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Fate Therapeutics Has Promising Off-The-Shelf Cell Therapies While Looking Cheap

Source: SeekingAlpha

2025-02-04 19:41:27 ET

Summary

  • Fate Therapeutics uses iPSC and gene editing to offer scalable off-the-shelf therapies that could help oncology and immunology patients.
  • Their pipeline has 3 interesting Phase 1 candidates for SLE, Solid Tumors, and B-cell lymphoma.
  • But in my view, FT819 shows the most promising, as they recently achieved remission for one SLE patient.
  • Valuation-wise, I think FATE’s low P/B relative to peers shows it is cheap, even though that’s partially due to its early-stage pipeline.
  • The main risk I see with FATE is its inherently speculative R&D progress, but also its cash burn, which could become an issue by 2027. Other than that, I rate FATE a “Buy”.

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Fate Therapeutics Has Promising Off-The-Shelf Cell Therapies While Looking Cheap
Fate Therapeutics Inc.

NASDAQ: FATE

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45
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Biotechnology & Life Sciences
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US
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