Analyst Ratings February 24, 2026

Citizens Sticks With Market Outperform for Summit Therapeutics as Ivonesimab Program Expands

Analyst keeps $40 target while company pushes lead asset into new late-stage indications amid a heavy Q4 earnings miss and a solid cash position

By Hana Yamamoto SMMT
Citizens Sticks With Market Outperform for Summit Therapeutics as Ivonesimab Program Expands
SMMT

Citizens has reaffirmed its Market Outperform rating and a $40.00 price target on Summit Therapeutics plc (NASDAQ:SMMT). The stock trades at $16.09 with a market capitalization of $12.41 billion, even as InvestingPro flags potential overvaluation versus Fair Value. Summit is extending ivonesimab beyond non-small cell lung cancer into late-stage trials for first-line metastatic colorectal cancer and PD-L1 positive recurrent or metastatic head and neck squamous cell carcinoma, with a key interim progression-free survival readout slated for the second quarter of 2026. The company also reported a sizable fourth-quarter 2025 EPS shortfall but emphasized a strong cash position and encouraging clinical data.

Key Points

  • Citizens maintained a Market Outperform rating and a $40.00 price target on Summit Therapeutics while the stock trades at $16.09 and a $12.41 billion market capitalization.
  • Summit is expanding ivonesimab into late-stage trials beyond NSCLC, including HARMONi-GI3 (1L mCRC) and ILLUMINE (PD-L1+ r/m HNSCC); an interim PFS analysis in Q2 2026 is the next key milestone.
  • Despite clinical progress and a strong cash position, Summit reported a significant Q4 2025 EPS miss (-$0.3908 vs -$0.08 forecast) and is not forecast to be profitable this year.

Citizens has reiterated its Market Outperform rating on Summit Therapeutics plc and maintained a $40.00 price target on the stock, which is currently trading at $16.09 and carries a market capitalization of $12.41 billion. InvestingPro analysis, however, indicates the shares may be trading above their Fair Value.

At the center of Citizens' positive stance is Summit's effort to broaden the clinical reach of ivonesimab. Management and investigators have moved to test the antibody in indications beyond non-small cell lung cancer (NSCLC), citing rapid enrollment and strong investigator interest as enabling factors.

Specifically, Summit has added late-stage programs for ivonesimab that include:

  • First-line metastatic colorectal cancer (mCRC) in the HARMONi-GI3 study
  • PD-L1 positive recurrent or metastatic head and neck squamous cell carcinoma (r/m HNSCC) in the ILLUMINE trial

Citizens analyst Reni Benjamin highlighted earlier clinical readouts that showed pronounced separation in progression-free survival, and emphasized the company's push to expand ivonesimab into new indications. In Benjamin's words:

"Summit is pushing ivonesimab beyond NSCLC, leaning on strong investigator interest and rapid enrollment to add new late-stage shots like 1L mCRC (HARMONi-GI3) and PD-L1+ r/m HNSCC (ILLUMINE)."

Benjamin also pointed to a change in Summit’s HARMONi-3 protocol that positions an interim progression-free survival analysis in the second quarter of 2026 as the next material milestone for investors to watch.

On the analyst consensus front, InvestingPro Tips shows that three analysts have increased their earnings estimates for the upcoming period. Despite those revisions, Summit is not expected to be profitable in the current year.

From a business profile perspective, Summit Therapeutics focuses on developing biopharmaceutical therapies in infectious diseases and oncology. Its lead investigational asset, ivonesimab, is now the focal point of multiple late-stage development efforts intended to broaden the potential market opportunity.

Financial results released for the fourth quarter of 2025 painted a mixed picture. Summit reported an earnings per share (EPS) of -$0.3908, falling well short of the forecasted -$0.08 and marking a 388.5% miss against expectations. Management nonetheless drew attention to the company’s strong cash balance and the encouraging clinical outcomes seen with ivonesimab.

The contrast between the operational and clinical narrative - expanding late-stage trials and positive trial signals - and the sizable EPS shortfall has shaped investor and analyst attention. Firms continue to monitor both the company’s financial trajectory and clinical development progress closely, with the timing and outcome of the interim PFS readout in Q2 2026 flagged as particularly important.

In sum, Citizens' reiteration of a Market Outperform rating rests on the commercial and clinical promise of ivonesimab as Summit widens its late-stage program, while the company’s recent quarterly results and valuation signals from InvestingPro introduce cautionary elements.


Note: The company is covered in InvestingPro’s broader research universe of over 1,400 US equities.

Risks

  • Valuation risk - InvestingPro analysis suggests the stock may be overvalued relative to its Fair Value, which affects investor returns in the biotech and broader equity markets.
  • Earnings and profitability risk - a substantial Q4 2025 EPS shortfall and the expectation that the company will not be profitable this year introduce near-term financial uncertainty affecting investor sentiment.
  • Clinical and execution risk - Summit’s strategy depends on successful enrollment and favorable outcomes in new late-stage ivonesimab trials, with the interim PFS readout in Q2 2026 a critical upcoming milestone for oncology markets.

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