Legend Biotech (NasdaqGS:LEGN): Valuation Insights Following FDA Label Update Highlighting Survival Benefit and New Risks

Legend Biotech (LEGN) just received FDA approval for an updated CARVYKTI® label reflecting new clinical data. The changes show a clear survival benefit for certain multiple myeloma patients, but also add important safety warnings for physicians.

See our latest analysis for Legend Biotech.

Legend Biotech’s FDA approval came at an important time, as the company’s 1-year total shareholder return sits at -28.8%. This figure reflects both industry headwinds and heightened risk perception despite promising revenue growth. While its latest share price of $31.86 marks a rebound from recent lows, overall momentum has softened this year. Investors are weighing clinical progress against fresh safety considerations and a tough biotech market backdrop.

If this regulatory milestone has you thinking about where innovation meets opportunity, it could be a great moment to discover See the full list for free.

With annual revenue growth above 26% and shares still trading at less than half the average analyst target, is Legend Biotech now overlooked, or are future gains already priced in by the market?

Most Popular Narrative: 58.1% Undervalued

Legend Biotech’s most widely followed narrative sees upside of over 50% from the last close price of $31.86, with a consensus fair value near $76. This perspective leans on ambitious future revenue and margin projections that could reshape the company’s earnings power.

"Solid pipeline and regulatory tailwinds drive expanded patient access, wider adoption, and long-term revenue growth in multiple myeloma therapies. Global roll-out and scaling production enhance operating leverage, broaden market reach, and improve margins while maintaining competitive advantage with innovative CAR-T technologies."

Read the complete narrative.

Curious what revenue leap and margin turnaround would justify such a bold premium over today’s price? The narrative’s calculation is fueled by multi-year assumptions, such as high double-digit growth and a profit swing that many skeptics doubt. Want the full story behind these sky-high expectations?

Result: Fair Value of $75.99 (UNDERVALUED)

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

However, sustained reliance on a single product and the potential for rapid new competition could quickly disrupt this upbeat outlook for Legend Biotech.

Find out about the key risks to this Legend Biotech narrative.

Build Your Own Legend Biotech Narrative

If you think the numbers tell a different story, or want to test the data for yourself, you can easily build your own perspective in just minutes. Do it your way

A good starting point is our analysis highlighting 2 key rewards investors are optimistic about regarding Legend Biotech.

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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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