Unmasking Value in Colorectal Cancer; Initiating at Outperform

Research evidence excerpt

Unmasking Value in Colorectal Cancer; Initiating at Outperform

Biotechnology - Oncology & Rare Diseases

Oncology - Market Overweight

CYTOMX THERAPEUTICS, INC. (CTMX) May 19, 2026

Unmasking Value in Colorectal Cancer; Initiating at Rating:

Outperform Outperform

Price:

$3.50

The Wolfe Byte Price Target:

CTMX owns the only de-risked EpCAM ADC in clinical development, posting $6

% Upside:unprecedented response rates in late-line colorectal cancer (~5x current SOC). Tox 71.4%

(diarrhea) is the worry, but we think CTMX should be able to navigate and drive

View CTMX Model

acceptable Grade 3+ rates. View Comp Table

Company Information

The response rates in colorectal cancer are unusual. Varseta-M's confirmed 52-Week Range $2 - $7

response rates are ~20-32% in 3L+ mCRC -- five times what Lonsurf-bev delivers -- Market Cap. (MM) $762

and these are late-line patients. The early-stage study enrolled pts with a median of Enterprise Value (MM) $277 Shares Out. (MM) 217.7

3 priors and 83% used prior anti-VEGF. Given the high response rates, we think there Avg. Value Traded (MM) $14.20

is opportunity to move into earlier lines. SI% of Float 23.6%

The bear case is tox, but we are not as concerned. Grade 3+ diarrhea at the active 7

doses were 25-30%. Not good but the budesonide prophylaxis and adjusted body- 6

weight dosing lowered the rates to ~10%. For context, Trodelvy runs at 11%, Ziihera 5

410%, and FOLFIRI is ~9-20%. The 10% generated by Varseta-M is in range for a

commercial oncology drug. We'd get worried if the 2H update moves back towards 3

20% -- but we don't think it will given lower hypokalemia rates in the optimized 2

dosing portion. 1 Jun-25 Jul-25 Aug-25 Sep-25 Oct-25 Nov-25 Dec-25 Jan-26 Feb-26 Mar-26 Apr-26 May-26

Competition exists but isn't clean.