Update shared on 10 Dec 2025
Analysts have modestly raised their price target on hVIVO, citing a slightly higher assumed discount rate and marginally improved long term growth and valuation assumptions. Together, these factors support an updated fair value of approximately £0.17 per share.
What's in the News
- hVIVO congratulated client Cidara Therapeutics on a definitive agreement to be acquired by Merck Sharp and Dohme for approximately 9.2 billion dollars, highlighting hVIVO's role in accelerating development of Cidara's lead influenza candidate CD388 through early human challenge data and ongoing Phase III support (Key Developments).
- CD388, a long acting, strain agnostic antiviral designed to prevent influenza A and B in high risk individuals, met all primary and secondary endpoints in Phase IIb, supported by data from an hVIVO conducted randomized, double blind influenza human challenge study in 59 volunteers (Key Developments).
- hVIVO presented positive data on its new contemporary strain human metapneumovirus challenge model at ESWI, showing high infection and symptomatic attack rates and strong virology profiles, and confirming readiness for vaccine and antiviral trials (Key Developments).
- The company unveiled the first commercially available SARS CoV 2 Omicron BA5 human challenge model and a robust RSV B model, expanding its respiratory challenge portfolio and supporting next generation vaccine and antiviral efficacy testing (Key Developments).
- hVIVO issued 2026 guidance for high single digit revenue growth, driven by expansion of diversified services and a move toward more normal human challenge trial activity levels (Key Developments).
Valuation Changes
- Fair Value per Share, unchanged at approximately £0.17, with the updated model maintaining the same implied equity valuation.
- Discount Rate, risen slightly from about 8.9 percent to just over 9.1 percent, reflecting a modest increase in the assumed cost of capital.
- Revenue Growth, effectively unchanged at around 2.2 percent, indicating no material shift in top line growth expectations.
- Net Profit Margin, essentially flat at roughly 4.5 percent, suggesting stable long term profitability assumptions.
- Future P/E, risen slightly from about 60.4x to 60.7x, implying a marginal increase in the valuation multiple applied to forward earnings.
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