Scotiabank raises Alnylam stock target to $338 on FDA nod

Published 21/03/2025, 12:44
Scotiabank raises Alnylam stock target to $338 on FDA nod

Friday - Scotiabank (TSX:BNS) analysts have raised the price target on Alnylam Pharmaceuticals (NASDAQ:ALNY) shares to $338 from $300, while maintaining a Sector Outperform rating. The increase comes after the company announced the FDA approval of its drug vutrisiran (Amvuttra), a groundbreaking treatment for transthyretin amyloid cardiomyopathy (ATTR-CM). The company, currently valued at $32.8 billion, has demonstrated impressive growth with revenue increasing 23% over the last twelve months. InvestingPro data shows the stock has delivered a remarkable 73% return over the past year.

According to Scotiabank’s analyst Greg Harrison, Amvuttra’s approval was widely anticipated and is significant as it is the first transthyretin (TTR) silencer available on the market for this condition. The drug received a favorable label, which includes a mortality benefit and a reduction in cardiovascular hospitalizations and urgent heart failure visits. These benefits are supported by strong results from the phase 3 HELIOS-B trial, which demonstrated robust TTR knockdown and impressive mortality data. With an industry-leading gross profit margin of 85.6%, Alnylam maintains strong operational efficiency. According to InvestingPro’s analysis, the company’s overall financial health is rated as GOOD, with particularly strong scores in growth and price momentum.

Amvuttra has been priced at approximately $476,000 annually, which breaks down to around $119,000 per dose, with a convenient quarterly dosing schedule. This pricing strategy is expected to support a high rate of patient compliance, estimated at around 95%. Despite recent competition from BridgeBio’s TTR stabilizer, Attruby, Amvuttra is predicted to achieve significant market uptake in the first-line setting due to its unique mechanism of action.

The launch of Amvuttra is anticipated to gradually gain traction in the second half of 2025. This timeline accounts for the estimated two to three months required for pharmacy and therapeutics (P&T) committees in the United States to add the drug to their formularies. Scotiabank’s updated model reflects the approval of Amvuttra and its annual list price, reinforcing the Sector Outperform rating and the revised price target. Harrison’s full report also includes a catalyst calendar for investors to watch.

In other recent news, Alnylam Pharmaceuticals has received FDA approval for Amvuttra, a treatment for transthyretin-mediated amyloidosis (ATTR), marking a significant development for the company. The approval is based on results from the HELIOS-B Phase 3 clinical trial, which demonstrated that Amvuttra significantly reduces the risk of all-cause mortality and recurrent cardiovascular events. This makes Amvuttra the first and only FDA-approved therapy for both cardiomyopathy and polyneuropathy manifestations of ATTR. Canaccord Genuity responded by raising its price target for Alnylam to $390, maintaining a Buy rating, while Scotiabank increased its target to $338, highlighting the favorable label that includes a mortality benefit. The Wholesale Acquisition Cost for Amvuttra remains approximately $477,000 per year, with plans for volume-based rebates to reduce the net price. Alnylam’s CEO, Yvonne Greenstreet, emphasized the company’s commitment to patient access, with most patients expected to pay no out-of-pocket costs. Additionally, Alnylam announced that co-founder Dr. Phillip A. Sharp (OTC:SHCAY) will retire from the Board of Directors in May 2025, though he will continue to serve on the Scientific Advisory Board. Dr. Sharp’s retirement marks the end of a significant chapter for the company, as he has been a pivotal figure since its inception.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers
© 2007-2025 - Fusion Media Limited. All Rights Reserved.