Incyte Stock (NASDAQ:INCY), Trade Ideas

Incyte

Incyte focuses on the discovery and development of small-molecule drugs. The firm's lead drug, Jakafi, treats two types of rare blood cancer and graft versus host disease and is partnered with Novartis. Incyte's other marketed drugs include rheumatoid arthritis treatment Olumiant (licensed to Lilly), and oncology drugs Iclusig (chronic myeloid leukemia), Pemazyre (cholangiocarcinoma), Tabrecta (lung cancer), and Monjuvi (diffuse large B-cell lymphoma). The firm's first dermatology product, Opzelura, was approved in 2021 for atopic dermatitis and 2022 for vitiligo. Incyte's pipeline includes a broad array of oncology and dermatology programs.

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INCY

Morgan Stanley Capital Protected Notes for S&P 500 Index

Incyte acquires Escient Pharmaceuticals for $750 million, bolstering its pipeline. Cantor Fitzgerald initiates coverage with a Neutral rating, citing undervaluation concerns despite strong cash flow.

Incyte Should Consider Significant Stock Buyback And Prioritize R&amp;D, Analyst Recommends

Novartis

Movers

Novartis&#39; €2.7 billion public takeover offer for MorphoSys, unlocking a promising oncology pipeline with pelabresib and tulmimetostat.

Novartis Agrees To Acquire German Blood Cancer-Drug Developer MorphoSys For €2.7B

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Movers & Shakers

Novartis is in advanced talks to acquire MorphoSys and appears to be beating out Incyte Corporation which has also made an offer to acquire MorphoSys. MorphoSys produces a lymphoma drug, Monjuvi, sold as part of a profit-sharing agreement with Incyte, which saw net product sales of $92 million in 2023. MorphoSys also is developing Pelabresib, an inhibitor of proteins involved in the development and progression of myelofibrosis.

MorphoSys Stock Soars After Report Says Novartis To Acquire Cancer-Drug Developer

Incyte Corp

Oppenheimer analyst Jay Olson maintains Incyte (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/INCY#NASDAQ">INCY</a>) with a Outperform and lowers the price target from $92 to $84.

Price Target

Oppenheimer Maintains Outperform on Incyte, Lowers Price Target to $84

Tuesday,&nbsp;Incyte Corporation&nbsp;(NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/INCY#NASDAQ">INCY</a>)&nbsp;agreed to acquire&nbsp;Escient Pharmaceuticals&nbsp;<a target="_blank" href="https://www.benzinga.com/pressreleases/24/04/b38375064/incyte-announces-acquisition-of-escient-pharmaceuticals-and-its-pipeline-of-first-in-class-oral-mr" rel="noreferrer noopener">for $750 million</a>.
Escient&#8217;s pipeline includes EP262, a&nbsp;small&nbsp;molecule antagonist of Mas-related G protein-coupled receptor X2 (MRGPRX2), and EP547, a first-in-class oral MRGPRX4 antagonist.
&#8220;EP262 and EP547 are complementary additions to our portfolio, providing an opportunity to leverage our expertise, address the needs of patients with inflammatory diseases, and additional potential launch opportunities starting in 2029,&#8221; said Hervé Hoppenot, Incyte&#8217;s CEO.
With this update, Cantor Fitzgerald&nbsp;has initiated coverage on Incyte&nbsp;<a target="_blank" href="https://www.benzinga.com/quote/INCY/analyst-ratings" rel="noreferrer noopener">with a Neutral rating</a>.&nbsp;
The Cantor analyst suggests that Incyte&#8217;s shares are undervalued primarily due to the cash and expected cash flow from Jakafi and Opzelura but expresses reservations about the company&#8217;s pipeline prospects.&nbsp;
However, Incyte&#8217;s stock has declined by 31% in the past year due to concerns about the 2029 patent expiration for Jakafi, its high-margin drug.
Both growth and value investors are hesitant to support the company&#8217;s current strategy. Value investors particularly note Incyte&#8217;s reluctance to return cash to shareholders. A&nbsp;major&nbsp;stock buyback before pivotal pipeline updates could alleviate concerns and bolster valuation.
The analyst questions Incyte&#8217;s ability to allocate over 40% of its revenue to R&amp;D&nbsp;efficiently&nbsp;and suggests prioritizing high-return pipeline candidates.&nbsp;
Cantor highlights the potential value of acquiring U.S. rights to&nbsp;MorphoSys AG&#8217;s&nbsp;(NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/MOR#NASDAQ">MOR</a>)&nbsp;pelabresib, which could&nbsp;<a target="_blank" href="https://www.benzinga.com/general/biotech/24/02/36954650/novartis-agrees-to-acquire-german-blood-cancer-drug-developer-morphosys-for-2-7b" rel="noreferrer noopener">complement Jakafi</a>.&nbsp;
Despite optimism for certain pipeline assets like&nbsp;povorcitinib, the analyst remains cautious about others lacking differentiation or&nbsp;strong scientific&nbsp;rationale.
William Blair suggests that although the approval of another significant asset by the end of the decade will benefit Incyte in the long term, investors are seeking assets that can generate revenue before the patent exclusivity of Jakafi expires in 2028.&nbsp;
They maintain their positive outlook on Incyte, emphasizing that favorable Phase 3 results with&nbsp;povorcitinib&nbsp;in hidradenitis&nbsp;suppurativa&nbsp;in 2025 could alter perceptions and reaffirm their recommendation to Outperform.
Regarding the&nbsp;Escient deal,&nbsp;William Blair highlights the intriguing potential of the MRGPRX2 target. Initial data in chronic inducible urticaria suggests that EP262 complements the company&#8217;s existing inflammation and immunology franchises, tapping into significant market opportunities.
Read Next:&nbsp;<a target="_blank" href="https://www.benzinga.com/analyst-ratings/analyst-color/23/11/35902449/goldman-sachs-downgrades-incyte-amid-concerns-over-jakafi-studies-competitiveness" rel="noreferrer noopener">Goldman Sachs Downgrades Incyte Amid Concerns Over Jakafi Studies, Competitiveness</a>.
Price Action: INCY shares are up 0.25% at $52.05 at the last check Tuesday. 
Illustration of Phrama lab worker created with MidJourney.

