Regeneron stock holds Outperform rating at Leerink on growth outlook

Published 04/08/2025, 16:12
Regeneron stock holds Outperform rating at Leerink on growth outlook

Investing.com - Leerink Partners has reiterated an Outperform rating on Regeneron Pharmaceuticals (NASDAQ:REGN), currently trading at $569.50, with a price target of $645.00, citing the company’s improving growth prospects and attractive valuation. According to InvestingPro data, the stock appears undervalued based on its Fair Value analysis, with 10 analysts recently revising their earnings estimates upward.

The research firm projects a 5-year compound annual growth rate (2025-2030) of 7% for revenue and 10% for earnings per share. Supporting this outlook, InvestingPro analysis shows strong financial health with a 5.38% revenue growth in the last twelve months and a healthy P/E ratio of 13.78. Leerink highlighted management’s emphasis on Lynozyfic’s exceptional profile in multiple myeloma and plans to initiate a head-to-head trial against Darzalex in the fourth quarter.

Regeneron faces temporary setbacks with FDA approval delays for odronextamab in lymphoma and Eylea HD due to issues with contract manufacturer Catalent (NYSE:CTLT). Management expects these matters to be resolved expeditiously, with approvals anticipated by year-end.

The company’s fianlimab plus Libtayo versus pembrolizumab Phase 3 trial in first-line unresectable/metastatic melanoma has experienced a readout delay due to slower-than-expected progression-free survival event accrual. The timeline for results has shifted to late 2025 or early 2026.

The next significant pipeline catalyst will be topline results from the pozelimab and cemdisiran combination Phase 3 NIMBLE trial in generalized Myasthenia Gravis, expected in the third quarter of 2025, though Leerink notes investor expectations remain low for this program due to combination toxicity concerns. For deeper insights into Regeneron’s financial health and growth prospects, including 8 additional exclusive ProTips, check out the comprehensive Pro Research Report available on InvestingPro.

In other recent news, Regeneron Pharmaceuticals Inc. reported impressive financial results for the second quarter of 2025. The company’s earnings per share (EPS) reached $12.89, significantly surpassing the forecasted $8.50 by 51.65%. Revenue also exceeded expectations, totaling $3.68 billion, compared to the anticipated $3.29 billion. This performance was highlighted by strong sales across key products like Eylea and Eylea HD. Bernstein SocGen Group responded by raising its price target for Regeneron to $753 from $750 while maintaining an Outperform rating. This adjustment comes despite some regulatory setbacks, indicating confidence in Regeneron’s financial health. These developments reflect a robust quarter for the pharmaceutical company, with investors showing increased confidence.

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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