The spotlight is on these ASX healthcare stocks with upcoming catalysts. Pic via Getty Images <\/p>\n
Morgans\u2019 Scott Power describes mood at Bioshares Biotech Summit as \u201cmarkedly more upbeat than prior years\u201d with signs of a rotation back to ASX healthcare sector
\nPower highlights nine ASX healthcare companies from summit with clear near-term catalysts over next three to six months
\nResults from Argenica\u2019s phase II trial of lead product ARG-007 in acute ischaemic stroke patients expected in early September\u00a0<\/p>\n
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In a further positive sign the ASX healthcare sector may be recovering, Morgans\u2019 senior healthcare analyst Scott Power has returned from the 19th annual Bioshares Biotech Summit, describing the mood of presenting companies as \u201cmarkedly more upbeat than prior years\u201d.<\/p>\n
The summit, which featured presentations from more than 30 biotech companies, followed a strong July for the healthcare sector, which rose 9.05% to be best performer of the 11 ASX sectors.<\/p>\n
While healthcare remains the worst-performing sector YTD, up just 1.81%, the solid July results and positive momentum at this year\u2019s Bioshares conference signals a positive turnaround.<\/p>\n
Attended by analysts along with institutional and high net worth investors, Stockhead\u2019s Tim Boreham refers to the summit as the \u201cDruggies & Dealers\u201d conference \u2013 a playful nod to the well-known annual Diggers & Dealers mining forum, which this year fell in the same week.<\/p>\n
\u201cThe conference was centred on the evolution and strategic positioning of Australian biotech companies across the drug development lifecycle, with a strong emphasis on innovation and commercialisation,\u201d Power said.<\/p>\n
\u201cWe generally got the sense there is a lot more happening in the background for many of these companies than first glance.\u201d<\/p>\n
Power has highlighted nine ASX healthcare companies presenting at the summit with clear near-term catalysts over the next three to six months.<\/p>\n
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Morgans nine ASX healthcare stocks with upcoming catalysts<\/p>\n
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Neuren Pharmaceuticals (ASX:NEU)<\/a><\/p>\n Market cap: $2.2 billion<\/p>\n Neuren develops drugs for the treatment of neurological disorders and became the darling of the ASX biotech sector in 2023 when trofinetide, marketed as DAYBUE, received US Food and Drug Administration approval as the first and only approved treatment for Rett syndrome \u2013 a rare neurological disorder mostly affecting girls and emerging in infancy.<\/p>\n Acadia Pharmaceuticals, Neuren\u2019s partner, markets DAYBUE in North America with the Aussie biotech eligible to receive double-digit royalties payments.<\/p>\n Power said the key upcoming catalyst for Neuren would be an expectation of continued improvement in DAYBUE net sales in Q3 CY25.\u00a0 The company\u2019s latest quarterly sales were US$96.1 million, up 14% on pcp.<\/p>\n \u00a0<\/p>\n \ufeff\u00a0 Market cap: $295.9 million\u00a0<\/p>\n Cogstate is a neuroscience technology company focused on optimising neurological health assessments to advance the development of new medicines and deliver clinical insights into brain function.<\/p>\n Its Cognigram digital cognitive assessment system is used by physicians to monitor key aspects of neurological performance, including processing speed, attention, visual learning, working memory and executive function.<\/p>\n CogState has provided FY25 guidance of revenue between US$52 to US$54 million, up 20% to 24% and profit before tax between US$12 to US$14 million.<\/p>\n \u201cCGS will report its FY25 result on August 22 with the existing share buyback expected to be extended,\u201d Power said.<\/p>\n \u00a0<\/p>\n Argenica Therapeutics (ASX:AGN)<\/a><\/p>\n Market cap: $95m<\/p>\n The key upcoming catalyst for Argenica is results forecast for early September of a phase II trial of its lead product ARG-007 in acute ischaemic stroke patients.