First Berlin Equity Research has published a research update on CEL-SCI Corporation (ISIN: US1508376076). Analyst Christian Orquera reiterated his BUY rating and maintained his USD 6.20 price target.

Abstract
CEL-SCI’s 9M 23/24 financial results (as of 30 June 2024) were roughly as expected. The company reported no revenue and reduced its OPEX compared to the previous year. EBIT came in at USD-20.2m (9M 22/23: USD-24.0m) and the cash position dropped to just USD385k (FY 22/23: USD22.7m). However, in July 2024, CEL-SCI carried out a capital increase of USD10.85m. The company’s cash position should now be sufficient to finance operations into Q1 2025. Given CEL-SCI’s plan to start a confirmatory trial of the lead drug candidate Multikine in Q4 2024/Q1 2025, we expect the company to conduct another capital increase. We estimate that the confirmatory study will cost ~USD30m, part of which may be paid by CEL-SCI’s marketing partners Teva Pharmaceuticals (based in Israel) and Orient Europharma (based in Taiwan). The green light given by the FDA in May 2024 for the confirmatory study provided a clear path to approval and therefore is a good basis for the additional financing. The company also published positive results of a recent bias analysis of its completed Multikine phase 3 study. A bias analysis is a standard procedure to ensure that the results of a study are reliable. The outcome was that the study showed no bias in favour of the drug. This analysis reinforces our positive view on Multikine’s prospects as a potential new first line treatment of locally advanced primary head and neck squamous cell carcinoma (HNSCC). We reiterate our Buy recommendation and price target of USD6.20.