| Valuation method | Value, £ | Upside, % |
|---|---|---|
| Artificial intelligence (AI) | 78.00 | 1475 |
| Intrinsic value (DCF) | 134.75 | 2621 |
| Graham-Dodd Method | n/a | |
| Graham Formula | n/a |
Atara Biotherapeutics, Inc. (LSE: 0HIY.L) is a pioneering off-the-shelf T-cell immunotherapy company focused on developing transformative treatments for cancer, autoimmune diseases, and viral infections. Headquartered in South San Francisco, California, Atara leverages its cutting-edge allogeneic T-cell platform to create therapies that target high-need conditions such as Epstein-Barr virus (EBV)-driven post-transplant lymphoproliferative disease (PTLD), nasopharyngeal carcinoma, and multiple sclerosis. The company’s lead candidate, tabelecleucel, is in Phase 3 trials for EBV+ PTLD, while its next-generation CAR T-cell therapies (ATA2271, ATA3271, ATA2431, ATA3219, and ATA188) target hematologic malignancies and solid tumors. Atara’s strategic collaborations with institutions like Memorial Sloan Kettering Cancer Center, QIMR Berghofer, and Bayer AG bolster its R&D pipeline. Operating in the high-growth biopharmaceutical sector, Atara aims to address unmet medical needs with scalable, off-the-shelf immunotherapies, positioning itself as a key player in the evolving cell therapy landscape.
Atara Biotherapeutics presents a high-risk, high-reward opportunity for investors focused on innovative immunotherapies. The company’s lead asset, tabelecleucel, has significant potential in EBV+ PTLD, a rare but deadly condition with no approved therapies. However, Atara’s financials reflect the challenges of clinical-stage biotech: a net loss of $85.4M in FY 2023, negative operating cash flow ($68.7M), and limited cash reserves ($25M) against $43.8M in debt. Its low beta (0.3) suggests limited correlation with broader markets, but liquidity concerns loom given its $47M market cap. Success hinges on clinical milestones, particularly tabelecleucel’s Phase 3 readout and partnerships like the Bayer collaboration for mesothelin-targeted CAR-Ts. Investors should weigh pipeline potential against dilution risk and the capital-intensive nature of cell therapy development.
Atara competes in the crowded but rapidly advancing cell therapy space, differentiating itself with off-the-shelf (allogeneic) T-cell products that avoid the logistical complexities of autologous therapies (e.g., CAR-Ts requiring patient-specific manufacturing). Its lead candidate, tabelecleucel, targets a niche (EBV+ PTLD) with limited competition, but rivals like Kite Pharma (Gilead) and Novartis dominate the broader CAR-T market for hematologic cancers. Atara’s allogeneic approach could offer cost and scalability advantages if clinical efficacy matches autologous therapies. However, it faces stiff competition from companies like Allogene Therapeutics (ALLO) in the allogeneic CAR-T space and must navigate regulatory hurdles unique to cell therapies. Collaborations with Bayer and top cancer centers provide validation, but commercialization risks remain high given its lack of approved products. The company’s focus on solid tumors (e.g., via ATA2271 for mesothelin+) is strategic but unproven, as CAR-Ts have historically struggled in this area. Atara’s cash position is a concern compared to deeper-pocketed peers, potentially limiting its ability to compete in large-scale trials or marketing efforts.