Alnylam Pharmaceuticals Inc

We also added two new positions in the health care sector with the additions of Roche and Alnylam Pharmaceuticals. Alnylam has pioneered RNAi drugs that work to 'silence' certain proteins created by the body that can malfunction and cause disease. The company’s key product, Amvuttra, treats a condition that leads to protein misfolding in the heart and, eventually, heart failure (cardiomyopathy). While Amvuttra entered the cardiomyopathy market to strong early success in 2025, missed expectations heading into 2026 provided a chance to buy the stock at valuation levels we think incorporate conservative assumptions for its commercial opportunity and very little value for any other pipeline drugs.

Alnylam Pharmaceuticals stands at the forefront of RNA-interference (RNAi) therapeutics, with a remarkable R&D productivity streak highlighted by its four marketed and two partnered medicines. The recent regulatory approval of Amvuttra, a next-generation ATTR-CM medicine, is expected to significantly benefit patients and has exceeded market expectations, validating our initial thesis. Alnylam's management demonstrates strong commercial execution, positioning the company firmly on track to achieve profitability this year and strengthening its competitive stance among biotech giants.

Alnylam Pharmaceuticals traded at 110x NTM earnings and was unprofitable. The performance of the stock reflects a broader trend where companies with high valuations and low earnings quality have underperformed. The Fund's investment approach, which focuses on high-quality, competitively advantaged companies, faced challenges due to the market's preference for lower-quality stocks. This dynamic raises concerns about the sustainability of Alnylam's valuation given its current earnings situation.

Alnylam Pharmaceuticals advanced, driven by accelerating uptake of its treatment for transthyretin cardiac amyloidosis (ATTR-CM) and a raise to full-year revenue guidance, reinforcing confidence in its commercial execution and deep RNA-based drug pipeline. This positive momentum highlights the company's strong position in the biotechnology sector and its potential for continued growth as it capitalizes on its innovative therapies.

Alnylam is a leading company focused on developing gene-silencing technologies to address significant unmet medical needs. The launch of vutrisiran for transthyretin (TTR) amyloidosis exceeded expectations, with second-quarter sales coming in well above consensus expectations. The company also substantially raised its TTR sales guidance, which drove the stock higher.

Alnylam Pharmaceuticals (ALNY) reported strong second quarter results driven by a faster-than-consensus expected launch of Amvuttra in the newly approved cardiomyopathy indication. This performance highlights the company's growth potential and the successful execution of its product strategy, positioning it favorably in the biotechnology sector.

We added Alnylam Pharmaceuticals, a commercial stage biotechnology company and world leader in RNA interference, a technology that selectively shuts off the production of any protein at the genetic level. The company’s platform of five approved drugs can be used to treat a broad array of rare and common diseases as well as consistently generate new drug candidates. We do not believe the market appreciates the potential value of Alnylam’s core Amvuttra franchise to treat a liver condition that can lead to heart failure. It also has several early-stage pipeline assets, including opportunities in high blood pressure and Huntington’s Disease.

We refined our health care exposure, swapping Sarepta Therapeutics for a new position in Alnylam Pharmaceuticals. Alnylam is a biopharmaceutical company focused on RNA interference therapeutics for genetic diseases. We like Alnylam due to its broad, robust and repeatable drug development process and pipeline, and believe the anticipated 2025 launch of its new product designed to treat heart failure represents a substantial growth opportunity within an underpenetrated market.