Truist Securities raises BioNTech stock price target on new partnership

Published 02/06/2025, 19:24
Truist Securities raises BioNTech stock price target on new partnership

On Monday, Truist Securities analysts increased the price target for BioNTech (NASDAQ:BNTX) stock to $155 from $151 while maintaining a Buy rating, with the stock currently trading at $115.65. According to InvestingPro data, analyst targets for the $27.67 billion company range from $83.36 to $171.52. This adjustment follows BioNTech’s recent agreement with Bristol Myers (NYSE:BMY) Squibb to jointly develop and commercialize BNT327.

The analysts highlighted the partnership as a favorable move for BioNTech, emphasizing that it helps share and mitigate the significant research and development expenses. The collaboration also allows BioNTech to leverage Bristol Myers Squibb’s expertise and infrastructure in immuno-oncology drug development, which is crucial for maximizing the potential of BNT327. InvestingPro analysis shows the company maintains a strong financial position with a current ratio of 10.18, indicating robust liquidity to support its development initiatives.

BioNTech is set to receive $3.5 billion in upfront and near-term cash as part of the deal, along with potential milestone payments totaling $7.6 billion. The analysts noted that the 50% profit share arrangement is equitable, positioning BioNTech as an equal partner in the collaboration.

Truist Securities has updated its financial model for BioNTech, reflecting the new partnership and its potential benefits. The analysts reiterated their Buy rating, indicating continued confidence in the company’s growth prospects.

In other recent news, BioNTech’s financial updates and strategic developments have drawn significant attention. H.C. Wainwright adjusted its outlook on BioNTech by lowering the 12-month price target from $145 to $134, maintaining a Buy rating. This revision follows BioNTech’s first-quarter financial results for 2025, which showed net earnings per diluted share of €1.73, falling short of previous estimates. However, the company’s revenue exceeded expectations, reaching €244.4 million against a forecast of €186.7 million. Clear Street analysts also raised BioNTech’s stock price target to $181 from $155, reflecting confidence in the company’s oncology sector developments.

Goldman Sachs initiated coverage on BioNTech with a Neutral rating and a $110 price target, citing the company’s solid financial position but noting uncertainties in the vaccine market. UBS maintained a Neutral rating with a $115 target, following results from a Phase 3 trial that showed positive outcomes but lacked statistical significance in overall survival. Additionally, the U.S. FDA announced plans for new clinical trials for COVID-19 boosters for healthy individuals under 65, potentially impacting BioNTech’s vaccine strategy. These developments underscore the dynamic environment in which BioNTech is operating, with ongoing adjustments in analyst perspectives and regulatory challenges.

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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