Immutep (IMMP) Stock Crashes 80% After Phase III Lung Cancer Trial Halted on Efficacy Grounds

TLDR

• Immutep stock crashed ~80% Friday after its Phase III lung cancer trial was halted for futility.
• The IDMC recommended stopping the TACTI-004 study evaluating eftilagimod alfa (efti) in first-line non-small cell lung cancer.
• Baird downgraded IMMP from Outperform to Neutral, slashing its price target from $7.00 to $1.00.
• Citizens also downgraded the stock from Market Outperform to Market Perform and removed all NSCLC revenue projections.
• Trading volume exploded to over 11 million — versus a daily average of around 154,000 — as investors rushed for the exits.

Immutep (IMMP) fell around 80% on Friday after the company announced the discontinuation of its TACTI-004 Phase III clinical trial. The study had been evaluating eftilagimod alfa, known as “efti,” in patients with first-line non-small cell lung cancer (NSCLC).

Immutep Limited, IMMP

The halt came on the recommendation of the Independent Data Monitoring Committee (IDMC), which reviewed the safety and efficacy data and concluded the trial should be stopped for futility. In plain terms: the data suggested the treatment was unlikely to hit its goals if the study continued.

Immutep said it will now halt new enrollment and begin an orderly wind-down of the study, including patient follow-up and site close-out in line with regulatory requirements.

Analysts Cut Ratings and Price Targets

The market reaction was swift — and so was the analyst response.

Baird analyst Colleen Kusy downgraded IMMP from Outperform to Neutral and cut her price target from $7.00 to $1.00. The stock had been trading around $2.76 at the time of the downgrade, putting it well above that new target. Baird said it does not see a clear path forward for efti following this result.

Citizens analyst Reni Benjamin also downgraded the stock, moving it from Market Outperform to Market Perform. Benjamin removed all revenue projections tied to the NSCLC indication from the model.

Both analysts expect the stock to trade in line with the broader market until meaningful data from remaining randomized studies comes through.

The IMMP stock was down about 3.5% year-to-date before Friday’s news but had been up 55% over the prior 12 months. That run is now largely erased.

What Happens Next for Immutep

One silver lining for the company: with the TACTI-004 trial ending, it no longer carries that cost. Immutep now expects its cash runway to extend well beyond its previously guided Q2 2027 timeframe. The company said it will give an updated cash outlook once it finishes closing down the trial operations.

Immutep said it will continue to focus on other pipeline candidates. However, with NSCLC being the lead program, the path forward looks considerably narrower.

Trading volume on Friday told the whole story. More than 11 million shares changed hands in the morning session alone — compared to a three-month average daily volume of around 154,000. That’s roughly 70 times the normal pace.

The consensus rating on IMMP is currently Hold, based on two Hold ratings. There is no average price target for the stock at this time.

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