Sanofi (ENXTPA:SAN) Valuation: Is the Pharma Giant Trading Below Its True Worth?

Sanofi (ENXTPA:SAN) shares have seen some movement over the past week, drawing interest from investors curious about the drivers behind recent price shifts. Trading closed at €86.31, with returns staying slightly down month to date.

See our latest analysis for Sanofi.

Sanofi’s share price has been a bit soft lately, following gains seen over the spring. Despite a recent dip, its 12.6% total return over the past three years shows the long-term story is still largely positive. However, momentum is currently fading.

Curious how other pharma names are performing lately? The best way to spot new opportunities is to explore the See the full list for free..

With shares trading about 24% below analyst price targets and valuations at a notable discount, the question is whether Sanofi is an overlooked value buy or if investors are justified in questioning whether future growth is already reflected in the price.

Most Popular Narrative: 19.3% Undervalued

Sanofi's fair value, according to the most widely followed narrative, stands well above its recent close. The latest analysis draws on forward-looking projections and strategic company moves.

Sanofi’s ongoing focus on innovative product launches and its strong R&D pipeline, highlighted by accelerating investments, multiple Phase III readouts through 2026, and continued expansion of biologics (e.g., Dupixent, amlitelimab), position the company to capture higher demand for chronic disease treatments in a world with an aging population, supporting robust long-term sales growth and EPS upside.

Read the complete narrative.

Want to know the surprising assumptions driving this bullish target? The real story is bold revenue acceleration combined with margin gains that defy recent history. Uncover exactly how these fundamentals stack up and see why the narrative projects Sanofi’s value to soar.

Result: Fair Value of $106.90 (UNDERVALUED)

Have a read of the narrative in full and understand what's behind the forecasts.

However, not everything is certain. Setbacks in Sanofi’s R&D pipeline or intensified price competition in key therapies could quickly challenge this optimistic outlook.

Find out about the key risks to this Sanofi narrative.

Build Your Own Sanofi Narrative

If you have a different perspective or want to see how the numbers add up for yourself, you can craft your own narrative with fresh insights in just a few minutes. Do it your way.

A good starting point is our analysis highlighting 6 key rewards investors are optimistic about regarding Sanofi.

Looking for more investment ideas?

Give yourself an investing edge and make your next move count. There are untapped opportunities waiting if you know where to look. Don't let them slip by.

• Amplify your passive income streams by uncovering stocks with high yields and healthy balance sheets. Start with these 18 dividend stocks with yields > 3% for a fresh crop of opportunities.
• Target tomorrow’s growth by seizing the momentum in artificial intelligence. Back your portfolio with advancements using these 26 AI penny stocks as your guide.
• Capture first-mover potential and seek standout value by analyzing quality companies trading below their intrinsic worth. See the front-runners at these 843 undervalued stocks based on cash flows.

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