Buy Rating Maintained for Regeneron Despite Mixed Trial Results, Driven by Promising Pipeline and Growth Prospects

Geoff Meacham, an analyst from Citi, maintained the Buy rating on Regeneron (REGN – Research Report). The associated price target was lowered to $650.00.

Geoff Meacham has given his Buy rating due to a combination of factors despite the mixed results from Regeneron and Sanofi’s itepekimab trials for COPD. The Aerify-1 trial met its primary endpoint, showing a reduction in exacerbations compared to placebo, although the Aerify-2 trial did not achieve statistical significance at the 52-week mark. The lower-than-expected exacerbation rates, possibly influenced by pandemic-era enrollment, may have impacted these outcomes.
Despite these challenges, Meacham maintains a positive outlook on Regeneron due to several promising aspects. The company has reasonable expectations for Eylea in the coming years, along with continued growth prospects for Dupixent and Libtayo. Additionally, the potential of their pipeline, particularly with fianlimab in metastatic melanoma expected in the second half of 2025, supports sustained investor interest. Consequently, Meacham maintains a Buy rating with a target price of $650, reflecting an expected share price return of 28.1%.

In another report released on May 30, Guggenheim also reiterated a Buy rating on the stock with a $810.00 price target.