Incyte (INCY) AI Stock Analysis

• Market Cap: $19.77B
• Dividend Yield: N/A
• Average Volume (3M): 2.15M
• Price to Earnings (P/E): 16.9
• Beta (1Y): 0.38
• Revenue Growth: 18.09%
• EPS Growth: 3563.21%
• Country: US
• Employees: 2,617
• Sector: Healthcare
• Sector Strength: 45
• Industry: Biotechnology
• EPS (TTM): 2.26
• Shares Outstanding: 196,322,710
• 10 Day Avg. Volume: 2,453,721
• 30 Day Avg. Volume: 2,147,633
• PEG Ratio: -4.67
• Price to Book (P/B): 4.15
• Price to Sales (P/S): 3.37
• P/FCF Ratio: 57.43
• Enterprise Value/Market Cap: 0.72
• Enterprise Value/Revenue: 2.95
• Enterprise Value/Gross Profit: 3.20
• Enterprise Value/Ebitda: 8.42
• 1Y Price Target: $101.13
• Price Target Upside: 0.22% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 18
• EPS Forecast (FY): 6.71
• Revenue Forecast (FY): $4.97B

• Rating: 81 Outperform
• Price Target: $112.00 ▲(10.99% Upside)

Incyte's overall stock score is driven by its strong financial performance and positive earnings call sentiment. The company's robust profitability and strategic focus on high-value R&D projects position it well for future growth. Technical analysis presents mixed signals, but the longer-term trends remain positive. Valuation is reasonable, supporting the stock's growth potential.

Positive Factors

Revenue Growth

Strong revenue growth indicates robust demand for Incyte's products, supporting long-term financial stability and market expansion.

Pipeline Development

Breakthrough Therapy designation accelerates development, potentially leading to faster market entry and competitive advantage in oncology.

Cash Flow Improvement

Improving cash flow enhances financial flexibility, allowing for strategic investments and reducing reliance on external financing.

Negative Factors

Program Terminations

Terminating programs may limit future growth opportunities and reflect challenges in pipeline development, impacting long-term innovation.

Regulatory Challenges

Regulatory hurdles can delay product launches, increase costs, and hinder the company's ability to capitalize on new market opportunities.

Slowed Revenue Growth

Slowing revenue growth may signal market saturation or increased competition, potentially impacting future profitability and market share.

Incyte Business Overview & Revenue Model

Company Description

Incyte Corporation, a biopharmaceutical company, focuses on the discovery, development, and commercialization of proprietary therapeutics in the United States and internationally. The company offers JAKAFI, a drug for the treatment of myelofibrosis and polycythemia vera; PEMAZYRE, a fibroblast growth factor receptor kinase inhibitor that act as oncogenic drivers in various liquid and solid tumor types; and ICLUSIG, a kinase inhibitor to treat chronic myeloid leukemia and philadelphia-chromosome positive acute lymphoblastic leukemia. Its clinical stage products include ruxolitinib, a steroid-refractory chronic graft-versus-host-diseases (GVHD); itacitinib, which is in Phase II/III clinical trial to treat naive chronic GVHD; and pemigatinib for treating bladder cancer, cholangiocarcinoma, myeloproliferative syndrome, and tumor agnostic. In addition, the company engages in developing Parsaclisib, which is in Phase II clinical trial for follicular lymphoma, marginal zone lymphoma, and mantel cell lymphoma. Additionally, it develops Retifanlimab that is in Phase II clinical trials for MSI-high endometrial cancer, merkel cell carcinoma, and anal cancer, as well as in Phase II clinical trials for patients with non-small cell lung cancer. It has collaboration agreements with Novartis International Pharmaceutical Ltd.; Eli Lilly and Company; Agenus Inc.; Calithera Biosciences, Inc; MacroGenics, Inc.; Merus N.V.; Syros Pharmaceuticals, Inc.; Innovent Biologics, Inc.; Zai Lab Limited; Cellenkos, Inc.; and Nimble Therapeutics, as well as clinical collaborations with MorphoSys AG and Xencor, Inc. to investigate the combination of tafasitamab, plamotamab, and lenalidomide in patients with relapsed or refractory diffuse large B-cell lymphoma, and relapsed or refractory follicular lymphoma. The company was incorporated in 1991 and is headquartered in Wilmington, Delaware.

How the Company Makes Money

Incyte generates revenue primarily through the sale of its proprietary products, with Jakafi being the most significant contributor to its income. The company also earns revenue from collaboration agreements and licensing deals with other pharmaceutical companies, which often include upfront payments, milestone payments based on the achievement of development and regulatory goals, and royalties on sales of partnered products. Additionally, Incyte's strategic partnerships enhance its research capabilities and broaden its product offerings, allowing it to tap into new markets and therapeutic areas, further diversifying its revenue streams.