Incyte Should Consider Significant Stock Buyback And Prioritize R&D, Analyst Recommends

Across the recent three months, 10 analysts have shared their insights on Incyte (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/INCY#NASDAQ">INCY</a>), expressing a variety of opinions spanning from bullish to bearish.
The table below provides a concise overview of recent ratings by analysts, offering insights into the changing sentiments over the past 30 days and drawing comparisons with the preceding months for a holistic perspective.
<table>
<thead>
<tr>
<th></th>
<th style="text-align: right;">Bullish</th>
<th style="text-align: right;">Somewhat Bullish</th>
<th style="text-align: right;">Indifferent</th>
<th style="text-align: right;">Somewhat Bearish</th>
<th style="text-align: right;">Bearish</th>
</tr>
</thead>
<tbody>
<tr>
<td>Total Ratings</td>
<td style="text-align: right;">3</td>
<td style="text-align: right;">0</td>
<td style="text-align: right;">7</td>
<td style="text-align: right;">0</td>
<td style="text-align: right;">0</td>
</tr>
<tr>
<td>Last 30D</td>
<td style="text-align: right;">0</td>
<td style="text-align: right;">0</td>
<td style="text-align: right;">0</td>
<td style="text-align: right;">0</td>
<td style="text-align: right;">0</td>
</tr>
<tr>
<td>1M Ago</td>
<td style="text-align: right;">0</td>
<td style="text-align: right;">0</td>
<td style="text-align: right;">1</td>
<td style="text-align: right;">0</td>
<td style="text-align: right;">0</td>
</tr>
<tr>
<td>2M Ago</td>
<td style="text-align: right;">1</td>
<td style="text-align: right;">0</td>
<td style="text-align: right;">3</td>
<td style="text-align: right;">0</td>
<td style="text-align: right;">0</td>
</tr>
<tr>
<td>3M Ago</td>
<td style="text-align: right;">2</td>
<td style="text-align: right;">0</td>
<td style="text-align: right;">3</td>
<td style="text-align: right;">0</td>
<td style="text-align: right;">0</td>
</tr>
</tbody>
</table>
In the assessment of 12-month price targets, analysts unveil insights for Incyte, presenting an average target of $70.8, a high estimate of $84.00, and a low estimate of $64.00. This current average has decreased by 1.21% from the previous average price target of $71.67. 
<img src="https://www.benzinga.com/files/images/story/2024/1713891670_0.png" alt="price target chart" />
<h2>Decoding Analyst Ratings: A Detailed Look</h2>
In examining recent analyst actions, we gain insights into how financial experts perceive Incyte. The following summary outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.
<table>
<thead>
<tr>
<th>Analyst</th>
<th>Analyst Firm</th>
<th>Action Taken</th>
<th>Rating</th>
<th>Current Price Target</th>
<th>Prior Price Target</th>
</tr>
</thead>
<tbody>
<tr>
<td>Brian Abrahams</td>
<td>RBC Capital</td>
<td>Maintains</td>
<td>Sector Perform</td>
<td>$65.00</td>
<td>-</td>
</tr>
<tr>
<td>Tazeen Ahmad</td>
<td>B of A Securities</td>
<td>Lowers</td>
<td>Neutral</td>
<td>$67.00</td>
<td>$69.00</td>
</tr>
<tr>
<td>Stephen Willey</td>
<td>Stifel</td>
<td>Maintains</td>
<td>Hold</td>
<td>$68.00</td>
<td>-</td>
</tr>
<tr>
<td>Brian Abrahams</td>
<td>RBC Capital</td>
<td>Maintains</td>
<td>Sector Perform</td>
<td>$65.00</td>
<td>-</td>
</tr>
<tr>
<td>Kelly Shi</td>
<td>Jefferies</td>
<td>Announces</td>
<td>Buy</td>
<td>$81.00</td>
<td>-</td>
</tr>
<tr>
<td>Evan Seigerman</td>
<td>BMO Capital</td>
<td>Raises</td>
<td>Market Perform</td>
<td>$64.00</td>
<td>$58.00</td>
</tr>
<tr>
<td>David Lebowitz</td>
<td>Citigroup</td>
<td>Lowers</td>
<td>Buy</td>
<td>$81.00</td>
<td>$82.00</td>
</tr>
<tr>
<td>Brian Abrahams</td>
<td>RBC Capital</td>
<td>Raises</td>
<td>Sector Perform</td>
<td>$65.00</td>
<td>$63.00</td>
</tr>
<tr>
<td>Stephen Willey</td>
<td>Stifel</td>
<td>Raises</td>
<td>Hold</td>
<td>$68.00</td>
<td>$67.00</td>
</tr>
<tr>
<td>Srikripa Devarakonda</td>
<td>Truist Securities</td>
<td>Lowers</td>
<td>Buy</td>
<td>$84.00</td>
<td>$91.00</td>
</tr>
</tbody>
</table>
<h3>Key Insights:</h3>
<ul>
<li>Action Taken: In response to dynamic market conditions and company performance, analysts update their recommendations. Whether they 'Maintain', 'Raise', or 'Lower' their stance, it signifies their reaction to recent developments related to Incyte. This insight gives a snapshot of analysts' perspectives on the current state of the company.</li>
<li>Rating: Analyzing trends, analysts offer qualitative evaluations, ranging from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of Incyte compared to the broader market.</li>
<li>Price Targets: Analysts predict movements in price targets, offering estimates for Incyte's future value. Examining the current and prior targets offers insights into analysts' evolving expectations.</li>
</ul>
Understanding these analyst evaluations alongside key financial indicators can offer valuable insights into Incyte's market standing. Stay informed and make well-considered decisions with our Ratings Table.
<a href="https://www.benzinga.com/quote/INCY/analyst-ratings?utm_source=Benzinga Insights">Stay up to date on Incyte analyst ratings.</a>
<h2>All You Need to Know About Incyte</h2>
Incyte focuses on the discovery and development of small-molecule drugs. The firm's lead drug, Jakafi, treats two types of rare blood cancer and graft versus host disease and is partnered with Novartis. Incyte's other marketed drugs include rheumatoid arthritis treatment Olumiant (licensed to Lilly), and oncology drugs Iclusig (chronic myeloid leukemia), Pemazyre (cholangiocarcinoma), Tabrecta (lung cancer), and Monjuvi (diffuse large B-cell lymphoma). The firm's first dermatology product, Opzelura, was approved in 2021 for atopic dermatitis and 2022 for vitiligo. Incyte's pipeline includes a broad array of oncology and dermatology programs.
<h3>Understanding the Numbers: Incyte's Finances</h3>
Market Capitalization Perspectives: The company's market capitalization falls below industry averages, signaling a relatively smaller size compared to peers. This positioning may be influenced by factors such as perceived growth potential or operational scale.
Revenue Growth: Incyte displayed positive results in 3 months. As of 31 December, 2023, the company achieved a solid revenue growth rate of approximately 9.35%. This indicates a notable increase in the company's top-line earnings. As compared to competitors, the company encountered difficulties, with a growth rate lower than the average among peers in the Health Care sector.
Net Margin: Incyte's net margin is below industry standards, pointing towards difficulties in achieving strong profitability. With a net margin of 19.84%, the company may encounter challenges in effective cost control.
Return on Equity (ROE): Incyte's ROE is below industry standards, pointing towards difficulties in efficiently utilizing equity capital. With an ROE of 3.97%, the company may encounter challenges in delivering satisfactory returns for shareholders.
Return on Assets (ROA): The company's ROA is below industry benchmarks, signaling potential difficulties in efficiently utilizing assets. With an ROA of 3.05%, the company may need to address challenges in generating satisfactory returns from its assets.
Debt Management: The company maintains a balanced debt approach with a debt-to-equity ratio below industry norms, standing at 0.01.
<h2>How Are Analyst Ratings Determined?</h2>
Benzinga tracks 150 analyst firms and reports on their stock expectations. Analysts typically arrive at their conclusions by predicting how much money a company will make in the future, usually the upcoming five years, and how risky or predictable that company's revenue streams are.
Analysts attend company conference calls and meetings, research company financial statements, and communicate with insiders to publish their ratings on stocks. Analysts typically rate each stock once per quarter or whenever the company has a major update.
Analysts may enhance their evaluations by incorporating forecasts for metrics like growth estimates, earnings, and revenue, delivering additional guidance to investors. It is vital to acknowledge that, although experts in stocks and sectors, analysts are human and express their opinions when providing insights.
This article was generated by Benzinga's automated content engine and reviewed by an editor.

