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Alkermes upgraded to Neutral from Sell at UBS

Alkermes upgraded to Neutral from Sell at UBS

UBS analyst Ashwani Verma upgraded Alkermes (ALKS) to Neutral from Sell with a price target of $38, up from $21. UBS has more confidence in Alkermes’ key pipeline drug ALKS-2680, but sees a balanced risk reward on the read-out in the second half of 2025, the analyst tells investors in a research note. The firm believes the upcoming Phase 2 data for ALKS-2680 in narcolepsy type 1 and type 2 studies could generate positive results with strong efficacy, but is cautious on the safety outcome, as while the orexin agonist class has so far generated robust efficacy in narcolepsy, “the jury is still out” on tolerability.

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