Incyte (INCY) PT Raised to $152 at H.C. Wainwright
H.C. Wainwright analyst Mitchell Kapoor raised the price target on Incyte (NASDAQ: INCY) to $152.00 (from $150.00) while maintaining a Buy rating.
The analyst commented: "Atebrioz approval unlocks roughly $205–225M of near-term gross economics before milestones and royalties. The FDA approved Atebrioz (zilurgisertib) 100mg once-daily to reduce total new heterotopic ossification (HO) volume in fibrodysplasia ossificans progressiva (FOP) patients aged ≥12, with U.S. availability expected in October. Approval triggers a $25M payment to Incyte and the FDA issued the Rare Pediatric Disease Priority Review Voucher (PRV) directly to Incyte; in addition, Incyte also retains mid-to-high-single-digit royalties and potential milestone payments on worldwide net sales. The last five publicly disclosed PRV sale agreements have ranged from $195M to $215M since April of this year. We expect a $225-250M tailwind from the approval milestone + PRV alone, before taxes/transaction costs and excluding future royalties or commercial milestones. The much larger focus for us is KRAS G12D: pancreatic cancer remains outside our valuation, yet we consider ’734 an extremely valuable component of the Incyte story and a potentially substantial source of upside. After adding the economics of this deal to our model, we raise our 12-month price target to $152 from $150 per share and reiterate our Buy rating."
