Regeneron (REGN)
NASDAQ:REGN
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Regeneron
(NASDAQ:REGN)
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Rating:81Outperform
Price Target:
$895.00
▲(15.40% Upside)
Action:ReiteratedDate:02/05/26
REGN scores well primarily on strong financial quality (high margins, very low leverage, and robust cash generation) and a favorable earnings-call backdrop highlighting durable franchise strength and a deep pipeline. Technicals are supportive with an uptrend and positive momentum indicators. Valuation is fair rather than compelling, and near-term risks (EYLEA biosimilar pressure, inventory timing, and manufacturing/regulatory uncertainty) keep the score from being higher.
Positive Factors
High Profitability
Sustained gross margins in the mid-80s and healthy net margins indicate durable pricing power and manufacturing efficiency. Those margins support recurring operating cash generation, fund R&D and M&A optionality, and provide a long-term buffer versus competitive and pricing pressures.
Negative Factors
EYLEA Biosimilar Pressure
EYLEA remains a material revenue contributor, so sustained biosimilar entry and anticipated double‑digit demand declines create a durable revenue headwind. Even with new EYLEA HD uptake, structural share erosion can compress top-line predictability and strain margins over multiple quarters.
Read all positive and negative factors
Positive Factors
Negative Factors
High Profitability
Sustained gross margins in the mid-80s and healthy net margins indicate durable pricing power and manufacturing efficiency. Those margins support recurring operating cash generation, fund R&D and M&A optionality, and provide a long-term buffer versus competitive and pricing pressures.
Read all positive factors
Regeneron (REGN) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$81.98B
Dividend Yield0.45%
Average Volume (3M)608.22K
Price to Earnings (P/E)17.9
Beta (1Y)0.72
Revenue Growth2.89%
EPS Growth0.50%
CountryUS
Employees15,158
SectorHealthcare
Sector Strength45
IndustryBiotechnology
Share Statistics
EPS (TTM)11.44
Shares Outstanding103,902,660
10 Day Avg. Volume540,309
30 Day Avg. Volume608,222
Financial Highlights & Ratios
PEG Ratio3.38
Price to Book (P/B)2.58
Price to Sales (P/S)5.63
P/FCF Ratio19.79
Enterprise Value/Market Cap0.98
Enterprise Value/Revenue5.59
Enterprise Value/Gross Profit6.55
Enterprise Value/Ebitda13.78
Forecast
1Y Price Target
$871.91Price Target Upside12.43% Upside
Rating ConsensusStrong Buy
Number of Analyst Covering24
EPS Forecast (FY)45.27
Revenue Forecast (FY)$15.74B
Regeneron Business Overview & Revenue Model
Company Description
Regeneron Pharmaceuticals, Inc. discovers, invents, develops, manufactures, and commercializes medicines for treating various diseases worldwide. The company's products include EYLEA injection to treat wet age-related macular degeneration and diab...
How the Company Makes Money
Regeneron generates revenue primarily through the sale of its proprietary pharmaceutical products. The company's key revenue streams include sales of EYLEA and Dupixent, which are significant contributors to its overall earnings. Additionally, Reg...
Regeneron Key Performance Indicators (KPIs)
Any
Revenue by Segment
Shows how revenue is distributed across different business units, highlighting which areas are driving growth and which might need strategic adjustments.
Shows how revenue is distributed across different business units, highlighting which areas are driving growth and which might need strategic adjustments.
Data provided by:
The Fly
The FlyRegeneron Earnings Call Summary
Earnings Call Date:Jan 30, 2026
(Q4-2025)
| % Change Since: |
Next Earnings Date:Apr 29, 2026
Earnings Call Sentiment Positive
The call conveyed substantial commercial strength (notably Dupixent, EYLEA HD, Libtayo), solid financials, strong cash generation, aggressive shareholder returns, and a deep pipeline with multiple near‑term readouts and regulatory objectives. Headwinds were acknowledged — including EYLEA 2 mg biosimilar pressure, short‑term inventory timing, manufacturing/regulatory risk for the prefilled syringe, patient affordability challenges, and higher R&D and SG&A investments. On balance, the positives — large, high‑growth franchises, robust cash flow, and multiple potentially transformative clinical programs — materially outweigh the near‑term challenges and risks discussed.Positive Updates
Overall Financial Performance
Q4 2025 total revenues $3.9B, up 3% year-over-year; Q4 diluted net income per share $11.44 and net income $1.2B; 2025 free cash flow $4.1B; cash and marketable securities less debt $16.2B.
Negative Updates
EYLEA 2 mg Competitive Pressure and Sales Decline
U.S. EYLEA 2 mg net sales declined 15% sequentially in Q4 to $577M; company expects continued competitive pressure with multiple biosimilar launches in the U.S. in 2026 and anticipates double‑digit sequential decline in EYLEA demand in Q1 2026.