Peeling Back The Layers: Exploring Incyte Through Analyst Insights

Cantor Fitzgerald analyst Eric Schmidt initiates coverage on Incyte (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/INCY#NASDAQ">INCY</a>) with a Neutral rating.

Cantor Fitzgerald Initiates Coverage On Incyte with Neutral Rating

Incyte (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/INCY#NASDAQ">INCY</a>) and Escient Pharmaceuticals, a clinical-stage drug discovery and development company advancing novel small molecule therapeutics for systemic immune and neuro-immune disorders, have entered into a definitive agreement under which Incyte has agreed to acquire Escient, including EP262, a first-in-class, potent, highly selective, once-daily small molecule antagonist of Mas-related G protein-coupled receptor X2 (MRGPRX2) and EP547, a first-in-class oral MRGPRX4 antagonist.
&nbsp;
Under the terms of the agreement, Incyte will acquire Escient and its assets for $750 million plus Escient&rsquo;s net cash remaining at the close of the transaction, subject to customary adjustments. The acquisition is subject to clearance under the Hart-Scott-Rodino Act, among other customary conditions, and will become effective promptly following the satisfaction or waiver of these conditions which is currently anticipated to be by the third quarter of 2024.

Incyte To Acquire Escient And Its Assets For $750M Plus Escient's Net Cash Remaining At The Close Of The Transaction, Subject To Customary Adjustments

China Medical System Holdings Limited (the &ldquo;Company&rdquo;, together with its subsidiaries, the &ldquo;Group&rdquo;) is pleased to announce that on 31 March 2024, the Group through a wholly-owned subsidiary of the Company&ndash; a dermatology medical aesthetic company (&ldquo;CMS Skinhealth&rdquo;) entered into a Collaboration and License Agreement (the &ldquo;License Agreement&rdquo;) with Incyte (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/INCY#NASDAQ">INCY</a>) (&ldquo;Incyte&rdquo;), a global biopharmaceutical company, for selective oral smallmolecule JAK1 inhibitor povorcitinib (the &ldquo;Product&rdquo;) for the treatment of non-segmental vitiligo, hidradenitis suppurativa (HS), prurigo nodularis (PN) and asthma and chronic spontaneous urticaria.

China Medical System Announced Collaboration And License Agreement With Incyte For Selective Oral Smallmolecule JAK1 Inhibitor Povorcitinib

RBC Capital analyst Brian Abrahams reiterates Incyte (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/INCY#NASDAQ">INCY</a>) with a Sector Perform and maintains $65 price target.

Reiteration

RBC Capital Reiterates Sector Perform on Incyte, Maintains $65 Price Target

B of A Securities analyst Tazeen Ahmad maintains Incyte (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/INCY#NASDAQ">INCY</a>) with a Neutral and lowers the price target from $69 to $67.

B of A Securities Maintains Neutral on Incyte, Lowers Price Target to $67

Stifel analyst Stephen Willey reiterates Incyte (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/INCY#NASDAQ">INCY</a>) with a Hold and maintains $68 price target.

