Alvotech initiated with a Buy at UBS

UBS initiated coverage of Alvotech (ALVO) with a Buy rating and $18 price target Alvotech is a pure-play biosimilar company, with a business-to-business sales model, the analyst tells investors in a research note. The firm believes the Street remains cautious due to company’s past execution and limited visibility into Humira scripts. UBS models $1.6B in 2028 sales, and says the stock is pricing in $1.2B. Strong sales over the next four quarters “could trigger a multiple re-rating” while near-term updates on biologic Humira could be encouraging, contends UBS.