Read all updates
Q4-2025 Updates
Positive
Negative
Overall Financial Performance
Q4 2025 total revenues $3.9B, up 3% year-over-year; Q4 diluted net income per share $11.44 and net income $1.2B; 2025 free cash flow $4.1B; cash and marketable securities less debt $16.2B.
Read all positive updates
Company Guidance
Regeneron guided 2026 financials expecting R&D spend of $5.9–$6.1 billion, SG&A of $2.5–$2.65 billion, gross margin on net product sales of 83%–84%, capital expenditures of $1.1–$1.3 billion, and an effective tax rate of 13%–15% (noting 2025’s ETR benefited ~1.2 percentage points from a favorable audit). Management expects the Sanofi development balance (just below $600 million at year‑end, down ~ $300 million since Q3 and with >$1 billion reimbursed in 2025) to be fully reimbursed by mid‑2026, after which collaboration revenues will reflect Regeneron’s full share of Dupixent/Kevzara profits. For context, Regeneron generated $4.1 billion of free cash flow in 2025, finished the year with $16.2 billion cash and marketable securities less debt, returned $3.8 billion to shareholders in 2025 (including $3.4 billion of repurchases with ~$1.5 billion remaining authorization), paid nearly $400 million in dividends and authorized a quarterly dividend of $0.94 per share ($3.76 annualized).Regeneron Financial Statement Overview
Summary
Income Statement
84
Very Positive
Balance Sheet
90
Very Positive
Cash Flow
78
Positive
| Breakdown | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|
Income Statement | |||||
| Total Revenue | 14.34B | 14.20B | 13.12B | 12.17B | 16.07B |
| Gross Profit | 12.24B | 12.23B | 10.87B | 10.47B | 13.35B |
| EBITDA | 5.82B | 5.32B | 4.69B | 5.26B | 9.67B |
| Net Income | 4.50B | 4.41B | 3.95B | 4.34B | 8.08B |
Balance Sheet | |||||
| Total Assets | 40.56B | 37.76B | 33.08B | 29.21B | 25.43B |
| Cash, Cash Equivalents and Short-Term Investments | 8.61B | 9.01B | 10.84B | 7.74B | 5.69B |
| Total Debt | 2.71B | 2.70B | 2.70B | 2.70B | 2.70B |
| Total Liabilities | 9.30B | 8.41B | 7.11B | 6.55B | 6.67B |
| Stockholders Equity | 31.26B | 29.35B | 25.97B | 22.66B | 18.77B |
Cash Flow | |||||
| Free Cash Flow | 4.08B | 3.66B | 3.67B | 4.42B | 6.53B |
| Operating Cash Flow | 4.98B | 4.42B | 4.59B | 5.01B | 7.08B |
| Investing Cash Flow | -629.10M | -2.47B | -3.19B | -3.78B | -5.38B |
| Financing Cash Flow | -3.72B | -2.20B | -1.79B | -1.01B | -1.01B |
Regeneron Technical Analysis
Positive
775.53
Price Trends
765.73
Positive
757.74
Positive
665.35
Positive
Market Momentum
0.55
Negative
55.57
Neutral
68.72
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For REGN, the sentiment is Positive. The current price of 775.53 is above the 20-day moving average (MA) of 753.97, above the 50-day MA of 765.73, and above the 200-day MA of 665.35, indicating a bullish trend. The MACD of 0.55 indicates Negative momentum. The RSI at 55.57 is Neutral, neither overbought nor oversold. The STOCH value of 68.72 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for REGN.
Regeneron Risk Analysis
Regeneron disclosed 47 risk factors in its most recent earnings report. Regeneron reported the most risks in the "Tech & Innovation" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Regeneron Peers Comparison
UnderperformOutperform
Sector (51)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
81 Outperform | $81.98B | 17.92 | 14.83% | 0.45% | 2.89% | 0.50% | |
75 Outperform | $48.40B | 14.76 | 16.82% | ― | 89.58% | ― | |
74 Outperform | $19.08B | 14.98 | 29.15% | ― | 18.09% | 3563.21% | |
72 Outperform | $112.77B | 29.32 | 22.70% | ― | 10.53% | ― | |
57 Neutral | $43.40B | 166.04 | 90.35% | ― | 53.24% | ― | |
54 Neutral | $23.14B | -17.95 | -6.03% | ― | 7.04% | -25.24% | |
51 Neutral | $7.86B | -0.30 | -43.30% | 2.27% | 22.53% | -2.21% |
* Healthcare Sector Average
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Regeneron Corporate Events
Business Operations and Strategy
Regeneron Highlights Growth Strategy and Pipeline at JPM Conference
Positive
Jan 12, 2026
At the J.P. Morgan Healthcare Conference on January 12, 2026, Regeneron Pharmaceuticals outlined its growth strategy centered on a robust pipeline of approximately 45 clinical programs and a portfolio of 14 internally discovered, already approved ...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.