Stifel Reiterates Hold on Incyte, Maintains $68 Price Target

In the preceding three months, 8 analysts have released ratings for Incyte (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/INCY#NASDAQ">INCY</a>), presenting a wide array of perspectives from bullish to bearish.
The table below provides a concise overview of recent ratings by analysts, offering insights into the changing sentiments over the past 30 days and drawing comparisons with the preceding months for a holistic perspective.
<table>
<thead>
<tr>
<th></th>
<th style="text-align: right;">Bullish</th>
<th style="text-align: right;">Somewhat Bullish</th>
<th style="text-align: right;">Indifferent</th>
<th style="text-align: right;">Somewhat Bearish</th>
<th style="text-align: right;">Bearish</th>
</tr>
</thead>
<tbody>
<tr>
<td>Total Ratings</td>
<td style="text-align: right;">3</td>
<td style="text-align: right;">0</td>
<td style="text-align: right;">5</td>
<td style="text-align: right;">0</td>
<td style="text-align: right;">0</td>
</tr>
<tr>
<td>Last 30D</td>
<td style="text-align: right;">0</td>
<td style="text-align: right;">0</td>
<td style="text-align: right;">1</td>
<td style="text-align: right;">0</td>
<td style="text-align: right;">0</td>
</tr>
<tr>
<td>1M Ago</td>
<td style="text-align: right;">3</td>
<td style="text-align: right;">0</td>
<td style="text-align: right;">3</td>
<td style="text-align: right;">0</td>
<td style="text-align: right;">0</td>
</tr>
<tr>
<td>2M Ago</td>
<td style="text-align: right;">0</td>
<td style="text-align: right;">0</td>
<td style="text-align: right;">0</td>
<td style="text-align: right;">0</td>
<td style="text-align: right;">0</td>
</tr>
<tr>
<td>3M Ago</td>
<td style="text-align: right;">0</td>
<td style="text-align: right;">0</td>
<td style="text-align: right;">1</td>
<td style="text-align: right;">0</td>
<td style="text-align: right;">0</td>
</tr>
</tbody>
</table>
The 12-month price targets assessed by analysts reveal further insights, featuring an average target of $73.12, a high estimate of $84.00, and a low estimate of $64.00. This current average represents a 0.96% decrease from the previous average price target of $73.83. 
<img src="https://www.benzinga.com/files/images/story/2024/1710259252_0_0.png" alt="price target chart" />
<h2>Interpreting Analyst Ratings: A Closer Look</h2>
In examining recent analyst actions, we gain insights into how financial experts perceive Incyte. The following summary outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.
<table>
<thead>
<tr>
<th>Analyst</th>
<th>Analyst Firm</th>
<th>Action Taken</th>
<th>Rating</th>
<th>Current Price Target</th>
<th>Prior Price Target</th>
</tr>
</thead>
<tbody>
<tr>
<td>Brian Abrahams</td>
<td>RBC Capital</td>
<td>Maintains</td>
<td>Sector Perform</td>
<td>$65.00</td>
<td>-</td>
</tr>
<tr>
<td>Kelly Shi</td>
<td>Jefferies</td>
<td>Announces</td>
<td>Buy</td>
<td>$81.00</td>
<td>-</td>
</tr>
<tr>
<td>Evan Seigerman</td>
<td>BMO Capital</td>
<td>Raises</td>
<td>Market Perform</td>
<td>$64.00</td>
<td>$58.00</td>
</tr>
<tr>
<td>David Lebowitz</td>
<td>Citigroup</td>
<td>Lowers</td>
<td>Buy</td>
<td>$81.00</td>
<td>$82.00</td>
</tr>
<tr>
<td>Brian Abrahams</td>
<td>RBC Capital</td>
<td>Raises</td>
<td>Sector Perform</td>
<td>$65.00</td>
<td>$63.00</td>
</tr>
<tr>
<td>Stephen Willey</td>
<td>Stifel</td>
<td>Raises</td>
<td>Hold</td>
<td>$68.00</td>
<td>$67.00</td>
</tr>
<tr>
<td>Srikripa Devarakonda</td>
<td>Truist Securities</td>
<td>Lowers</td>
<td>Buy</td>
<td>$84.00</td>
<td>$91.00</td>
</tr>
<tr>
<td>Mara Goldstein</td>
<td>Mizuho</td>
<td>Lowers</td>
<td>Neutral</td>
<td>$77.00</td>
<td>$82.00</td>
</tr>
</tbody>
</table>
<h3>Key Insights:</h3>
<ul>
<li>Action Taken: Analysts adapt their recommendations to changing market conditions and company performance. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their response to recent developments related to Incyte. This information provides a snapshot of how analysts perceive the current state of the company.</li>
<li>Rating: Gaining insights, analysts provide qualitative assessments, ranging from 'Outperform' to 'Underperform'. These ratings reflect expectations for the relative performance of Incyte compared to the broader market.</li>
<li>Price Targets: Gaining insights, analysts provide estimates for the future value of Incyte's stock. This comparison reveals trends in analysts' expectations over time.</li>
</ul>
Navigating through these analyst evaluations alongside other financial indicators can contribute to a holistic understanding of Incyte's market standing. Stay informed and make data-driven decisions with our Ratings Table.
<a href="https://www.benzinga.com/quote/INCY/analyst-ratings?utm_source=Benzinga Insights">Stay up to date on Incyte analyst ratings.</a>
<h2>About Incyte</h2>
Incyte focuses on the discovery and development of small-molecule drugs. The firm's lead drug, Jakafi, treats two types of rare blood cancer and graft versus host disease and is partnered with Novartis. Incyte's other marketed drugs include rheumatoid arthritis treatment Olumiant (licensed to Lilly), and oncology drugs Iclusig (chronic myeloid leukemia), Pemazyre (cholangiocarcinoma), Tabrecta (lung cancer), and Monjuvi (diffuse large B-cell lymphoma). The firm's first dermatology product, Opzelura, was approved in 2021 for atopic dermatitis and 2022 for vitiligo. Incyte's pipeline includes a broad array of oncology and dermatology programs.
<h3>Incyte: Financial Performance Dissected</h3>
Market Capitalization: Indicating a reduced size compared to industry averages, the company's market capitalization poses unique challenges.
Revenue Growth: Incyte's revenue growth over a period of 3 months has been noteworthy. As of 31 December, 2023, the company achieved a revenue growth rate of approximately 9.35%. This indicates a substantial increase in the company's top-line earnings. As compared to competitors, the company encountered difficulties, with a growth rate lower than the average among peers in the Health Care sector.
Net Margin: The company's net margin is below industry benchmarks, signaling potential difficulties in achieving strong profitability. With a net margin of 19.84%, the company may need to address challenges in effective cost control.
Return on Equity (ROE): Incyte's ROE is below industry standards, pointing towards difficulties in efficiently utilizing equity capital. With an ROE of 3.97%, the company may encounter challenges in delivering satisfactory returns for shareholders.
Return on Assets (ROA): The company's ROA is below industry benchmarks, signaling potential difficulties in efficiently utilizing assets. With an ROA of 3.05%, the company may need to address challenges in generating satisfactory returns from its assets.
Debt Management: The company maintains a balanced debt approach with a debt-to-equity ratio below industry norms, standing at 0.01.
<h2>How Are Analyst Ratings Determined?</h2>
Within the domain of banking and financial systems, analysts specialize in reporting for specific stocks or defined sectors. Their work involves attending company conference calls and meetings, researching company financial statements, and communicating with insiders to publish "analyst ratings" for stocks. Analysts typically assess and rate each stock once per quarter.
Some analysts publish their predictions for metrics such as growth estimates, earnings, and revenue to provide additional guidance with their ratings. When using analyst ratings, it is important to keep in mind that stock and sector analysts are also human and are only offering their opinions to investors.
This article was generated by Benzinga's automated content engine and reviewed by an editor.

Incyte Stock: A Deep Dive Into Analyst Perspectives (8 Ratings)

Sunday, Incyte Announced Results From A Phase 2 Study Of Povorcitinib (Incb54707), The Study Met Its Primary Endpoint With Improvement In Itch Compared To Placebo In Prurigo Nodularis

Sunday, Incyte Announced New Results From Phase 2 Study Of Ruxolitinib Cream (Opzelura) In Hidradenitis Suppurativa, The Study Met Its Primary Endpoint, Demonstrating Significant Reduction In Abscess, Inflammatory Nodule Count Versus Vehicle Control

