Summit Therapeutics is a strong buy ahead of FDA decision on ivonescimab for lung cancer in 2026.

Summit Therapeutics is positioned as a high-conviction buy due to its drug ivonescimab, which has shown strong progression-free survival and overall survival benefits in Phase III trials for non-small cell lung cancer (NSCLC). The company holds over $690 million in cash, providing 4-5 quarters of funding to support late-stage clinical development and regulatory milestones. The valuation hinges on the upcoming FDA decision in November 2026, with potential peak sales in the multi-billion-dollar range if approved. Ivonescimab aims to outperform current PD-1 therapies by blocking immune evasion through a novel bispecific mechanism, making it a promising next-generation treatment.