Incyte stock rises as William Blair reiterates market perform rating

Investing.com - Incyte (NASDAQ:INCY) shares rose approximately 5% on Thursday following the company’s announcement of a CEO change, as William Blair maintained its Market Perform rating on the stock. According to InvestingPro data, the company’s stock is currently trading near its Fair Value, with a market capitalization of $13.6 billion and strong financial health metrics.

The biopharmaceutical company appointed Bill Meury as CEO and president, effective immediately, replacing Hervé Hoppenot who has been in the role since 2014 and will retire. Hoppenot will remain as a board member and advisor to the CEO through year-end to assist with the transition. InvestingPro analysis shows management has been actively buying back shares, with the company maintaining a healthy balance sheet showing more cash than debt.

Lead Independent (LON:IOG) Director Julian Baker has been elected chairman of the board as part of the leadership changes. William Blair noted that investors welcomed the announcement, as reflected in the stock’s positive movement. The company’s financial position appears solid, with a current ratio of 2.04 indicating strong liquidity and an impressive revenue growth of 17% in the last twelve months.

Meury brings significant leadership experience in the biopharmaceutical industry, most recently serving as CEO of Anthos Therapeutics, which Novartis (SIX:NOVN) acquired for up to $3.1 billion in February 2025. He previously led Karuna Therapeutics (NASDAQ:KRTX), which Bristol Myers (NYSE:BMY) purchased for $14 billion in December 2023.

William Blair analysts indicated that key questions will center on Meury’s assessment of Incyte’s pipeline, particularly which programs have the most potential to drive growth beyond Jakafi’s loss of exclusivity and which might be de-emphasized to reduce research and development spending.

In other recent news, Incyte announced a significant leadership change with Bill Meury taking over as President and CEO, succeeding Hervé Hoppenot who is retiring after 11 years. This transition also includes Julian Baker being elected as Chairman of the Board. Meury’s previous experience includes leading Anthos Therapeutics and Karuna Therapeutics through major acquisitions. Citi has reiterated its buy rating on Incyte, maintaining an $88.00 price target following these executive changes. Additionally, Incyte is navigating regulatory hurdles as the FDA has extended the review period for its ruxolitinib cream, intended for pediatric atopic dermatitis, by three months. This extension allows for a review of additional data on the cream’s formulation. The Phase 3 TRuE-AD3 study supporting this application met its primary endpoint, demonstrating the treatment’s potential efficacy. The cream has shown a consistent safety profile with no significant adverse events reported.

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