Erasca, Inc.
ERAS · NASDAQ
Analyst ratings
strong_buy · 8 ratings
| Date | Firm | Action | Rating | Price target |
|---|---|---|---|---|
| July 14, 2026 | B of A Securities | Maintains | Neutral | $18.00 |
| June 4, 2026 | B of A Securities | Upgrades | Neutral | $16.00 |
| May 12, 2026 | Mizuho | Maintains | Outperform | $26.00 |
| April 27, 2026 | Stifel | Maintains | Buy | $30.00 |
| March 18, 2026 | JP Morgan | Maintains | Overweight | $25.00 |
| March 16, 2026 | Guggenheim | Maintains | Buy | $20.00 |
| March 13, 2026 | Piper Sandler | Maintains | Overweight | $18.00 |
| March 13, 2026 | Mizuho | Maintains | Outperform | $19.00 |
| March 13, 2026 | HC Wainwright & Co. | Maintains | Buy | $20.00 |
| March 6, 2026 | Clear Street | Maintains | Buy | $20.00 |
| January 26, 2026 | HC Wainwright & Co. | Maintains | Buy | $15.00 |
| January 16, 2026 | Piper Sandler | Maintains | Overweight | $11.00 |
| January 13, 2026 | HC Wainwright & Co. | Maintains | Buy | $11.00 |
| December 9, 2025 | Mizuho | Maintains | Outperform | $5.00 |
| November 14, 2025 | Guggenheim | Maintains | Buy | $5.00 |
| September 3, 2025 | B of A Securities | Downgrades | Underperform | $1.00 |
ERAS-0015 safety profile and clinical viability
Phase 1 AURORAS-1 trial data demonstrate a 57% unconfirmed overall response rate in pancreatic cancer and 64% ORR in NSCLC, with Jefferies citing a potentially cleaner safety profile versus competitor daraxonrasib. The data support a best-in-class pan-RAS profile, reinforcing confidence in ERAS-0015's clinical trajectory.
A treatment-related patient death (Grade 5 pneumonitis) disclosed after market close triggered a nearly 48% single-day stock collapse. Critics argue the fatality signals serious toxicity risks that could jeopardize FDA interactions, prompt a clinical hold, and undermine the drug's long-term safety narrative.
Patent litigation risk and competitive positioning against Revolution Medicines
Goldman Sachs views Erasca as the furthest-advanced pan-RAS program after Revolution Medicines, with preclinical and early clinical data suggesting meaningful differentiation from daraxonrasib. The Merck supply collaboration further strengthens Erasca's competitive standing and combination trial prospects.
Revolution Medicines formally alleged patent infringement, trade secret misappropriation, and deceptive public disclosures by Erasca regarding ERAS-0015 comparisons to RMC-6236. This triggered a federal securities class action lawsuit and a combined two-day selloff erasing over $2.8 billion in market capitalization.
Valuation and dilution risk following the $632.5 million public offering
The upsized offering raised approximately $550 million in gross proceeds, providing substantial runway to fund pivotal Phase 3 trials planned for 2027 in pancreatic and lung cancers. CEO Jonathan Lim stated the company is well-positioned to execute its clinical development plan and transition into late-stage development.
The stock is flagged as overvalued relative to its Fair Value estimate by InvestingPro, despite surging over 1,100% in the past year. The issuance of 31.4 million new shares at $17.50 introduces meaningful dilution, and Erasca is forecast to remain unprofitable over the next three years with a negative future return on equity of -30.6%.