BridgeBio stock initiated with outperform rating by Wolfe Research

Published 17/06/2025, 11:42
BridgeBio stock initiated with outperform rating by Wolfe Research

Wolfe Research initiated coverage of BridgeBio Pharma (NASDAQ:BBIO), currently valued at $7.81 billion, on Tuesday with an outperform rating and a price target of $49.00. According to InvestingPro data, analysts maintain a strong buy consensus, with price targets ranging from $41 to $95.

The research firm cited BridgeBio’s favorable position amid the "TTR craze" and expressed confidence in the company’s commercial execution strategy. Wolfe Research projects BridgeBio’s revenue to reach $569 million in 2025, growing to $3.4 billion by 2028 and eventually peaking at $4.4 billion in 2034. InvestingPro analysis shows the company’s strong financial position with a current ratio of 4.57, indicating ample liquidity to fund its growth plans.

For the upcoming second-quarter earnings, Wolfe Research estimates revenue of $106 million, slightly below the market expectation of $111 million. The stock has shown remarkable momentum, with a YTD return of nearly 50%. The firm noted that BridgeBio may have recently been a popular hedge fund long position, potentially leading to a pre-earnings run-up followed by weaker post-earnings performance.

Wolfe Research’s discounted cash flow analysis suggests a fair value of $87 per share, significantly higher than its current price target based on enterprise value to peak sales multiples. The firm’s price target represents substantial upside potential from BridgeBio’s current trading level.

To maintain positive momentum beyond 2027, Wolfe Research indicates BridgeBio must navigate several challenges including TTR performance, Vyndaqel loss of exclusivity, achondroplasia data versus competition, and pipeline products. The firm emphasized that consistent revenue performance and expanding operating margins will be critical for BridgeBio’s long-term success. For deeper insights into BridgeBio’s financial health and growth prospects, investors can access the comprehensive Pro Research Report available on InvestingPro, which includes detailed analysis of the company’s competitive position and future potential.

In other recent news, BridgeBio Pharma reported a promising outlook for its financial performance, with H.C. Wainwright maintaining a Buy rating and raising the price target to $56, reflecting revised revenue forecasts. Analysts now expect the company’s full-year 2025 revenue to reach approximately $423.2 million, with further growth to $637.2 million in 2026. Piper Sandler also reiterated its Overweight rating, maintaining a price target of $63, noting the upcoming Phase 3 topline readout of the CALIBRATE study for encaleret, expected in late 2025. BMO Capital increased its price target for BridgeBio to $42, anticipating strong sales performance for Attruby in the second quarter of 2025, with a projected growth of 110% to 145% quarter-over-quarter.

BridgeBio’s ATTRibute-CM Phase 3 trial revealed that acoramidis significantly improves survival rates in patients with transthyretin amyloid cardiomyopathy (ATTR-CM), with a notable reduction in all-cause mortality. The drug, approved by the FDA as Attruby, has shown rapid and sustained increases in serum TTR levels, linked to improved clinical outcomes. Further, BridgeBio launched the ACT-EARLY trial, dosing the first asymptomatic participant to evaluate acoramidis as a preventative treatment for transthyretin amyloid disease (ATTR). This landmark study aims to enroll 600 participants and establish a new prevention paradigm. These developments underscore BridgeBio’s ongoing efforts to address genetic diseases and improve patient care.

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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