UBS reiterates buy rating on Ascendis Pharma stock citing strong launch

Published 25/06/2025, 16:04
UBS reiterates buy rating on Ascendis Pharma stock citing strong launch

Investing.com - UBS maintained its buy rating and $197.00 price target on Ascendis Pharma (NASDAQ:ASND) Wednesday, as the stock trades near its 52-week high of $183. The firm highlighted the underappreciated hypoparathyroidism (hypoPT) market and positive trends in patient demand and reimbursement. According to InvestingPro data, the stock has surged 29% over the past six months, reflecting growing market confidence.

The firm expressed confidence in the ongoing Yorvipath launch performance, noting that physician checks indicate significant demand among moderate to severe patient populations. These patients represent approximately 40,000-50,000 of the estimated 70,000-90,000 total U.S. patients, according to company commentary cited by UBS. With a market capitalization of $10.81 billion and projected revenue growth of 68% for FY2025, InvestingPro analysis suggests strong growth potential despite current unprofitability.

UBS also pointed to fewer reimbursement hurdles than initially expected for Yorvipath, creating a more favorable launch environment. The firm identified the upcoming achondroplasia approval decision, with a PDUFA date of November 30, as a potential catalyst for share price appreciation.

The investment bank views Ascendis Pharma’s weekly dosing for achondroplasia treatment as a competitive advantage that could help the company gain market share. This represents another growth opportunity beyond the current Yorvipath launch.

UBS also commented positively on BridgeBio (NASDAQ:BBIO) in its research note, highlighting three upcoming pivotal readouts and expressing confidence in the autosomal dominant hypocalcemia type 1 (ADH1) market opportunity, which it believes is larger than currently understood by investors.

In other recent news, Ascendis Pharma reported positive interim results from its Phase 2 COACH trial, which tested a combination therapy for children with achondroplasia. The trial showed significant improvements in growth velocity, especially in treatment-naive patients, prompting BofA Securities to raise its price target for Ascendis Pharma to $216, maintaining a "Buy" rating. Oppenheimer also increased its price target to $224, citing strong early demand for Ascendis Pharma’s Yorvipath medication, which is expected to be used by 20-30% of hypoparathyroid patients within a year. TD Cowen reiterated a "Buy" rating with a $194 price target, highlighting the potential upside in Yorvipath estimates for 2025 and 2026. RBC Capital maintained its "Outperform" rating, with a $210 price target, indicating no slowdown in Yorvipath’s uptake and a potentially larger target market than initially anticipated. Meanwhile, Canaccord Genuity maintained a "Hold" rating with an $84 target, noting the positive growth data from the COACH trial but expressing concerns about the treatment’s long-term effects. The analysts’ reports reflect a mix of optimism and caution, focusing on Ascendis Pharma’s recent clinical trial successes and market potential.

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.