Regeneron stock price target raised to $695 from $688 at RBC Capital

Investing.com - RBC Capital has raised its price target on Regeneron Pharmaceuticals (NASDAQ:REGN) to $695 from $688 while maintaining a Sector Perform rating on the stock. The biotech giant, with a market capitalization of $58.9 billion, currently trades at a P/E ratio of 13.6x, while analyst targets range from $504 to $940.

The price target increase follows what RBC described as "nice top-line beats" that should help improve market sentiment toward the pharmaceutical company. The firm specifically highlighted good growth in Dupixent and better-than-expected resilience from Eylea. This performance is reflected in the company’s robust annual revenue of $14.2 billion and strong financial health score of "GOOD" according to InvestingPro analysis.

RBC noted that Regeneron appears "somewhat undervalued fundamentally," but suggested the stock may need "emergence of a high-profile pipeline program and/or life cycle visibility" to move significantly higher.

Despite the positive operational performance, RBC identified several ongoing challenges for Regeneron, including overall ophthalmology franchise erosion, the longer-term loss of exclusivity for Dupixent, and "continued (albeit likely minor) regulatory missteps."

The firm expects a near-term margin improvement for Regeneron, which could further enhance market sentiment that RBC senses is already beginning to improve.

In other recent news, Regeneron Pharmaceuticals reported strong financial results for the second quarter of 2025. The company’s earnings per share (EPS) surged to $12.89, significantly exceeding the forecasted $8.50, marking a 51.65% increase over expectations. Revenue also surpassed projections, reaching $3.68 billion compared to the anticipated $3.29 billion. Bernstein SocGen Group responded to these results by raising Regeneron’s stock price target to $753, maintaining an Outperform rating despite some regulatory challenges. BMO Capital also increased its price target for the company to $640, following what it termed a "much-needed clean quarter." Additionally, Leerink Partners reiterated its Outperform rating, projecting a 7% compound annual growth rate for revenue and a 10% growth rate for earnings per share from 2025 to 2030. Leerink highlighted the company’s focus on Lynozyfic’s profile in multiple myeloma and plans for a head-to-head trial against Darzalex. These developments indicate a positive outlook for Regeneron’s future performance.

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