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On Friday, Truist Securities maintained a positive outlook on Ultragenyx Pharmaceutical (TADAWUL:2070) Inc. (NASDAQ:RARE), reiterating a Buy rating and a price target of $140. The firm's analyst highlighted the company's fourth-quarter 2024 total revenue of $164.9 million, which was in line with their expectations and surpassed Wall Street estimates. According to InvestingPro data, the company has demonstrated strong revenue growth of 27.44% over the last twelve months, with the stock currently trading at $43.52, significantly below analyst targets ranging from $47 to $140. Looking ahead, Ultragenyx's total revenue guidance for 2025 is projected to be between $640 million and $670 million, marking a significant increase from the $560 million reported in 2024.
The management of Ultragenyx has set a path to GAAP profitability by 2027 through careful expense management and a reduction in cash usage from 2024. A critical factor in the company's progress is the Phase 3 OBRIT study, which is on schedule for an interim analysis (IA2) in mid-2025. The study has a stopping criterion of p
Truist Securities has incorporated the Osteogenesis Imperfecta (OI) program into their valuation model for Ultragenyx as the company approaches the IA2, expressing increased confidence in the program's potential. The analyst's commentary also noted that other programs at Ultragenyx are progressing well, either meeting or exceeding expectations.
The reiterated Buy rating and price target reflect Truist Securities' continued optimism about Ultragenyx's growth trajectory and potential for profitability, as well as the anticipated milestones in the company's pipeline of treatments. InvestingPro subscribers have access to additional insights, including 7 more ProTips and comprehensive valuation metrics that suggest the stock may be undervalued at current levels. For detailed analysis and expert insights, explore the full Pro Research Report available exclusively to subscribers.
In other recent news, Ultragenyx Pharmaceutical Inc. has reported significant cognitive improvements in patients with Sanfilippo syndrome type A, due to their experimental gene therapy, UX111. The company has also submitted a Biologics License Application to the FDA for UX111, with a decision expected in the second half of 2025. Furthermore, Ultragenyx has forecasted its revenue for fiscal year 2024 to be between $555 million and $560 million, surpassing estimates and indicating a year-over-year growth of approximately 14% to 20% for fiscal year 2025.
Goldman Sachs has reaffirmed a Buy rating on Ultragenyx, while RBC Capital Markets has reiterated its Outperform rating, expressing optimism about the company's drug for Osteogenesis Imperfecta. H.C. Wainwright has also maintained its Buy rating, following the commencement of the pivotal Phase 3 Aspire study for GTX-102, Ultragenyx's experimental treatment for Angelman syndrome.
These recent developments indicate a positive trajectory for Ultragenyx, as it continues to make strides in the treatment of rare diseases and exceeds financial expectations.
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