Why Mesoblast (ASX:MSB) Is Up 15.0% After Securing US Medicare J-Code for Ryoncil

• Mesoblast Limited announced that the permanent Medicare and Medicaid J-Code J3402 for Ryoncil® became active for billing and reimbursement on October 1, 2025, creating a standardized pathway for US healthcare providers.
• This formal CMS recognition is expected to streamline access and reimbursement, potentially broadening patient reach for the only FDA-approved mesenchymal stromal cell therapy for pediatric steroid-refractory acute graft-versus-host disease.
• We'll now explore how this milestone in reimbursement infrastructure for Ryoncil shapes Mesoblast's investment narrative and growth outlook.

Rare earth metals are the new gold rush. Find out which 32 stocks are leading the charge.

What Is Mesoblast's Investment Narrative?

To believe in Mesoblast as a shareholder, you have to be confident in the company’s ability to turn scientific breakthroughs into commercial therapies and address high-need conditions like steroid-refractory acute graft-versus-host disease. The recent activation of a permanent Medicare and Medicaid J-Code for Ryoncil is more than just a regulatory milestone, it could remove barriers to reimbursement, accelerate sales uptake, and smooth the path to broader patient access in the U.S., which is a key short-term catalyst many were watching. This development reduces some of the commercialization risks previously flagged by investors and analysts. However, the path to profitability still relies on executing successful product launches, expansion into new indications, and controlling losses, which remain substantial. The updated reimbursement status now adds momentum but the biggest risks, financing needs and maintaining revenue growth, have not disappeared. On the other hand, financing and loss management still loom as crucial concerns for shareholders.

Mesoblast's shares have been on the rise but are still potentially undervalued. Find out how large the opportunity might be.

Exploring Other Perspectives

The Simply Wall St Community has contributed 22 separate fair value estimates for Mesoblast ranging from A$0.18 up to a very large A$50, revealing sharply divided views among community members. Many are focused on the new J-Code reimbursement, but persistent large losses continue to influence expectations for the company’s future value. Keep reading to see how widely perspectives differ and why this matters for anyone considering Mesoblast.

Explore 22 other fair value estimates on Mesoblast - why the stock might be a potential multi-bagger!

Build Your Own Mesoblast Narrative

Disagree with this assessment? Create your own narrative in under 3 minutes - extraordinary investment returns rarely come from following the herd.

• A great starting point for your Mesoblast research is our analysis highlighting 2 key rewards that could impact your investment decision.
• Our free Mesoblast research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate Mesoblast's overall financial health at a glance.

Interested In Other Possibilities?

Markets shift fast. These stocks won't stay hidden for long. Get the list while it matters:

• This technology could replace computers: discover 26 stocks that are working to make quantum computing a reality.
• AI is about to change healthcare. These 32 stocks are working on everything from early diagnostics to drug discovery. The best part - they are all under $10b in market cap - there's still time to get in early.
• Find companies with promising cash flow potential yet trading below their fair value.

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com