BioCryst stock undervalued ahead of Q2 earnings, says RBC Capital

Published 24/07/2025, 18:34
BioCryst stock undervalued ahead of Q2 earnings, says RBC Capital

Investing.com - RBC Capital has reiterated an Outperform rating and $13.00 price target on BioCryst Pharmaceuticals (NASDAQ:BCRX), suggesting significant upside potential from current levels. The company, which has shown impressive revenue growth of 42% in the last twelve months, maintains a healthy gross margin of 64%.

The pharmaceutical company’s shares have declined considerably after reaching a 52-week high of $11.31 in early June, now trading at $8.63. According to InvestingPro data, the stock’s RSI indicates oversold conditions, potentially presenting an attractive entry point.

RBC Capital views the current price as "an attractive entry point into a low-risk commercial-stage biotech," indicating that market concerns about the company may be exaggerated.

The firm remains confident in the long-term market potential for Orladeyo, BioCryst’s hereditary angioedema (HAE) treatment, suggesting the drug has "steady prospects" that could support a fundamental fair value in the "low-teens."

RBC Capital believes BioCryst’s upcoming quarterly earnings report could remind investors of Orladeyo’s steady growth trajectory, potentially helping the stock recover as operational execution continues.

In other recent news, BioCryst Pharmaceuticals has announced several significant developments. The company has entered into an agreement to sell its European ORLADEYO business to Neopharmed Gentili for up to $264 million. This deal includes a $250 million upfront payment and potential milestone payments of up to $14 million, with the proceeds aimed at retiring BioCryst’s remaining $249 million term debt from Pharmakon. Additionally, BioCryst appointed Babar Ghias as its new chief financial officer and head of corporate development. Ghias brings experience from his previous roles at AvenCell Therapeutics and Paragon Biosciences. The U.S. Food and Drug Administration has extended its review period for BioCryst’s pediatric drug application for ORLADEYO oral granules, with a new target action date set for December 12, 2025. Furthermore, BioCryst has reported long-term efficacy and safety data for ORLADEYO in treating hereditary angioedema, presented at a recent European medical meeting. These developments reflect BioCryst’s ongoing strategic and clinical activities.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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