A Look at Regeneron (REGN) Valuation Following Key Libtayo Approval and Gene Therapy Milestones

Regeneron Pharmaceuticals (REGN) just received a positive recommendation from the European Medicines Agency for Libtayo in a new cancer setting, following fresh FDA approval in the US. These consecutive regulatory updates could influence how investors view the company’s growth prospects.

See our latest analysis for Regeneron Pharmaceuticals.

Regeneron's back-to-back regulatory milestones and encouraging clinical data have done little to lift its stock in the short term. The 30-day share price return is -1.84%, and the year-to-date drop is 18.24%. Over the past year, total shareholder return sits at -37.62%, reflecting waning momentum even as recent developments add to the company’s pipeline strength and long-term potential.

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With the stock facing a considerable pullback despite breakthrough therapies and pipeline updates, investors are left to wonder if the current valuation is a rare entry point or if the market is already factoring in the next chapter of growth.

Most Popular Narrative: 19% Undervalued

The prevailing narrative estimates Regeneron’s fair value at $722, a notable premium to the last close of $584.74. This gap has drawn attention, especially as analyst consensus points to significant upside potential anchored in future pipeline catalysts and market expansion.

The successful ramp of EYLEA HD, which is gaining physician adoption due to its clinical profile and durability, along with anticipated regulatory approvals for label enhancements (pending resolution of manufacturing site issues), could help offset patent/biosimilar pressures on legacy EYLEA, supporting stabilization and potential growth in core revenue and sustaining healthy margins over the next several years.

Read the complete narrative.

Want to crack the code behind this optimism? The fair value assumes Regeneron achieves ambitious milestones in both sales growth and future profit margins. The real story is hidden in the bold financial projections shaping this valuation. Dive into the narrative for the full reveal.

Result: Fair Value of $722 (UNDERVALUED)

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

However, ongoing competition for EYLEA and possible regulatory delays could jeopardize revenue growth and challenge the positive outlook on Regeneron's valuation.

Find out about the key risks to this Regeneron Pharmaceuticals narrative.

Build Your Own Regeneron Pharmaceuticals Narrative

If you see things differently or want to dig into the numbers on your own terms, crafting your personal take on Regeneron’s outlook takes just a few minutes. Do it your way.

A good starting point is our analysis highlighting 4 key rewards investors are optimistic about regarding Regeneron Pharmaceuticals.

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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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