In a report released today, Yi Chen from H.C. Wainwright maintained a Buy rating on Formycon AG (FYB – Research Report), with a price target of €57.00.
Yi Chen has given his Buy rating due to a combination of factors influencing Formycon AG’s market position and future prospects. The recent commercial launch of FYB202/Otulfi, a biosimilar to Stelara, in the U.S. and EU at a higher than expected price discount, positions Formycon favorably in the market. This launch, in partnership with Fresenius Kabi, allows Formycon to capitalize on the significant sales potential of Stelara, which recorded $10.4 billion in sales in 2024.
Additionally, the decision to terminate the Phase 3 Lotus trial for FYB206, following FDA confirmation that the Phase 1 Dahlia trial suffices for demonstrating comparability with Keytruda, is expected to result in substantial investment savings. These savings could offset the lower cash flows anticipated from FYB201 and FYB202 due to the higher discounts. Despite the lowered 12-month price target to €57 per share, the strategic decisions and cost management efforts contribute to a positive outlook, supporting the Buy rating.
Chen covers the Healthcare sector, focusing on stocks such as OKYO Pharma Limited Sponsored ADR, Veru, and Opko Health. According to TipRanks, Chen has an average return of -15.8% and a 30.25% success rate on recommended stocks.
In another report released on March 4, Hauck & Aufhaeuser also maintained a Buy rating on the stock with a €49.00 price target.
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