Incyte Financial Statement Overview

Summary

Incyte exhibits a strong financial profile with robust profitability, minimal leverage, and improving cash flows. The income statement and balance sheet are particularly strong, with high profit margins and a very low debt-to-equity ratio. However, there is potential for further enhancement in cash flow efficiency.

Income Statement

Incyte's income statement shows strong profitability with a high gross profit margin of 92.95% and a net profit margin of 24.69% for the TTM. Revenue growth is positive at 4.98%, indicating steady expansion. The EBIT and EBITDA margins are robust at 23.01% and 33.64%, respectively, reflecting efficient operations. Overall, the company demonstrates solid revenue growth and profitability, although the growth rate has slowed compared to previous years.

Balance Sheet

The balance sheet is strong, with a very low debt-to-equity ratio of 0.0076, indicating minimal leverage and financial risk. The return on equity is impressive at 42.13%, showcasing effective use of equity to generate profits. The equity ratio stands at a healthy level, reflecting a stable financial position with significant equity backing the assets.

Cash Flow

Cash flow analysis reveals a significant improvement in free cash flow growth at 26.59% for the TTM, indicating enhanced cash generation capabilities. The operating cash flow to net income ratio is high at 0.93, suggesting strong cash conversion. However, the free cash flow to net income ratio is slightly lower at 0.96, which is still healthy but indicates room for improvement in cash efficiency.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	4.81B	4.24B	3.70B	3.39B	2.99B	2.67B
Gross Profit	4.42B	3.86B	3.38B	3.14B	2.80B	2.51B
EBITDA	1.68B	408.16M	919.43M	599.64M	630.20M	-178.24M
Net Income	1.19B	32.62M	597.60M	340.66M	948.58M	-295.70M
Balance Sheet
Total Assets	6.33B	5.44B	6.78B	5.84B	4.93B	3.56B
Cash, Cash Equivalents and Short-Term Investments	2.93B	2.16B	3.66B	3.24B	2.35B	1.80B
Total Debt	41.27M	43.54M	38.29M	41.46M	44.82M	47.53M
Total Liabilities	1.68B	2.00B	1.59B	1.47B	1.16B	949.65M
Stockholders Equity	4.65B	3.45B	5.19B	4.37B	3.77B	2.61B
Cash Flow
Free Cash Flow	1.20B	249.07M	449.00M	892.11M	568.48M	-311.98M
Operating Cash Flow	1.25B	335.34M	496.49M	969.94M	749.49M	-124.60M
Investing Cash Flow	-86.66M	157.52M	-207.68M	-78.54M	-207.70M	-269.00M
Financing Cash Flow	-16.31M	-2.02B	-20.03M	-794.00K	6.18M	71.71M

Incyte Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 100.91
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For INCY, the sentiment is Positive. The current price of 100.91 is above the 20-day moving average (MA) of 99.85, above the 50-day MA of 98.44, and above the 200-day MA of 78.13, indicating a bullish trend. The MACD of <0.01 indicates Negative momentum. The RSI at 53.75 is Neutral, neither overbought nor oversold. The STOCH value of 79.68 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for INCY.

Incyte Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
INCY	81 Outperform	$19.77B	16.93	30.39%	―	18.09%	3563.21%
UTHR	79 Outperform	$22.12B	19.35	20.04%	―	13.50%	17.16%
EXEL	78 Outperform	$12.38B	19.62	30.56%	―	9.93%	54.33%
GMAB	76 Outperform	$20.22B	14.17	28.20%	―	24.98%	127.06%
BMRN	75 Outperform	$11.39B	22.91	9.07%	―	12.31%	60.21%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
ASND	46 Neutral	$12.80B	-49.26	―	―	103.32%	47.55%

Incyte Corporate Events

Incyte Board Member Hervé Hoppenot Retires

On December 10, 2025, Hervé Hoppenot announced his retirement from Incyte Corporation’s Board of Directors, effective immediately. Mr. Hoppenot, who previously served as Chairman and CEO, had been a board member since 2014.

Incyte Appoints Thomas Tray as Financial Officer

On September 30, 2025, Incyte Corporation announced the appointment of Thomas Tray as the principal financial officer, effective September 16, 2025. Mr. Tray, who has been with the company since 2005, has held various roles, most recently as Vice President, Finance and Chief Accounting Officer. This appointment reflects the company’s confidence in Mr. Tray’s capabilities and could strengthen its financial leadership.