<ul>
<li>Two late-breaking abstracts have been accepted for oral presentation, including randomized studies evaluating ruxolitinib cream (Opzelura&#xAE;) in hidradenitis suppurativa and povorcitinib (INCB54707) in prurigo nodularis</li>
<li>Analyst and investor event to discuss key data presentations scheduled for Monday, March 11, 2024 at 9:00 a.m. PT / 12:00 p.m. ET</li>
</ul>
&nbsp;
Incyte (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/INCY#NASDAQ">INCY</a>) today announced multiple abstracts featuring data from its dermatology portfolio will be presented at the upcoming 2024 American Academy of Dermatology (AAD) Annual Meeting, held March 8-12, 2024, in San Diego.
"We are pleased to convene at this year's AAD Annual Meeting and share data, including two late-breaking presentations, from our growing dermatology portfolio," said Jim Lee, M.D., Ph.D., Group Vice President, Inflammation &amp; Autoimmunity, Incyte. "Our presence at this year's meeting showcases Incyte's commitment to find solutions for patients where there continues to be critical unmet needs. We are excited to share clinical data evaluating ruxolitinib cream and povorcitinib in immune-mediated dermatologic conditions including atopic dermatitis, vitiligo, hidradenitis suppurativa and prurigo nodularis."
Key abstracts include:
Late-Breaking Oral Presentations
Prurigo Nodularis
Efficacy and Safety of Povorcitinib in Patients with Prurigo Nodularis: Results From a Randomized, Double-Blind, Placebo-Controlled Phase 2 Study (Session: S050 – Late-Breaking Research: Session 2. Sunday, March 10, 2024, 4:00 p.m. ET)
Hidradenitis Suppurativa
Efficacy and Safety of Ruxolitinib Cream in Patients With Hidradenitis Suppurativa (Hurley Stage I and II): Results From a Randomized, Double-Blind, Vehicle-Controlled Phase 2 Study (Session: S050 – Late-Breaking Research: Session 2. Sunday, March 10, 2024, 4:10 p.m. ET)
e-Posters with Mini Oral Presentation
Atopic Dermatitis
Efficacy of Ruxolitinib Cream for the Treatment of Atopic Dermatitis in Children Aged 2–&lt;12 Years by Previous Medication History: Subgroup Analysis from the Randomized Phase 3 TRuE-AD3 Study (Abstract: #54214. Friday, March 8, 2024, 4:10 – 4:15 p.m. ET. Upper Level, Sails Pavilion, Poster Center 2)
e-Poster Exhibits
Atopic Dermatitis
Effect of Ruxolitinib Cream on Patient-Reported Outcomes (PROs) in Children Aged 2–&lt;12 Years with Atopic Dermatitis (AD): Results from a Randomized, Double-Blind, Vehicle-Controlled, Phase 3 Study (TruE-AD3) (Abstract: #49439)
Atopic Dermatitis (AD) Treatments Before and After Initiation of Ruxolitinib Cream: Analysis of a US Payer Claims Database (Abstract: #53102)
Real-World Clinical Experience with Ruxolitinib Cream Monotherapy to Manage Atopic Dermatitis (Abstract: #53107)
A Maximum-Use Trial of Ruxolitinib Cream in Children ≥2 to &lt;12 Years Old with Atopic Dermatitis (AD): Patient-Reported Outcomes (PROs) at Week 8 (Abstract: #54025)
Efficacy of Ruxolitinib Cream for Treatment of Atopic Dermatitis in Children Aged 2–&lt;12 Years by Baseline Clinical Characteristics: Subgroup Analysis from a Randomized Phase 3 Study (TRuE-AD3) (Abstract: #54147)
Maximum-Use Trials of Ruxolitinib Cream in Adults, Adolescents, and Children Aged 2 to &lt;12 Years with Atopic Dermatitis: Consistency of Safety, Pharmacokinetics, and Efficacy (Abstract: #54168)
Vitiligo
Serum Protein Biomarkers May Reveal Clues to Early Immune Activity Upon Ruxolitinib Cream Withdrawal in the TRuE-V Long-Term Extension Study (Abstract: #50342)
Efficacy of Povorcitinib for the Treatment of Vitiligo by Patient Demographics and Baseline Clinical Characteristics: Week 52 Subgroup Analysis from a Randomized, Placebo-Controlled, Phase 2b Clinical Trial (Abstract: #53962)
Correlation of Vitiligo Area Scoring Index with Vitiligo Extent Score-Plus Responses in a Randomized, Double-Blinded, Placebo-Controlled, Dose-Ranging Phase 2b Study (Abstract: #53971)
All abstract content will be available in the <a href="https://cts.businesswire.com/ct/CT?id=smartlink&amp;url=https%3A%2F%2Feposters.aad.org%2F&amp;esheet=53904373&amp;newsitemid=20240304329736&amp;lan=en-US&amp;anchor=online+viewing+portal&amp;index=1&amp;md5=a80e4af72ff0d18809975ab0d42e13da">online viewing portal</a> and on-site at the viewing stations. They will also be published online via the Journal of the American Academy of Dermatology (JAAD) supplement in Fall 2024.
More information regarding the 2024 AAD Annual Meeting can be found at <a href="https://cts.businesswire.com/ct/CT?id=smartlink&amp;url=https%3A%2F%2Fwww.aad.org%2Fmember%2Fmeetings-education%2Fam24&amp;esheet=53904373&amp;newsitemid=20240304329736&amp;lan=en-US&amp;anchor=https%3A%2F%2Fwww.aad.org%2Fmember%2Fmeetings-education%2Fam24&amp;index=2&amp;md5=38c2f3151bba7022c67fa3b532ebbada">https://www.aad.org/member/meetings-education/am24</a>.
Conference Call and Webcast
Incyte will host an in-person analyst and investor event on Monday, March 11, 2024, from 9:00-10:30 a.m. PT (12:00-1:30 p.m. ET) to discuss the key data presentations at AAD. The event will be webcasted and can be accessed via the Events and Presentations tab of the investor section of Incyte.com and it will be available for replay for 30 days.
Conference call details will be provided on our website.
About Opzelura&#xAE; (ruxolitinib) Cream 1.5%
Opzelura, a novel cream formulation of Incyte's selective JAK1/JAK2 inhibitor ruxolitinib, is approved by the U.S. Food &amp; Drug Administration for the topical treatment of nonsegmental vitiligo in patients 12 years of age and older, is the first and only treatment for repigmentation approved for use in the United States. Opzelura is also approved in the U.S. for the topical short-term and non-continuous chronic treatment of mild to moderate atopic dermatitis (AD) in non-immunocompromised patients 12 years of age and older whose disease is not adequately controlled with topical prescription therapies, or when those therapies are not advisable. Use of Opzelura in combination with therapeutic biologics, other JAK inhibitors, or potent immunosuppressants, such as azathioprine or cyclosporine, is not recommended.
In Europe, Opzelura (ruxolitinib) cream 15mg/g is approved for the treatment of non-segmental vitiligo with facial involvement in adults and adolescents from 12 years of age.
Incyte has worldwide rights for the development and commercialization of ruxolitinib cream, marketed in the United States and Europe as Opzelura.
Opzelura and the Opzelura logo are registered trademarks of Incyte.
About Povorcitinib (INCB54707)
Povorcitinib (INCB54707) is an oral small-molecule JAK1 inhibitor currently in Phase 2 clinical trials for vitiligo, hidradenitis suppurativa (HS) and prurigo nodularis. Phase 3 studies in HS are also ongoing.

Events

New Data From Incyte's Dermatology Portfolio To Be Presented At The 2024 American Academy Of Dermatology Annual Meeting

Incyte Announces FDA Grants Priority Review For Axatilimab For Chronic Graft-Versus-Host Disease

Jefferies analyst Kelly Shi initiates coverage on Incyte (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/INCY#NASDAQ">INCY</a>) with a Buy rating and announces Price Target of $81.

Jefferies Initiates Coverage On Incyte with Buy Rating, Announces Price Target of $81

JMP Securities analyst Reni Benjamin downgrades Incyte (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/INCY#NASDAQ">INCY</a>) from Market Outperform to Market Perform.

Downgrades

JMP Securities Downgrades Incyte to Market Perform

RBC Capital analyst Brian Abrahams maintains Incyte (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/INCY#NASDAQ">INCY</a>) with a Sector Perform and raises the price target from $63 to $65.

