Needham analyst Serge Belanger has maintained their bullish stance on ARQT stock, giving a Buy rating today.
Serge Belanger has given his Buy rating due to a combination of factors that highlight the potential growth and financial stability of Arcutis Biotherapeutics. The company reported a strong start to 2025, with its Zoryve franchise showing significant year-over-year sales growth, despite a slight quarter-over-quarter decline. This performance surpassed market expectations, indicating robust demand and effective market strategies.
Furthermore, the anticipated growth in the Zoryve franchise is supported by strategic collaborations and expansions in coverage, as well as upcoming FDA approvals for new indications. The company’s financial position is solid, with a substantial cash reserve and plans to achieve cash flow break-even by 2026. These elements collectively underpin the positive outlook and justify the Buy rating, with a price target of $20.
Belanger covers the Healthcare sector, focusing on stocks such as Esperion, Arcutis Biotherapeutics, and BioCryst. According to TipRanks, Belanger has an average return of 1.7% and a 41.54% success rate on recommended stocks.
In another report released today, Mizuho Securities also maintained a Buy rating on the stock with a $21.00 price target.