Alnylam stock target lifted, keeps Buy rating on updated financial model

On Monday, Canaccord Genuity maintained a Buy rating on shares of Alnylam Pharmaceuticals (NASDAQ:ALNY) and increased the price target to $357.00 from the previous $283.00. This adjustment follows the recent success of the HELIOS-B study. The firm updated its financial model to align with feedback from physicians, which suggests a more optimistic market share projection for the company's offerings.

The analyst at Canaccord Genuity has adjusted the expected market share for Alnylam's product to 35%, a significant rise from the earlier estimate of 20%. This revision is based on the comparative pricing with Vyndaquel/Vyndamax and may still be a conservative figure according to the results of their survey. The increase in market share expectation is a primary driver for the raised year-end 2024 price target.

Alnylam Pharmaceuticals, recognized for its RNA interference (RNAi) therapeutics, has been closely monitored following the positive outcomes from the HELIOS-B clinical trial. The trial's success is a key factor in the firm's reassessment of the company's financial outlook and market potential.

The firm's analyst elaborated on the rationale behind the new price target, stating that the adjustments made to the financial model reflect a more accurate prediction based on the current market landscape and physician insights. The anticipated pricing strategy is set to mirror that of similar drugs in the market, which supports the increased target.

In summary, the endorsement from Canaccord Genuity comes after a thorough analysis of recent data and market feedback, leading to a more bullish stance on Alnylam Pharmaceuticals' future performance. The revised price target of $357.00 represents the firm's confidence in the company's growth trajectory and market position by the end of 2024.

In other recent news, Alnylam Pharmaceuticals has been a focal point of numerous analyst adjustments following a series of positive developments. The company's HELIOS-B study data has led to several price target increases, including from UBS, which raised its target to $288, and RBC Capital Markets, which increased its target to $265.

Both firms maintained their Buy and Outperform ratings respectively. The positive data also resulted in H.C. Wainwright maintaining a Buy rating and a $400.00 price target for Alnylam.

Morgan Stanley increased the price target for Alnylam to $250, maintaining an Equalweight rating after reviewing the HELIOS-B study results. Alnylam's Q1 2024 revenues reached $365 million, marking a 32% increase from the same period the previous year, driven primarily by its Transthyretin (TTR) franchise. The company is targeting net product revenues between $1.4 billion and $1.5 billion for 2024.

The HELIOS-B study outcomes are anticipated to pave the way for a supplemental New Drug Application (sNDA) filing in late 2024. The company's promising study results have led to BMO Capital maintaining a positive outlook on Alnylam, reiterating an Outperform rating with a $234.00 price target.

In contrast, TD Cowen maintained a Buy rating on shares of BridgeBio Pharma (NASDAQ:BBIO), suggesting that Alnylam's results did not meet the high expectations set by BridgeBio's ATTRibute-CM trial results.

InvestingPro Insights

Recent analysis by Canaccord Genuity has highlighted a bright outlook for Alnylam Pharmaceuticals, and real-time data from InvestingPro further enriches this perspective. The company's market capitalization stands at a robust $31.99 billion, reflecting significant investor confidence.

Furthermore, Alnylam's impressive revenue growth of 75.2% over the last twelve months as of Q1 2024 underscores the firm's expanding financial strength. This is complemented by a gross profit margin of 83.95%, indicating a highly efficient operation despite the absence of profitability within this period.

InvestingPro Tips suggest that Alnylam's stock is currently in overbought territory, which could signal caution to potential investors. Moreover, while analysts do not anticipate the company will be profitable this year, the firm's liquid assets exceed short-term obligations, providing financial flexibility. It's also notable that the company is operating with a moderate level of debt, which can be a stabilizing factor for long-term growth.

For investors seeking more comprehensive analysis, there are over 10 additional InvestingPro Tips available, which can be explored further at https://www.investing.com/pro/ALNY. To enhance your investment strategy, consider using the coupon code PRONEWS24 to get up to 10% off a yearly Pro and a yearly or biyearly Pro+ subscription, offering a deeper dive into Alnylam Pharmaceuticals' financials and market trends.

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