RBC Capital Maintains Sector Perform on Incyte, Raises Price Target to $65

Incyte (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/INCY#NASDAQ">INCY</a>) has been analyzed by 8 analysts in the last three months, revealing a diverse range of perspectives from bullish to bearish.
The table below provides a snapshot of their recent ratings, showcasing how sentiments have evolved over the past 30 days and comparing them to the preceding months.
<table>
<thead>
<tr>
<th></th>
<th style="text-align: right;">Bullish</th>
<th style="text-align: right;">Somewhat Bullish</th>
<th style="text-align: right;">Indifferent</th>
<th style="text-align: right;">Somewhat Bearish</th>
<th style="text-align: right;">Bearish</th>
</tr>
</thead>
<tbody>
<tr>
<td>Total Ratings</td>
<td style="text-align: right;">2</td>
<td style="text-align: right;">2</td>
<td style="text-align: right;">4</td>
<td style="text-align: right;">0</td>
<td style="text-align: right;">0</td>
</tr>
<tr>
<td>Last 30D</td>
<td style="text-align: right;">1</td>
<td style="text-align: right;">0</td>
<td style="text-align: right;">1</td>
<td style="text-align: right;">0</td>
<td style="text-align: right;">0</td>
</tr>
<tr>
<td>1M Ago</td>
<td style="text-align: right;">0</td>
<td style="text-align: right;">0</td>
<td style="text-align: right;">0</td>
<td style="text-align: right;">0</td>
<td style="text-align: right;">0</td>
</tr>
<tr>
<td>2M Ago</td>
<td style="text-align: right;">0</td>
<td style="text-align: right;">0</td>
<td style="text-align: right;">0</td>
<td style="text-align: right;">0</td>
<td style="text-align: right;">0</td>
</tr>
<tr>
<td>3M Ago</td>
<td style="text-align: right;">1</td>
<td style="text-align: right;">2</td>
<td style="text-align: right;">3</td>
<td style="text-align: right;">0</td>
<td style="text-align: right;">0</td>
</tr>
</tbody>
</table>
Insights from analysts' 12-month price targets are revealed, presenting an average target of $77.62, a high estimate of $93.00, and a low estimate of $65.00. A negative shift in sentiment is evident as analysts have decreased the average price target by 8.14%. 
<img src="https://www.benzinga.com/files/images/story/2024/1707919218_0.png" alt="price target chart" />
<h2>Breaking Down Analyst Ratings: A Detailed Examination</h2>
The analysis of recent analyst actions sheds light on the perception of Incyte by financial experts. The following summary presents key analysts, their recent evaluations, and adjustments to ratings and price targets.
<table>
<thead>
<tr>
<th>Analyst</th>
<th>Analyst Firm</th>
<th>Action Taken</th>
<th>Rating</th>
<th>Current Price Target</th>
<th>Prior Price Target</th>
</tr>
</thead>
<tbody>
<tr>
<td>Stephen Willey</td>
<td>Stifel</td>
<td>Raises</td>
<td>Hold</td>
<td>$68.00</td>
<td>$67.00</td>
</tr>
<tr>
<td>Srikripa Devarakonda</td>
<td>Truist Securities</td>
<td>Lowers</td>
<td>Buy</td>
<td>$84.00</td>
<td>$91.00</td>
</tr>
<tr>
<td>Mara Goldstein</td>
<td>Mizuho</td>
<td>Lowers</td>
<td>Neutral</td>
<td>$77.00</td>
<td>$82.00</td>
</tr>
<tr>
<td>Reni Benjamin</td>
<td>JMP Securities</td>
<td>Maintains</td>
<td>Market Outperform</td>
<td>$93.00</td>
<td>-</td>
</tr>
<tr>
<td>Andrew Berens</td>
<td>Leerink Partners</td>
<td>Announces</td>
<td>Outperform</td>
<td>$78.00</td>
<td>-</td>
</tr>
<tr>
<td>Srikripa Devarakonda</td>
<td>Truist Securities</td>
<td>Maintains</td>
<td>Buy</td>
<td>$91.00</td>
<td>-</td>
</tr>
<tr>
<td>Salveen Richter</td>
<td>Goldman Sachs</td>
<td>Lowers</td>
<td>Neutral</td>
<td>$65.00</td>
<td>$98.00</td>
</tr>
<tr>
<td>Salveen Richter</td>
<td>Goldman Sachs</td>
<td>Announces</td>
<td>Neutral</td>
<td>$65.00</td>
<td>-</td>
</tr>
</tbody>
</table>
<h3>Key Insights:</h3>
<ul>
<li>Action Taken: Analysts respond to changes in market conditions and company performance, frequently updating their recommendations. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to Incyte. This information offers a snapshot of how analysts perceive the current state of the company.</li>
<li>Rating: Offering a comprehensive view, analysts assess stocks qualitatively, spanning from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of Incyte compared to the broader market.</li>
<li>Price Targets: Analysts gauge the dynamics of price targets, providing estimates for the future value of Incyte's stock. This comparison reveals trends in analysts' expectations over time.</li>
</ul>
Analyzing these analyst evaluations alongside relevant financial metrics can provide a comprehensive view of Incyte's market position. Stay informed and make data-driven decisions with the assistance of our Ratings Table.
<a href="https://www.benzinga.com/quote/INCY/analyst-ratings?utm_source=Benzinga Insights">Stay up to date on Incyte analyst ratings.</a>
<h2>Get to Know Incyte Better</h2>
Incyte focuses on the discovery and development of small-molecule drugs. The firm's lead drug, Jakafi, treats two types of rare blood cancer and graft versus host disease and is partnered with Novartis. Incyte's other marketed drugs include rheumatoid arthritis treatment Olumiant (licensed to Lilly), and oncology drugs Iclusig (chronic myeloid leukemia), Pemazyre (cholangiocarcinoma), Tabrecta (lung cancer), and Monjuvi (diffuse large B-cell lymphoma). The firm's first dermatology product, Opzelura, was approved in 2021 for atopic dermatitis and 2022 for vitiligo. Incyte's pipeline includes a broad array of oncology and dermatology programs.
<h3>Incyte's Financial Performance</h3>
Market Capitalization Analysis: The company exhibits a lower market capitalization profile, positioning itself below industry averages. This suggests a smaller scale relative to peers.
Revenue Growth: Incyte displayed positive results in 3 months. As of 30 September, 2023, the company achieved a solid revenue growth rate of approximately 11.63%. This indicates a notable increase in the company's top-line earnings. As compared to its peers, the revenue growth lags behind its industry peers. The company achieved a growth rate lower than the average among peers in Health Care sector.
Net Margin: The company's net margin is a standout performer, exceeding industry averages. With an impressive net margin of 18.64%, the company showcases strong profitability and effective cost control.
Return on Equity (ROE): Incyte's ROE excels beyond industry benchmarks, reaching 3.54%. This signifies robust financial management and efficient use of shareholder equity capital.
Return on Assets (ROA): Incyte's ROA stands out, surpassing industry averages. With an impressive ROA of 2.72%, the company demonstrates effective utilization of assets and strong financial performance.
Debt Management: Incyte's debt-to-equity ratio is below the industry average at 0.01, reflecting a lower dependency on debt financing and a more conservative financial approach.
<h2>The Significance of Analyst Ratings Explained</h2>
Analyst ratings serve as essential indicators of stock performance, provided by experts in banking and financial systems. These specialists diligently analyze company financial statements, participate in conference calls, and engage with insiders to generate quarterly ratings for individual stocks.
Some analysts also offer predictions for helpful metrics such as earnings, revenue, and growth estimates to provide further guidance as to what to do with certain tickers. It is important to keep in mind that while stock and sector analysts are specialists, they are also human and can only forecast their beliefs to traders.
This article was generated by Benzinga's automated content engine and reviewed by an editor.

