ImmunityBio Inc. (NASDAQ:IBRX) is being highlighted as a promising investment option among US stocks priced under $20. As of late November, the stock has received a consensus “Buy” rating from analysts, all of whom have assigned it a favorable outlook. The consensus 1-year median price target is set at $8, indicating a potential upside of over 275%.
On November 13, analyst Jason Kolbert from D. Boral Capital reiterated his “Buy” rating for the stock, maintaining a price target of $24. This assessment aligns with his previous endorsement issued earlier in the month, underlining confidence in the company’s potential moving forward.
Recently, ImmunityBio has reported impressive revenue growth, primarily driven by the commercial distribution of its lead product, ANKTIV A, which targets non-muscle-invasive bladder cancer. For the nine months concluded on September 30, the company achieved total revenues of $75 million, a striking increase from $7.2 million recorded during the same timeframe in 2024.
Despite this revenue surge, ImmunityBio faces significant financial hurdles, reporting a net loss of $289.5 million for the same nine-month period. This loss can largely be attributed to high operating expenses, notably research and development (R&D) costs. During an earnings call, company management expressed commitment to expanding the market for ANKTIV A alongside its ongoing development of immunotherapy and cell therapy products.
ImmunityBio is based in California and operates at the forefront of biotechnology, focusing on therapies for cancer and infectious diseases. The firm is driven by the mission to “conquer cancer,” leveraging partnerships with notable entities including the National Cancer Institute, Serum Institute of India Private Limited, and BeiGene, Ltd.
While ImmunityBio shows potential as an investment, experts note that certain artificial intelligence stocks may present even greater upside potential with lower associated risks. Investors seeking undervalued opportunities are encouraged to explore insights into promising AI stocks that could benefit from economic trends like onshoring and past tariffs.
