Biogen's Earnings Beat and Leqembi Progress Might Change The Case For Investing In BIIB

• In the past week, Biogen Inc. reported second-quarter 2025 earnings that surpassed analyst forecasts, with revenue rising to US$2.65 billion and net income reaching US$634.8 million.
• This strong financial performance was supported by robust sales from key therapies and encouraging clinical updates for the Alzheimer’s drug Leqembi, including positive regulatory momentum for a new injectable formulation.
• Now, we'll examine how Biogen's earnings beat and raised profit outlook influence its investment narrative, particularly with Leqembi's progress.

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Biogen Investment Narrative Recap

To be a Biogen shareholder today, I believe one needs conviction in the company's pipeline progress and its ability to transform new products into sustainable revenue sources, especially as multiple sclerosis (MS) medicines decline. The recent earnings beat and raised profit guidance support the importance of Alzheimer's drug Leqembi, the near-term catalyst, though they do not materially change the primary risk, that newer drugs still have not fully offset ongoing MS portfolio headwinds.

Among recent announcements, the FDA's acceptance of the Biologics License Application for Leqembi's subcutaneous autoinjector is particularly relevant. If approved, this could expand access and adoption of Leqembi, directly impacting Biogen’s Alzheimer's franchise and providing some balance against legacy product pressures.

Yet, what investors should not overlook is that, despite fresh growth from new products, the gradual decline of the MS portfolio continues to weigh on overall revenue...

Read the full narrative on Biogen (it's free!)

Biogen's outlook forecasts $9.2 billion in revenue and $2.0 billion in earnings by 2028. This assumes a 2.3% annual revenue decline and a $0.5 billion increase in earnings from the current $1.5 billion.

Uncover how Biogen's forecasts yield a $168.85 fair value, a 28% upside to its current price.

Exploring Other Perspectives

Six Simply Wall St Community members estimate Biogen's fair value between US$106 and US$405 per share. Many focus on whether pipeline successes like Leqembi can outpace legacy product declines, shaping the company’s earnings outlook.

Explore 6 other fair value estimates on Biogen - why the stock might be worth over 3x more than the current price!

Build Your Own Biogen Narrative

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

• A great starting point for your Biogen research is our analysis highlighting 3 key rewards and 1 important warning sign that could impact your investment decision.
• Our free Biogen research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate Biogen's overall financial health at a glance.

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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.

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