Insmed stock price target raised to $140 at UBS on Brinsupri approval

Published 13/08/2025, 11:08
Insmed stock price target raised to $140 at UBS on Brinsupri approval

Investing.com - UBS raised its price target on Insmed (NASDAQ:INSM) to $140.00 from $133.00 while maintaining a Buy rating following FDA approval of Brinsupri. The stock, currently trading at $122 with a market cap of $25.8 billion, has surged over 76% year-to-date. According to InvestingPro analysis, the stock appears overvalued at current levels, despite showing strong momentum with a 55% gain over the past six months.

The FDA approved Brinsupri (brensocatib) as the first and only therapy for non-cystic fibrosis bronchiectasis (NCFB), according to UBS. The approval features a broad label with no significant boxed warnings, contraindications, or required lab-based monitoring. With revenue growth of 21% and an overall "FAIR" financial health rating from InvestingPro, Insmed appears well-positioned to capitalize on this opportunity.

The label includes statistically significant benefit data on FEV1 for the 25mg dose, which UBS believes will support rapid uptake during the product launch.

While the label does not include specific language regarding exacerbation history, UBS expects payer restrictions will likely apply for patients with more than two exacerbations within the last 12 months, consistent with the Phase 3 ASPEN trial.

UBS views the Brinsupri launch as "one of the most compelling growth opportunities in BioPharma," supporting its increased price target and continued Buy rating on the stock.

In other recent news, Insmed has achieved a significant milestone with the FDA approval of its drug Brinsupri, marking it as the first treatment specifically targeting non-cystic fibrosis bronchiectasis (NCFB). This approval opens a new market opportunity for Insmed, providing a treatment option for a chronic lung condition affecting approximately 500,000 diagnosed patients in the U.S. Following this development, Jefferies has raised its price target for Insmed to $148, maintaining a Buy rating, citing the approval as a "best-case scenario." Meanwhile, Morgan Stanley downgraded Insmed’s stock rating to Equalweight but increased its price target to $126, acknowledging the approval’s significance in Insmed’s growth. RBC Capital also raised its price target to $120, maintaining an Outperform rating, reflecting optimism about the drug’s potential launch. Jefferies had previously increased its price target to $129 ahead of a critical regulatory date for another Insmed treatment, brensocatib, expected in August 2025. These developments highlight growing investor interest and confidence in Insmed’s expanding portfolio.

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