Regeneron Pharmaceuticals (REGN, Financial) has garnered an upgrade from Cantor Fitzgerald analyst Carter Gould, elevating the stock from Neutral to Overweight. The price target has been adjusted to $695, a decrease from the previous target of $800. This revision comes as Gould assumes coverage of the stock.
In recent months, Regeneron's shares have experienced a steep decline, halving in value due to concerns surrounding the potential erosion of its Eylea franchise and various tariff-related issues. Despite acknowledging potential difficulties, particularly with the first-quarter results for Eylea, the analyst suggests that the stock's current valuation may already account for these challenges.
Gould argues that the market has significantly discounted the stock, factoring in a drastic reduction or complete disappearance of Eylea's contribution, along with anticipated tariff impacts. Additionally, current stock levels seem to dismiss pipeline potential and substantially reduce long-term forecasts for the asthma drug Dupixent.
Despite the challenging outlook, the upgrade to Overweight suggests a belief in Regeneron's capacity to navigate these hurdles and that the stock may offer value at its current price.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 25 analysts, the average target price for Regeneron Pharmaceuticals Inc (REGN, Financial) is $904.44 with a high estimate of $1,152.00 and a low estimate of $547.00. The average target implies an upside of 61.08% from the current price of $561.49. More detailed estimate data can be found on the Regeneron Pharmaceuticals Inc (REGN) Forecast page.
Based on the consensus recommendation from 28 brokerage firms, Regeneron Pharmaceuticals Inc's (REGN, Financial) average brokerage recommendation is currently 2.0, indicating "Outperform" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell.
Based on GuruFocus estimates, the estimated GF Value for Regeneron Pharmaceuticals Inc (REGN, Financial) in one year is $905.96, suggesting a upside of 61.35% from the current price of $561.49. GF Value is GuruFocus' estimate of the fair value that the stock should be traded at. It is calculated based on the historical multiples the stock has traded at previously, as well as past business growth and the future estimates of the business' performance. More detailed data can be found on the Regeneron Pharmaceuticals Inc (REGN) Summary page.
