Update shared on21 Oct 2025
Fair value Increased 16%Analysts have increased their price target for Rani Therapeutics Holdings from $7.75 to $9.00. They cite recalibrated growth projections and adjusted profit expectations as key factors behind the change.
What's in the News
- Rani Therapeutics Holdings entered into a Collaboration and License Agreement with Chugai Pharmaceutical for the development and commercialization of an oral product using Rani’s delivery technology and Chugai’s rare disease antibody. The deal provides $10 million upfront, up to $75 million in technology transfer and development milestones, up to $100 million in sales milestones, and potential option value up to $1.085 billion if all drug targets are exercised (Company announcement).
- The company announced a private placement of shares and warrants for aggregate gross proceeds of approximately $60.3 million, with participation from institutional and accredited investors, including Samsara BioCapital, RA Capital Management, and Invus, among others. The placement agents will receive a combined cash fee of about 6.0% of the aggregate purchase price plus expense reimbursement (Company announcement).
Valuation Changes
- Fair Value: Increased from $7.75 to $9.00, reflecting a higher projected valuation.
- Discount Rate: Remains unchanged at 6.78%.
- Revenue Growth: Projected growth has declined significantly, from 216.97% to 171.47%.
- Net Profit Margin: Margins are expected to narrow slightly, falling from 23.22% to 22.05%.
- Future P/E: The valuation multiple has risen notably, increasing from 93.6x to 120.0x.
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