Xencor Sees Upside Potential After 'Exciting' Kidney Cancer Trial Data, RBC Capital Markets Says

11:51 AM EDT, 10/27/2026 (MT Newswires) -- Xencor's (XNCR) shares have strong upside potential due to "exciting" phase 1 data that exceeded expectations for its kidney cancer drug candidate XmAb819, RBC Capital Markets said in a note emailed Tuesday. The brokerage said the stock reaction following the presentation of the updated data is "still not fully pricing in the upside optionality." "We see an increasingly compelling setup for the business as a whole," analysts wrote, as they highlighted potential upside and downside scenarios that could affect the company's stock price. The upside scenario assumes multiple pipeline programs are successful, with "meaningful derisking" in the near term, which could boost the stock price to $55 a share at a fair value, while the downside scenario assumes failure or delays in its pipeline programs, which would lead investors to discount Xencor's existing assets and could lower the shares to $4 apiece. RBC Capital Markets more than doubled the price target to $43 from $20, and has an outperform, speculative risk rating on the stock. Price: 29.87, Change: +0.69, Percent Change: +2.36