RBC Capital has increased its price target for Incyte (INCY, Financial) from $64 to $67, while maintaining a Sector Perform rating. This decision follows Incyte's better-than-anticipated first-quarter earnings. The company shows robust commercial activity, with its drug Jakafi experiencing a strong year-over-year volume demand and paid drug improvements. Although Opzelura's performance fell short of expectations, it is anticipated to recover and align with its guidance, according to a research note shared with investors.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 20 analysts, the average target price for Incyte Corp (INCY, Financial) is $74.41 with a high estimate of $95.00 and a low estimate of $52.00. The average target implies an upside of 23.83% from the current price of $60.09. More detailed estimate data can be found on the Incyte Corp (INCY) Forecast page.
Based on the consensus recommendation from 27 brokerage firms, Incyte Corp's (INCY, Financial) average brokerage recommendation is currently 2.4, indicating "Outperform" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell.
Based on GuruFocus estimates, the estimated GF Value for Incyte Corp (INCY, Financial) in one year is $94.87, suggesting a upside of 57.89% from the current price of $60.085. GF Value is GuruFocus' estimate of the fair value that the stock should be traded at. It is calculated based on the historical multiples the stock has traded at previously, as well as past business growth and the future estimates of the business' performance. More detailed data can be found on the Incyte Corp (INCY) Summary page.
INCY Key Business Developments
Release Date: April 29, 2025
- Total Revenue: $1.05 billion, up 20% year-over-year.
- Product Revenue: $922 million, a 26% increase year-over-year.
- Jakafi Revenue: $709 million, 24% growth year-over-year.
- Opzelura Revenue: $119 million, up 38% year-over-year.
- Niktimvo Revenue: $14 million from initial launch.
- Cash Position: $2.4 billion at the end of the quarter.
- R&D Expenses: $437 million, a 2% increase year-over-year.
- SG&A Expenses: $326 million, an 8% increase year-over-year.
- Operating Expenses: Increased 6% year-over-year.
- Jakafi Full-Year Revenue Guidance: Raised to $2.95 billion to $3 billion.
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
- Incyte Corp (INCY, Financial) reported a strong financial performance with a 20% increase in total revenues year-over-year, reaching $1.05 billion.
- The company successfully launched Niktimvo, contributing $14 million in net product revenues in the first quarter.
- Jakafi's net product revenue grew 24% year-over-year to $709 million, driven by strong demand and increased patient numbers.
- Opzelura's network revenue increased by 38% compared to the same quarter last year, with significant growth in the US and European markets.
- Incyte Corp (INCY) has a robust pipeline with plans for multiple product launches and pivotal trial readouts in 2025, indicating potential for future growth.
Negative Points
- The company faces potential risks and uncertainties that could affect future results, as highlighted in their forward-looking statements.
- Despite strong initial sales, Niktimvo's revenue included a significant portion of inventory build, which may not be sustainable.
- Opzelura's growth was partially offset by a reduction in channel inventory, impacting net revenue growth.
- The company anticipates limited gross to net favorability for Jakafi in the remaining quarters of 2025 due to changes in Part D coverage.
- Incyte Corp (INCY) continues to face challenges in the competitive landscape, particularly in the development of new treatments for chronic spontaneous urticaria and hidradenitis suppurativa.
