Incyte's (INCY) solid Q2 results are expected to fund its "multiple-shots-on-goal strategy" to sustain sales beyond the 2028 patent expiration of Jakafi, its flagship blood-disorder drug, RBC Capital Markets said Tuesday in a report.
Incyte's strategy broadens its opportunities and reduces reliance on a single asset, and the Q2 performance should support continued investment across longer-term programs, the report said.
Enthusiasm surrounding the ESMO solid-tumor program may reduce pressure to provide regulatory updates on '989, which is being evaluated for essential thrombocythemia, RBC said.
"With near-term Jakafi growth pressured by competition, Opzelura already well appreciated in the stock's valuation, and future growth predicated on povorcitinib and '989 success, we believe shares currently reflect the balance of a mature commercial franchise against near-term pipeline risks," the report said.
RBC raised its price target on Incyte stock to $109 from $99 and maintained its sector perform rating.
Price: 126.10, Change: -3.83, Percent Change: -2.95
Comments