<\/a><\/p>\n ARG-007 is a synthetic peptide designed to protect brain cells from dying in the critical minutes and hours after acute neurological events such as stroke, traumatic brain injury (TBI) and hypoxic brain damage.<\/p>\n In April, Argenica completed dosing of 92 patients in the double-blinded, randomised, placebo controlled phase II trial undertaken at eight emergency departments around Australia.<\/p>\n Data-read out from the trial is due in September with safety the main endpoint, determining if the drug asset can advance further in clinical development.<\/p>\n \u00a0<\/p>\n Blinklab (ASX:BB1)<\/a><\/p>\n Market cap:$55m<\/p>\n Blinklab is a company founded by neuroscientists at Princeton University and has developed a smartphone based diagnostic platform for autism, ADHD, schizophrenia and other neurodevelopmental conditions.<\/p>\n \u201cThe key short term catalyst is the release of results for BB1\u2019s pilot study for autism involving around 190 children,\u201d Power said,<\/p>\n \u201cThe study undertaken at two sites is on track to finish recruitment in August with data locking and unblinding to follow and results expected to be released in September.<\/p>\n \u201cA main phase trial is expected to follow recruiting up to 900 children across eight additional sites.\u201d<\/p>\n \u00a0<\/p>\n Clever Culture Systems (ASX:CC5)<\/a><\/p>\n Market capitalisation $62.4 million<\/p>\n Adelaide-based Clever Culture Systems has developed the only US FDA-cleared AI technology for automated culture plate reading. Its APAS (automated plate assessment system) Independence instruments automatically analyse culture plates to detect microbial contamination, classifying growth as significant or non-significant.<\/p>\n In sterile drug manufacturing, culture plates are used inside cleanrooms to monitor for contamination, with results critical to releasing safe and effective drugs. Clever Culture\u2019s APAS Independence reduces the time consuming manual analysing of the culture plates by microbiologists.<\/p>\n \u201cCC5 has signed up three large pharmaceutical companies including AstraZeneca, Bristol Myers Squibb and Novo Nordisk plus two large lab companies and is in negotiations with other tier one groups,\u201d Power said.<\/p>\n \u201cAnnouncements around additional customers or expansion with existing customers is a key short-term catalyst.\u201d<\/p>\n \u00a0<\/p>\n Tetratherix (ASX:TTX)<\/a><\/p>\n Market cap: $215 million<\/p>\n Wound management house Tetratherix made its ASX debut on June 30, breaking an IPO drought for the sector.<\/a> Barrenjoey Markets and Morgans Financial were joint lead managers and underwriters to the Tetratherix IPO.<\/p>\n Tetratherix has developed a proprietary polymer platform enabling the targeted delivery of cells, drugs and biologics, to treat a range of conditions across tissue spacing, bone regenerative and tissue healing.<\/p>\n The company will post its maiden FY25 result in late August.<\/p>\n \u201cThe near-term catalysts we expect to be called out include progress on the bone regeneration franchise which is targeting FDA clearance in H2 CY26 and an update on the recruitment in the trial for Cohort 2 using TetraDerm (tissue healing) involving surgical incisions in the face and neck,\u201d Power said.<\/p>\n \ufeff\u00a0<\/p>\n \u00a0<\/p>\n Micro-X (ASX:MX1)<\/a><\/p>\n Market cap: $52 million<\/p>\n Micro-X has proprietary cold cathode, carbon nanotube (CNT) emitter technology which is focused on medical imaging and security applications.<\/p>\n The company recently announced a significant commercial milestone, a three-year supply agreement with a major US healthcare provider for its Rover Plus mobile radiology system.<\/p>\n The deal followed a successful evaluation and competitive tender by the healthcare provider, which operates more than 700 facilities nationwide.<\/p>\n It has added Rover Plus to its approved procurement list, allowing member hospitals to purchase the system without further evaluation or tendering.<\/p>\n \u201cWe expect additional supply agreements will be executed over the near-term,\u201d Power said.<\/p>\n \u00a0<\/p>\n
\nCogState (ASX:CGS)<\/a><\/p>\n