Tim Anderson, an analyst from Bank of America Securities, reiterated the Hold rating on Biogen. The associated price target was lowered to $142.00.
Elevate Your Investing Strategy:
- Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence.
Tim Anderson’s rating is based on Biogen’s current valuation and growth outlook. Despite being one of the more affordable options in the large-cap biopharma sector, Biogen’s growth prospects appear modest, with revenues and earnings per share expected to remain relatively flat in the coming years.
While the company’s Alzheimer’s drug, Leqembi, shows promise and continues to perform well, the overall pipeline of potential new drugs does not offer immediate breakthroughs. The potential for an upside exists if certain clinical trials yield positive results, but these are not expected in the near term. As such, the Hold rating reflects a cautious approach, acknowledging the company’s strengths while remaining aware of its limitations.
Anderson covers the Healthcare sector, focusing on stocks such as Eli Lilly & Co, Gilead Sciences, and Amgen. According to TipRanks, Anderson has an average return of 9.0% and a 64.71% success rate on recommended stocks.