Alnylam stock poised for strong quarter as Amvuttra launch gains traction

RBC Capital maintained its Outperform rating and $330.00 price target on Alnylam Pharmaceuticals (NASDAQ:ALNY) following positive survey data on its recently expanded Amvuttra treatment. The firm’s survey of 35 U.S. cardiologists across 18 states suggests Amvuttra’s launch is exceeding expectations after receiving label expansion for TTR-CM at the end of March. According to InvestingPro data, ALNY has demonstrated remarkable market performance with a 90% return over the past year, while maintaining a strong gross profit margin of 86%.

The survey revealed 81% of doctors have already prescribed Amvuttra, despite Alnylam indicating that 50% of key hospitals have yet to add the drug to their formularies. Payer resistance appears minimal, with 62% of prescriptions already receiving approval, according to RBC’s research.

Participating physicians projected approximately 844 Amvuttra prescriptions will be written in the second quarter, suggesting potential for strong quarterly results. This follows third-party data indicating monthly sales grew from roughly $35 million to $45 million over a year before jumping to approximately $80 million in a single month. The company’s revenue growth remains robust at 17.2% over the last twelve months, with InvestingPro analysis showing strong financial health metrics, including a comfortable current ratio of 3.04.

RBC Capital noted that while Alnylam declined to endorse specific third-party sales figures during a recent headquarters visit, the company acknowledged the data may capture "a directional signal" of the launch trajectory. The expanded indication allows Amvuttra to target what RBC describes as a "$6b+ market growing 65% CAGR."

The investment firm highlighted Alnylam’s path to profitability this year and its track record of seven drugs approved in seven years as factors supporting its positive outlook on the stock. RBC characterized Alnylam as "a notable exception" in the current biotech investment landscape. With a market capitalization of nearly $40 billion and analysts predicting profitability this year, detailed insights about ALNY’s growth potential are available in the comprehensive Pro Research Report on InvestingPro, along with 10+ additional ProTips and extensive financial metrics.

In other recent news, Alnylam Pharmaceuticals has received approval from the European Commission for its RNAi therapeutic, AMVUTTRA, to treat transthyretin amyloidosis with cardiomyopathy. This approval, supported by data from the HELIOS-B Phase 3 study, marks the first for this condition in Europe and follows previous authorizations in the U.S. and Brazil. Meanwhile, analysts from H.C. Wainwright and RBC Capital have reaffirmed their positive ratings on Alnylam, with price targets set at $500 and $330, respectively. The analysts cite promising initial results for AMVUTTRA and Alnylam’s potential market dominance in treating transthyretin-mediated cardiomyopathy.

Additionally, JPMorgan has maintained an Overweight rating for Alnylam, also setting a price target at $330. The firm anticipates a strong second-quarter performance for AMVUTTRA, supported by recent sales data. Investors are closely monitoring Alnylam’s TTR franchise, which is reportedly performing ahead of expectations. In other developments, John Maraganore, a veteran in the biotech industry, has joined the board of Axion Bio, a subsidiary of Instil Bio. Axion Bio is advancing its cancer therapy, AXN-2510, with ongoing trials expected to complete enrollment soon.

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