Iovance rises by a third as strong melanoma drug demand drives revenue guidance bump

Shares of mid-cap biotech Iovance Biotherapeutics surged more than 31% on the day on Tuesday while reaching a 30-month intraday high during the session. The management said record demand for its melanoma treatments had allowed it to raise its full-year revenue guidance by 15%.

Iovance jumped 31.5% on the Nasdaq on Tuesday to close at $14.45 per share. The stock hit $15.30 during the session, its highest level since March 2024. It has added another 1.7% in premarket trading on Wednesday as of this writing.

The rally began after the management raised its 2026 revenue guidance to $410-420 million, around 15% above the previous forecast and almost 60% higher than the actual 2025 figure. This was made possible by a record second quarter. Revenue surged 66% year over year to $99.3 million, as the company reported in early August. The management attributed the growth to strong demand for its melanoma treatments Amtagvi and Proleukin.

“Increasing patient demand and our current manufacturing schedule provide strong visibility into our third- and fourth-quarter revenues,” Iovance quoted interim CEO Frederick Vogt as saying.

Iovance develops novel cancer therapies that harness the human immune system’s ability to recognize and attack cancer cells. It extracts a patient’s lymphocytes, which are fighting the tumor but are unable to defeat it, grows them outside the body, and then infuses the patient with “billions of the beefed-up cells,” industry publication BioPharma Dive wrote.

In February 2024, the FDA approved the company’s first treatment, Amtagvi, for advanced or unresectable melanoma, an aggressive form of skin cancer. The therapy is used only in combination with another drug, Proleukin, the rights to which Iovance acquired in 2023. Proleukin helps the infused cells to transition from the controlled laboratory environment into the body, Jason Bock, cofounder and CEO of the Cell Therapy Manufacturing Center, explained to BioPharma Dive. 

However, the company encountered difficulties within the first few months: the adoption of Amtagvi in clinical practice was slower than expected, while Iovance also experienced manufacturing problems. This forced the biotech to cut 20% of its workforce in mid-2025 and reduce its revenue guidance by around 40%. The company subsequently expanded manufacturing and increased the number of treatment centers offering the therapy. Amtagvi is now approved in three countries, and the company is studying its active ingredient for other types of cancer.

Following the revenue guidance lift, HC Wainwright & Co. more than doubled its target price on Iovance from $9 to $20 per share while maintaining its “buy” rating. Seven other Wall Street analysts also rate the stock a “buy,” while two recommend “hold.” The average target price is $12.40 per share, below the last close. Iovance is up 429% year to date.