The Analyst Verdict: Incyte In The Eyes Of 8 Experts

WIIM

Incyte shares are trading higher after the company reported better-than-expected Q4 revenue results and issued FY24 Jakafi net product revenue.

The biotechnology industry is expected to grow rapidly due to rising demand for personalized medicines, increased R&D spending, and the adoption of AI in the biopharma market. Hence, quality biotech stocks Incyte (INCY), Jazz Pharmaceuticals (JAZZ), and Exelixis (EXEL) could be poised for breakthroughs this month. Read more… Given the growing demand for innovative medical solutions, higher R&amp;D initiatives, and rising investments in biopharma, the biotech industry is thriving. Given the backdrop, it could be wise to invest in fundamentally strong biotech stocks Incyte Corporation (<a href="https://stocknews.com/stock/INCY/">INCY</a>), Jazz Pharmaceuticals plc (<a href="https://stocknews.com/stock/JAZZ/">JAZZ</a>), and Exelixis, Inc. (<a href="https://stocknews.com/stock/EXEL/">EXEL</a>) for sustained returns.
The growing foothold of personalized medicine and an increasing number of orphan drug formulations are opening new avenues for biotechnology applications and are driving the influx of emerging and innovative biotechnology companies, further boosting market revenue.
As per the Grand View Research report, the global biotechnology market is projected to reach $3.88 trillion by 2030, growing at a <a href="https://www.grandviewresearch.com/industry-analysis/biotechnology-market">CAGR of 14%</a>. Meanwhile, the U.S. biotechnology market is expected to expand at a CAGR of 12.4% from 2024 to 2030.
Moreover, last year, the global biopharma R&amp;D saw <a href="https://www.iqvia.com/newsroom/2024/02/global-biopharma-r-and-d-boasts-increased-funding">funding rise to $72 billion</a>, productivity increased with a Clinical Development Productivity Index of 17.4, and 69 novel active substances were launched worldwide. However, clinical trial starts declined by 15%, reflecting a shift toward areas like cell and gene therapies.
Further, rapid technological advancements, particularly in areas like genomics, proteomics, and bioinformatics, have led to significant breakthroughs in drug discovery, development, and manufacturing processes. Recent innovations in biotech are moving toward trends like AI, machine learning, data analytics, and automation to optimize production.
The <a href="https://www.precedenceresearch.com/artificial-intelligence-in-biopharmaceutical-market">global AI in the biopharmaceutical market</a> is projected to total about $14.07 billion by 2032, exhibiting a CAGR of 32.3%.
Given these favorable trends, let's look at the fundamentals of the top three <a href="https://stocknews.com/category/biotech/">Biotech</a> stocks, beginning with the third choice.
Stock #3: Incyte Corporation (<a href="https://stocknews.com/stock/INCY/">INCY</a>)
INCY is a biopharmaceutical company specializing in developing therapies for hematology /oncology, autoimmunity, and inflammation areas. The company provides JAKAFI for treating intermediate or high-risk myelofibrosis and polycythemia disease, ICLUSIG to treat chronic myeloid leukemia, and OPZELURA cream for treating atopic dermatitis.
On April 1, 2024, INCY and China Medical System Holdings Limited (CMS), through a wholly-owned dermatology medical aesthetic subsidiary of the company (CMS Skinhealth), entered a Collaboration and License Agreement for the development and commercialization of povorcitinib.
Povorcitinib, a selective oral JAK1 inhibitor discovered by Incyte, is an investigational medicine being evaluated for treating non-segmental vitiligo, hidradenitis suppurativa (HS), prurigo nodularis (PN), asthma and chronic spontaneous urticaria. This agreement will expand the company's relationship with CMS in the Dermatology space beyond ruxolitinib cream.
On February 27, INCY announced that the FDA had accepted for Priority Review the Biologics License Application (BLA) for axatilimab, an anti-CSF-1R antibody, for the treatment of chronic graft-versus-host disease (GVHD) after failure of at least two previous lines of systemic therapy. The Prescription Drug User Fee Act (PDUFA) date for the FDA decision is August 28, 2024.
The BLA is supported by optimistic data from the AGAVE-201 trial (NCT04710576), recently highlighted in a <a href="https://cts.businesswire.com/ct/CT?id=smartlink&amp;url=https%3A%2F%2Finvestor.incyte.com%2Fnews-releases%2Fnews-release-details%2Fincyte-and-syndax-present-additional-data-positive-agave-201&amp;esheet=53902273&amp;newsitemid=20240227083647&amp;lan=en-US&amp;anchor=Plenary+Scientific+Session&amp;index=1&amp;md5=d6c22e83100ddabd9940d7afb40ae7ec">Plenary Scientific Session</a> at the American Society of Hematology Annual Meeting 2023.
INCY's trailing-12-month EBIT margin of 17.65% is significantly higher than the industry average of 0.89%. Further, the stock's trailing-12-month EBITDA margin of 19.98% is 276.1% higher than the industry average of 5.31%.
During the fourth quarter, which ended December 31, 2023, INCY's total revenues grew 9.3% year-over-year to $1.01 billion. The company's non-GAAP operating income rose 75.6% from the previous-year quarter to $267.70 million. Its non-GAAP <a href="https://www.investopedia.com/terms/n/netincome.asp">net income</a> was $239.12 million, or $1.07 per share, up 71.2% and 69.8% from the prior-year quarter, respectively.
Analysts expect revenue to increase 15.2% year-over-year to $931.75 million for the fiscal first quarter that ended March 2024. Its EPS is expected to increase 134.4% year-over-year to $0.87 for the same quarter.
Shares of INCY have surged marginally intra-day to close the last trading session at $55.30.
INCY's solid fundamentals are reflected in its <a href="https://stocknews.com/powr-ratings/">POWR Ratings</a>. The stock has an overall rating of A, which translates to a Strong Buy in our proprietary rating system. The POWR Ratings are calculated by considering 118 different factors, each weighted to an optimal degree.
The stock has an A grade for Value and Quality and a B in Growth. INCY is ranked #4 among 360 stocks in the <a href="https://stocknews.com/category/biotech/">Biotech</a> industry.
<a href="https://stocknews.com/stock/INCY/">Click here</a> to access additional INCY's ratings (Momentum, Sentiment, and Stability).
Stock #2: Jazz Pharmaceuticals plc (<a href="https://stocknews.com/stock/JAZZ/">JAZZ</a>)
Based in Dublin, Ireland, JAZZ is a biopharmaceutical company that identifies, develops, and commercializes pharmaceutical products for unmet medical needs. It has a portfolio of products and product candidates emphasizing the areas of neuroscience, including sleep medicine and movement disorders, and in oncology, such as hematologic and solid tumors.
On April 2, 2024, JAZZ completed the rolling submission of a Biologics License Application (BLA) to the FDA seeking accelerated approval for the HER2-targeted bispecific antibody zanidatamab as a treatment for previously-treated, unresectable, locally advanced, or metastatic HER2-positive biliary tract cancer (BTC).
If approved, zanidatamab would be the first HER2-targeted treatment specifically approved for BTC in the U.S.
On February 7, JAZZ announced its definitive agreement with Redx Pharma to acquire global rights to the KRAS Inhibitor Program, with Redx receiving $10 million upfront and potential milestone payments of up to $870 million, expanding JAZZ's pipeline of targeted oncology therapies.
JAZZ's trailing-12-month EBIT margin of 21.14% is significantly higher than the industry average of 0.89%. Likewise, the stock's trailing-12-month EBITDA margin and levered FCF margin of 37.80% and 27.46% are significantly higher than the industry averages of 5.31% and 0.84%, respectively.
JAZZ's total revenue increased 3.3% year-over-year to $1.01 billion for the fourth quarter ended December 31, 2023. Its adjusted net income came in at $345.29 million, compared to a net loss of $4.24 million in the previous-year quarter. Also, its non-GAAP EPS came in at $5.02, compared to a loss per share of $0.07 in the prior year's quarter.
In addition, as of December 31, 2023, the company's total assets stood at $11.39 billion compared to $10.84 billion as of December 31, 2022.
Analysts predict JAZZ's revenue for the first quarter (ended March 2024) to increase 7.3% year-over-year to $957.66 million, and its EPS for the same quarter is projected to grow 6.5% year-to-year to $4.20. Moreover, the company has an excellent earnings surprise history, surpassing consensus revenue estimates in three of the trailing four quarters.
JAZZ's bright prospects are reflected in its POWR Ratings. The stock has an overall rating of A, equating to a Strong Buy in our proprietary rating system.
JAZZ has an A grade for Growth and Value and a B in Quality. It is ranked #2 in the same industry.
In addition to the POWR Ratings we've stated above, we also have JAZZ ratings for Momentum, Sentiment, and Stability. Get all JAZZ ratings <a href="https://stocknews.com/stock/JAZZ/">here</a>.
Stock #1: Exelixis, Inc. (<a href="https://stocknews.com/stock/EXEL/">EXEL</a>)
EXEL is a biotech company specializing in oncology and dedicated to discovering, developing, and commercializing cancer treatments. The company focuses on developing inhibitors targeting cancer-related factors and collaborates with pharmaceutical companies for research and development (R&amp;D).
EXEL's trailing-12-month gross profit margin of 96.04% is 68.6% higher than the 56.95% industry average. Its 9.34% trailing-12-month EBIT margin is 781.6% higher than the 1.06% industry average. Likewise, the stock's 10.74% trailing-12-month EBITDA margin is 101.2% higher than the 5.34% industry average.
EXEL's total revenues increased 13.1% year-over-year to $479.65 million in the fourth quarter that ended December 31, 2023. The company reported a non-GAAP net income of $104.20 million, or $0.33 per share, compared to its year-ago quarter's non-GAAP net loss of $10.21 million, or $0.03 per share, respectively.
EXEL reaffirmed its fiscal year 2024 financial guidance with total revenues projected between $1.83 billion and $1.93 billion and net product revenues expected to range from $1.65 billion to $1.75 billion.
Street expects EXEL's revenue for the fiscal quarter (ended March 2024) to increase 11.5% year-over-year to $455.67 million. Its EPS is expected to grow 96.8% year-over-year to $0.24 for the same quarter.
Over the past nine months, the stock has surged 22.8% to close the last trading session at $23.72.
EXEL's POWR Ratings reflect its promising outlook. The stock has an overall rating of A, which translates to a Strong Buy in our proprietary rating system.
The stock has an A grade for Value and a B in Growth, Sentiment, and Quality. Within the same industry, EXEL is ranked first.
<a href="https://stocknews.com/stock/EXEL/">Click here</a> to access additional ratings of EXEL for Stability and Momentum.
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<hr />
INCY shares were trading at $54.60 per share on Wednesday morning, down $0.70 (-1.27%). Year-to-date, INCY has declined -13.04%, versus a 8.54% rise in the benchmark S&amp;P 500 index during the same period.
<hr><div style="clear:both;"></div> <h2>About the Author: Nidhi Agarwal</h2> <img src='https:/wp-content/uploads/2023/03/Nidhi-Agarwal_Headshot-3.jpg' style="float:left; padding:5px;width:125px;">Nidhi is passionate about the capital market and wealth management, which led her to pursue a career as an investment analyst. She holds a bachelor's degree in finance and marketing and is pursuing the CFA program.

