Cautious Outlook on Novartis AG Amid Promising Pluvicto Trial Results and Market Uncertainties

J.P. Morgan analyst Richard Vosser has maintained their neutral stance on NOVN stock, giving a Hold rating today.

Richard Vosser has given his Hold rating due to a combination of factors surrounding Novartis AG’s recent developments. The PSMAddition trial for Pluvicto in treating metastatic hormone-sensitive prostate cancer has shown promising interim results, meeting its primary endpoint of radiographic progression-free survival and indicating a positive trend in overall survival. However, the detailed efficacy and safety data are yet to be presented, which leaves some uncertainty about the strength of these results until the ESMO 2025 presentation.
Additionally, while Novartis plans to seek regulatory approval based on these findings, the market’s consensus on Pluvicto’s sales projections slightly exceeds Vosser’s estimates, suggesting potential discrepancies in expected performance. These factors contribute to a cautious outlook, prompting Vosser to maintain a Hold rating as the market awaits further clarity on the drug’s future prospects and regulatory outcomes.

In another report released today, Bank of America Securities also maintained a Hold rating on the stock with a CHF111.00 price target.