In a report released yesterday, Derek Archila from Wells Fargo maintained a Hold rating on Apellis Pharmaceuticals (APLS – Research Report), with a price target of $26.00.
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Derek Archila has given his Hold rating due to a combination of factors surrounding Apellis Pharmaceuticals. One of the primary concerns is the uncertainty in the revenue outlook for Syfovre, particularly after the negative impacts observed in the first quarter. The competition from Astellas’ Izervay and issues with co-pay assistance programs are potential headwinds that could further impact Syfovre’s performance.
Additionally, while the upcoming approval and launch of Empaveli in the renal market is promising, there are questions about the pace of its sales growth. The company’s current cash position, although sufficient to fund operations to profitability, is under pressure due to significant operational expenses. Investors are cautious, reflected in the stock’s year-to-date decline, but there remains interest in the potential of Empaveli’s renal opportunities. Therefore, Archila remains on the sidelines, awaiting more stability in Syfovre’s growth and a successful launch of Empaveli to reassess the stock’s potential.
In another report released on May 6, Mizuho Securities also maintained a Hold rating on the stock with a $30.00 price target.
Based on the recent corporate insider activity of 71 insiders, corporate insider sentiment is negative on the stock. This means that over the past quarter there has been an increase of insiders selling their shares of APLS in relation to earlier this year.