Analyst Names ALLO Stock a CAR-T Leader

Allogene Therapeutics has received many bull notes since going public last year

CAR-T therapy has been the big thing in oncology in recent years, and one name at the forefront of the immuno-oncology movement is Allogene Therapeutics Inc (NASDAQ:ALLO). In fact, Canaccord Genuity came out with a note this morning praising the company, saying its allogeneic CAR-Ts could be a market leader in the allogeneic therapy space, and clinical data should remain strong. Canaccord began coverage on ALLO shares with a "buy" rating and $36 price target.

Looking more broadly, this bull note matches the general sentiment among other brokerage firms in coverage on Allogene Therapeutics. There are already 11 analysts in coverage, and seven of them have "buy" or "strong buy" recommendations. What's more, the average 12-month price target is right where Canaccord is targeting, standing at $37.33.

The stock was last seen trading at $28.94, after going public just over a year ago, when it opened for trading at $22. The shares have bounced around since then in a range of roughly $25 to $33, and right now are trading just atop the newly formed 200-day moving average.

Despite the optimism from analysts, the biotech remains heavily shorted. Short interest accounts for almost 27% of the total float, and represents almost 33 times the average daily trading volume.

The San Francisco-based company should remain in focus, too, since its due to report earnings before the open tomorrow, Nov. 5. Interestingly, the three previous earnings releases have resulted in negative next-day reactions for the stock.