylaxis. Additionally, the company is developing an earlier-stage epinephrine prodrug topical gel aimed at various dermatological conditions.

According to Cantor, the unique strength of Aquestive lies in its PharmFilm technology, which allows for the delivery of active pharmaceutical ingredients through oral pathways such as buccal, sublingual, and lingual routes. The primary focus of this coverage is on Anaphylm, which is currently in the pre-New Drug Application (NDA) development stage targeting Type 1 allergic reactions.

Cantor has rated Aquestive as an Overweight investment and set a price target of $17 per share.

Earlier in the month, Aquestive reaffirmed its guidance for submitting its New Drug Application for Anaphylm in the first quarter of 2025. The company also announced that no additional adult clinical trials are required before this NDA submission and that it has begun pediatric trials in the United States and Canada.

Cantor analysts noted that the company's stock is currently priced well below its projected peak sales for Anaphylm, despite robust clinical data demonstrating its comparable efficacy to traditional epinephrine auto-injectors, with potential improvements in certain aspects. They stated, "We'd be buyers of this stock based on the potential of Anaphylm alone and estimate shares could rise over 200% by 2025 if the drug gains approval."

According to Cantor, Anaphylm’s sublingual formulation could revolutionize the epinephrine auto-injector market due to its:

  • Compact Design: The product is only about the size of a postage stamp, allowing it to fit easily in a pocket or alongside a cell phone.
  • User-Friendly Application: It’s quicker and simpler to use than traditional auto-injectors, involving fewer steps, which makes it more appealing for patients and their caregivers.

A significant portion of Cantor’s revenue projections for Aquestive is based on the anticipated U.S. marketing application submission for Anaphylm.

Market Movement: Recently, AQST stock saw a rise of 7.31%, reaching $3.86.

Aquestive, Anaphylm, PharmFilm