Sanofi downgraded to Neutral from Buy at BofA

BofA downgraded Sanofi (SNY) to Neutral from Buy with a price target of EUR 92, down from EUR 102. Sanofi has announced Paul Hudson is leaving and to be succeeded by Belen Garijo, the prior CEO Merck KGaA (MKGAY), notes the analyst, who believes investors will now be nervous ahead of another period of rebuild and transition even though management change has been anticipated by investors as a potential positive catalyst. Garijo had a decent track record at Merck KGaA, but no transformational deal and “questionable R&D progress” with a pair of high profile fails, adds the analyst, who cites limited pipeline catalysts in FY26 and a new period of uncertainty for the downgrade.