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Revolution Should Be On Your Radar; 'Undruggable Targets' Now Potentially Druggable


  • Revolution Medicines completed its IPO, raising roughly $273.7 million to fund its operations and pipeline.
  • The main clinical product in the pipeline is RMC-4630, which is an SHP2 inhibitor and the central node found in the RAS cascade pathway.
  • The biotech is working on developing drugs for both the RAS and mTOR signaling pathways.
  • It has been able to partner its main clinical product RMC-4630 with both Sanofi and Amgen, which brings about additional explorative opportunities with the use of this SHP2 inhibitor.
  • I do much more than just articles at Biotech Analysis Central: Members get access to model portfolios, regular updates, a chat room, and more. Get started today »

Revolution Medicines (NASDAQ:RVMD) completed an IPO a few weeks ago. It raised a total of $273.7 million. This cash on hand will help the biotech navigate through several differentiated products in its pipeline. The main product in the pipeline furthest along is RMC-4630, which is a selective inhibitor of SHP2, being developed to treat several tumor types. Then, it is targeting the very difficult mutations of RAS and RAS-ON. These are the types of mutant targets that several other big pharmaceuticals are looking to go after. What makes the RAS mutant target so difficult is that it has been "undruggable" for decades, before any headway has been made in this space. It has the cash on hand along with a diversified pipeline, and I believe it is worth a look as a speculative buy.


Key Cancer Pathways Thought To Be Undruggable

Revolution Medicines is looking to go after two pathways known as RAS and mTOR, which are responsible for key cell cancer growth and survival. These pathways have mutation nodes that are responsible for driving such cell signaling and growth for tumors. These mutation nodes are going to be targeted by the biotech and they are:

  • Multiple RAS targets
  • SHP2
  • SOS1
  • mTORC1

These are difficult targets to go after and, as I highlighted above, are thought to have been "undruggable" for a long period of time. These types of targets are key node pathways and key oncogenic drivers of specific types of cancers.


RMC-4630 Lead Product Development Advancement

RMC-4630 is an inhibitor of SHP2. Why is that important? It is because SHP2 is the central node for the RAS signaling pathway. The SHP2 protein is encoded by the PTPN11 gene. The SHP2 protein is responsible for cell survival and growth and accomplishes such a task by upstream from receptor tyrosine kinases (RTK) to

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This article was written by

Terry Chrisomalis profile picture

Terry Chrisomalis is a private investor in the Biotech sector with years of experience utilizing his Applied Science background to generate long term value from Healthcare.

He is the author of the investing group Biotech Analysis Central which contains a library of 600+ Biotech investing articles, a model portfolio of 10+ small and mid-cap stocks with deep analysis for each, live chat, and a range of analysis and news reports to help Healthcare investors make informed decisions.

Analyst’s Disclosure: I/we have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

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Comments (2)

No mention of dates of preliminary results???
biogenius profile picture
At a MC of 2 bil, I think it is a little bit too expensive.
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