Zevra Pharmaceuticals: SDX Monetization, Debt Elimination, and Miplyffa Ramp Support Buy Rating

William Blair analyst Lachlan Hanbury Brown has maintained their bullish stance on ZVRA stock, giving a Buy rating today.

Lachlan Hanbury Brown has given his Buy rating due to a combination of factors, starting with Zevra’s decision to monetize its SDX portfolio, including Azstarys and KP1077, for $50 million, which he views as roughly in line with the intrinsic value of the foregone royalty stream while also eliminating the overhang of ongoing litigation. He emphasizes that these divested royalties were not central to the Zevra equity story, as investor focus is instead anchored on the ramp of Miplyffa in the U.S. and forthcoming regulatory milestones for arimoclomol in Europe.

He also highlights the company’s recent full repayment of its $63 million term loan, which leaves Zevra debt‑free and, in his view, meaningfully enhances financial flexibility and reduces risk. In addition, he points to encouraging early launch metrics for Miplyffa, with enrollment forms already covering a substantial portion of the diagnosed Niemann‑Pick type C population and a rising share of newly diagnosed patients, supporting a thesis of durable demand and market expansion that underpins his positive outlook on the shares.

In another report released today, BTIG also initiated coverage with a Buy rating on the stock with a $23.00 price target.