Update shared on 19 Nov 2025
Fair value Increased 64%Alvotech's fair value price target saw a significant increase from $16.10 to $26.40, as analysts revised their outlook based on recent research reports and updated fundamentals.
Analyst Commentary
Recent analyst reports on Alvotech reflect a mix of optimism about the company's long-term potential and caution regarding recent regulatory and operational setbacks. These contrasting perspectives have led to notable fluctuations in price targets and outlooks on the stock's performance.
Bullish Takeaways
- Bullish analysts maintain positive ratings on Alvotech shares despite recent challenges, which signals confidence in the company's fundamentals.
- Recent adjustments in fair value estimates are based on an improved outlook following analysis of updated research and new information on company fundamentals.
- Alvotech is still perceived to have significant growth potential if regulatory hurdles are addressed, particularly as it continues to expand its biosimilar pipeline.
- Long-term execution on product launches and strategic objectives is viewed as a strong driver for value creation.
Bearish Takeaways
- Bearish analysts have lowered price targets after the company received a complete response letter (CRL) from the FDA, pointing to regulatory risks connected to Alvotech's manufacturing process.
- There is concern that issues identified by the FDA could delay or disrupt several near-term product launches, which may affect the company's revenue trajectory.
- Downgrades to Hold ratings highlight growing investor uncertainty around the pace of resolving operational and compliance challenges.
- Execution risk remains elevated as the company works to address FDA concerns, and this may have implications for upcoming releases in the AVT product portfolio.
What's in the News
- Deutsche Bank downgraded Alvotech to Hold from Buy after the company received a complete response letter from the FDA for AVT05. The agency highlighted deficiencies at the Reykjavik manufacturing facility and noted potential regulatory impacts on AVT03 and AVT06 (Periodicals).
- Alvotech lowered its full year 2025 revenue guidance to $570 million to $600 million, following receipt of the FDA complete response letter for AVT05. The company later increased and reiterated revenue forecasts to $600 million to $700 million (Key Developments).
- The UK High Court rejected an injunction request from Regeneron and Bayer, allowing Alvotech's biosimilar manufacturing activities for AVT06 to continue in the UK. This supports future commercial launches in Europe and globally (Key Developments).
- The UK Medicines and Healthcare products Regulatory Agency granted marketing authorization for Gobivaz, Alvotech's biosimilar to Simponi, covering multiple presentations and indications (Key Developments).
Valuation Changes
- Fair Value Price Target increased significantly from $16.10 to $26.40. This reflects revised analyst assessments.
- Discount Rate rose slightly from 7.70% to 7.83%. This indicates a marginal increase in perceived risk or cost of capital.
- Revenue Growth forecast declined moderately from 34.85% to 32.57%. This suggests more conservative growth expectations.
- Net Profit Margin projection fell significantly from 31.80% to 24.12%. This points to expectations of reduced profitability.
- Future P/E estimate climbed substantially from 17.48x to 30.21x. This implies higher future earnings multiples being assigned by analysts.
Disclaimer
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