Shares in biotech group Biogen (BIIB) continued to suffer today as analysts reduced price targets on disappointing 2025 growth prospects.
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2025 Revenue Forecast Disappoints
Phil Nadeau, analyst at TD Cowen, reduced his price target on BIIB stock to $200 from $275 but kept a Buy rating. He said that although Biogen had reported a Q4 revenues and earnings beat, its 2025 guidance was below consensus. Biogen declared in its results that it anticipated a mid-single-digit percentage decline in total revenue for 2025 compared to 2024. This was mainly due to expected decreases in multiple sclerosis product revenue. Nadeau said that this was because of branded and generic multiple sclerosis competition in the market, while new products would only partially offset the decline. As a result, he has slashed his 2025 total revenue estimates for BIIB from $9.7 billion to $9.2 billion and earnings per share estimates from $18.15 to $16.05.
Biogen Lacking Market Momentum
Four-star TipRanks-rated analyst Mohit Bansal of Wells Fargo lowered his price target on Biogen to $140 from $165 and kept a Hold rating on the stock. He also mentioned the failure of new product launches to gain strong momentum in the market and added that “pipeline assets will not reach market for several years”. Four-and-a-half-star TipRanks-rated analyst Salveen Richter at Goldman Sachs lowered her price target to $245 from $282. She expects BIIB shares to be “range-bound” as it focuses on rare disease and potentially neurological treatments as well as smaller/earlier stage deals.
Is BIIB a Good Stock to Buy?
On TipRanks, BIIB has a Moderate Buy consensus based on 11 Buy and 15 Hold ratings. Its highest price target is $300. BIIB stock’s consensus price target is $196.35 implying an 47.16% upside.
