EVENTS:   Best Equity Short Ideas Conference Call 12 - Zach Shannon/Corto Capital Advisors & Craig Huber/Huber Research Partners & Thomas Beevers /Forensic Alpha & Ed Steele/Iron Blue Financials & Bill Campbell/Paragon Intel - 12 Nov 25   Will AI Deflate the World? Macro Lessons from Three Industrial Revolutions and China - Manoj Pradhan/Talking Heads Macro - 13 Nov 25     ROADSHOWS: Forest Products Sector Equity and Commodity Research With Expertise in Distressed Debt - Kevin Mason /ERA Research   •   London   12 - 14 Nov 25       Buyside to Buyside Forum and Expert Calls across TMT, Consumer, Healthcare and Fintech - Andrew Peters /Revelare Partners   •   London   17 - 19 Nov 25       Fundamental US Healthcare Short Ideas - Dr Elliot Favus /Favus Institutional Research   •   London   17 - 19 Nov 25      

Fortnightly Publication Highlighting Latest Insights From IRF Providers

Company Research

Merck (MRK) & Gilead (GILD) / Arcus Biosciences (RCUS)

Healthcare

Foveal Research

Dr Amit Roy remains concerned over the added benefit of TIGIT to established PD1 therapy for MRK and GILD / RCUS. As expected, the street’s expectations over MRK’s TIGIT in cancer was misplaced again, as it failed to beat chemo in later line lung cancer. GILD / RCUS 1st line TIGIT data also appears equivocal with large imbalances in baseline characteristic and an underperforming PD1 arm in high PDL1 expressers. Moreover, the TIGIT + PD1 response of 41% still falls short of response rate seen with Keytruda alone. Amit also remains concerned about MRK’s prospects in first line lung, with, again disappointing response rate of just ~33% in patients naïve to PD1 therapy.

Edition: 157

- 31 March, 2023