Apellis Pharmaceuticals: Buy Rating Affirmed Amidst European Regulatory Milestones and Long-term Growth Potential

William Blair analyst Lachlan Hanbury Brown has maintained their bullish stance on APLS stock, giving a Buy rating on December 2.

Lachlan Hanbury Brown has given his Buy rating due to a combination of factors surrounding Apellis Pharmaceuticals. The recent positive opinion from the European Medicines Agency’s Committee for Medicinal Products for Human Use (CHMP) regarding Aspaveli for treating C3 glomerulopathy and primary immune-complex membranoproliferative glomerulonephritis is a significant milestone. This recommendation is expected to lead to European Commission approval by the first quarter of 2026, which would allow for a commercial launch shortly thereafter. This regulatory progress is crucial as it opens up a substantial revenue opportunity for Apellis in the European market.
Furthermore, despite recent weaknesses in Apellis’s stock performance due to challenges with copay assistance affecting Syfovre’s growth, Lachlan Hanbury Brown views this as a buying opportunity. The analyst believes in the long-term blockbuster potential of Syfovre in geographic atrophy, driven by its superior efficacy compared to competitors. Additionally, Empaveli’s best-in-class profile in C3G and IC-MPGN, along with the estimated addressable patient population in the U.S. and E.U., positions Apellis for significant top-line growth starting in late 2025 or early 2026. The current enterprise value of Apellis, trading at less than three times the 2025 revenue estimate, further supports the Buy rating as a strategic investment opportunity.

Hanbury Brown covers the Healthcare sector, focusing on stocks such as ARS Pharmaceuticals, Ocular Therapeutix, and Apellis Pharmaceuticals. According to TipRanks, Hanbury Brown has an average return of 37.2% and a 75.00% success rate on recommended stocks.

In another report released on December 2, Citi also maintained a Buy rating on the stock with a $117.80 price target.