Her fundamental approach to analyzing stocks helps investors identify the best investment opportunities.<a href="https://stocknews.com/authors/?author=nidhi-agarwal">More...</a>The post <a href=https://stocknews.com/news/incy-jazz-exel-3-biotech-gems-poised-for-april-breakthroughs/>3 Biotech Gems Poised for April Breakthroughs</a> appeared first on <a href=https://stocknews.com/>StockNews.com</a>

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Incyte to acquire immune-focused drug developer Escient

In a report released today, Allison Bratzel from Piper Sandler maintained a Buy rating on Incyte (INCY – Research Report). The company's shares ope...

Incyte (INCY) Gets a Buy from Piper Sandler

JMP Securities analyst Reni Benjamin has reiterated their neutral stance on INCY stock, giving a Hold rating today. Reni Benjamin has given his Hol...

Incyte's Strategic Acquisition: A Premature and Costly Move Amid Patent Cliff Concerns

Analyst Tazeen Ahmad of Bank of America Securities reiterated a Hold rating on Incyte (INCY – Research Report), reducing the price target to $64.00...

Incyte Acquisition Strategy and Drug Pipeline Evaluation: A Hold Recommendation

In a report released today, Srikripa Devarakonda from Truist Financial maintained a Buy rating on Incyte (INCY – Research Report). The company's sh...

Truist Financial Keeps Their Buy Rating on Incyte (INCY)

In a report released today, Jay Olson from Oppenheimer maintained a Buy rating on Incyte (INCY – Research Report), with a price target of $84.00. T...

Oppenheimer Sticks to Its Buy Rating for Incyte (INCY)

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Press Releases

Knight Therapeutics Announces Launch of Minjuvi® in Brazil

Incyte Launches The Unseen Journey to Elevate the Hidden Impact of Myeloproliferative Neoplasms (MPNs) on Patients' Lives through Generative AI

New Data from Incyte's Growing Dermatology Portfolio to be Presented at the 2024 American Academy of Dermatology (AAD) Annual Meeting

Incyte Presents New Late-Breaking Data from Phase 2 Study Evaluating Povorcitinib in Patients with Prurigo Nodularis

Incyte Announces New Data from Phase 2 Study Evaluating Ruxolitinib Cream (Opzelura®) in Patients with Mild-to-Moderate Hidradenitis Suppurativa

Incyte Reports Inducement Grant Under Nasdaq Listing Rule 5635(c)(4)

CMS and Incyte Announce Collaboration and License Agreement for Povorcitinib in China and Southeast Asia

Incyte and CMS Announce Collaboration and License Agreement for Povorcitinib, an Oral JAK1 Inhibitor, in Mainland China, Hong Kong, Macau, Taiwan and Southeast Asia

Incyte to Report First Quarter Financial Results

Incyte Announces Acquisition of Escient Pharmaceuticals and its Pipeline of First-in-Class Oral MRGPR Antagonists