The French biotech rebounded after late-stage ulcerative colitis data showed malignancy rates within expected ranges, though analysts remain divided on residual regulatory risk ahead of a planned FDA filing in late 2026.
Abivax shares jumped after the French biotech released new Phase 3 data for obefazimod, its lead ulcerative colitis drug, helping calm cancer-safety concerns that had triggered a sharp selloff on June 2. The updated results, released on June 28, covered patients who failed initial treatment and showed malignancy rates within the range typically seen in ulcerative colitis patients, with no new safety signals. Among those patients, 37.2% reached clinical remission and 34.5% reached endoscopic remission at week 44, reinforcing the drug’s efficacy case in a harder-to-treat group. The stock had fallen 43% earlier in June after early trial data showed a rise in malignancies among patients taking obefazimod, but shares surged more than 38% on June 30 following the new update and are up more than 1,730% over the past year. Analysts remained split on the remaining risk: Citizens raised its price target to $187 and kept an Outperform rating, while Wedbush upgraded the stock from Underperform to Neutral but cut its price target to $90, citing lingering malignancy questions around the 50 mg dose as a regulatory concern. Abivax still plans to file a new drug application with the FDA in the fourth quarter of 2026, leaving the stock sensitive to any additional safety data before then.