JMP cuts argenx stock target to $699, keeps outperform rating

Published 14/05/2025, 09:58
JMP cuts argenx stock target to $699, keeps outperform rating

On Wednesday, JMP Securities analyst Jason Butler adjusted the price target for argenx SE (NASDAQ: ARGX) stock, reducing it slightly from $701.00 to $699.00, while reaffirming a Market Outperform rating. Butler’s decision follows argenx’s recent release of its first-quarter financial results for 2025, which showed performance surpassing both JMP Securities’ and the consensus estimates. According to InvestingPro data, the company achieved impressive revenue growth of 82% year-over-year, reaching $2.64 billion in the last twelve months, though the stock has recently experienced a 13% decline over the past week.

The report highlighted the ongoing success of the VYVGART franchise, which has been a central focus for argenx. In particular, the conference call with analysts centered on the anticipated effects of changes to Medicare Part D and the evolving payer mix. These factors are expected to influence net pricing as argenx introduces the pre-filled syringe (PFS) version of its product. InvestingPro analysis shows the company maintains strong financial health with minimal debt exposure and healthy profit margins of nearly 50%, suggesting robust operational efficiency. Get access to 10+ additional exclusive ProTips and comprehensive financial metrics with InvestingPro.

Butler anticipates that the launch of the PFS will be a significant catalyst for demand throughout 2025 and the following years. The new delivery method is aimed at enhancing patient convenience and expanding the drug’s accessibility, which could potentially drive further growth for the VYVGART franchise.

In addition to the VYVGART franchise developments, argenx is also making strides in its broader pipeline. The company is actively advancing a variety of projects, aiming to build on its commercial offerings and fortify its position in the market.

JMP Securities’ revised price target reflects a nuanced view of argenx’s prospects, factoring in the potential risks and rewards associated with the company’s strategic moves. Despite the minor adjustment in the price target, the firm’s Market Outperform rating signals confidence in argenx’s overall trajectory and its ability to navigate the complexities of the pharmaceutical market.

In other recent news, argenx SE reported strong first-quarter earnings, with Vyvgart’s net sales reaching $790 million, surpassing both consensus estimates and internal projections by TD Cowen. Despite this performance, Deutsche Bank (ETR:DBKGn) adjusted its price target for argenx to EUR525, citing mixed results and a focus on commercial execution without significant clinical catalysts. Baird upgraded argenx’s stock rating to Outperform, maintaining a $680 price target, highlighting long-term growth potential for Vyvgart despite recent pricing concerns. TD Cowen reaffirmed a Buy rating with a $761 target, emphasizing the strong market adoption of Vyvgart for treating chronic inflammatory demyelinating polyneuropathy (CIDP) and generalized myasthenia gravis (gMG). Leerink Partners maintained an Outperform rating and a $750 target, noting the pressure on stock price due to investor disappointment over revenue results and seasonal headwinds. Analysts from these firms expressed confidence in argenx’s growth strategy and market position, despite some investor skepticism. The company’s focus on its robust product pipeline and market presence of Vyvgart remains a key point of interest for investors.

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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