Argenica Therapeutics' (ASX:AGN) artificial intelligence-driven reanalysis of its phase 2 stroke trial provide compelling evidence of ARG-007's clinically and commercially meaningful benefit in patients with severe stroke, said Euroz Hartleys in a Thursday note.

The research firm said that the phase 2 trial has effectively served its purpose: to characterize the drug's activity and identify the patients most likely to benefit.

Euroz Hartleys believes that the totality of evidence is more than sufficient to justify advancing into a targeted phase 2b trial enriched for patients most likely to respond, thereby maximizing the probability of success.

Euroz Hartleys maintained its speculative buy rating on AGN with a price target of AU$1.30.

Argenica Therapeutics' shares fell past 3% in recent Friday trade.