Recommendation: Buy
| Entry Date | Symbol | Recommendation | Entry Price (USD) | Target 1 (USD) | Target 2 (USD) | Holding Duration | Position Status | Return(%)* |
|---|---|---|---|---|---|---|---|---|
| 20 Aug, 25 | REGN | Buy | USD 571.78 | USD 600.0 | USD 630.0 | 1 day | Closed |
5.81%
|
*Return(%) represent the percentage change between the entry price and exit price of the recommendation.
Data Powered by EOD Historical Data (“EODHD”).
Regeneron Pharmaceuticals, Inc. discovers, invents, develops, manufactures, and commercializes medicines for treating various diseases worldwide. The company's products include EYLEA injection to treat wet age-related macular degeneration and diabetic macular edema; myopic choroidal neovascularization; diabetic retinopathy; neovascular glaucoma; and retinopathy of prematurity. It also provides Dupixent injection to treat atopic dermatitis and asthma in adults and pediatrics; Libtayo injection to treat metastatic or locally advanced cutaneous squamous cell carcinoma; Praluent injection for heterozygous familial hypercholesterolemia or clinical atherosclerotic cardiovascular disease in adults; REGEN-COV for covid-19; and Kevzara solution for treating rheumatoid arthritis in adults. In addition, the company offers Inmazeb injection for infection caused by Zaire ebolavirus; ARCALYST injection for cryopyrin-associated periodic syndromes, including familial cold auto-inflammatory syndrome and muckle-wells syndrome; and ZALTRAP injection for intravenous infusion to treat metastatic colorectal cancer; and develops product candidates for treating patients with eye, allergic and inflammatory, cardiovascular and metabolic, infectious, and rare diseases; and cancer, pain, and hematologic conditions. It has collaboration with Mammoth Biosciences, Inc. to research, develop and commercialize in vivo CRISPR-based gene editing therapies for multiple tissues and cell types. The company was incorporated in 1988 and is headquartered in Tarrytown, New York.
Libtayo Expansion: Global sales rose 27% to USD 377 million in Q2FY25 from USD 297 million in Q2FY24
Dupixent Growth: Global net sales increased 22% to USD 4.34 billion (Q2FY25) compared to USD 3.55 billion (Q2FY24)
Gross Margin Compression: GAAP gross margin on product sales decreased from 87% in Q2FY24 to 83% in Q2FY25, reflecting higher manufacturing costs and inventory write-offs
EYLEA Decline: Combined U.S. sales of EYLEA and EYLEA HD dropped 25% to USD 1.15 billion in Q2FY25 from USD 1.54 billion in Q2FY24, largely due to competitive pressures and patient shifts
Regeneron faces investment risk from regulatory and manufacturing uncertainties, particularly related to third-party suppliers such as Catalent, which could delay approvals and commercialization of key products like EYLEA HD and odronextama
| Entry Price | Support* | Target 1** | Target 2** |
|---|---|---|---|
| 571.78 | 520.0 | 600.0 | 630.0 |
Data Source: REFINITIV, Analysis: StockNextt
*Support can be considered as an indicative stop-loss, and if prices move below that level on closing basis individuals may evaluate exiting the position depending on their risk appetite, previous holdings, and other factors considered. The support and resistance levels may need to be re-evaluated within 4-6 weeks’ time frame depending on the stock price movements from the date of recommendation on the stock.
**Target prices may vary by ±0.5% depending on market volatility.
Revenue and Profitability Overview: Regeneron Pharmaceuticals, Inc. reported second-quarter 2025 revenues of USD 3.68 billion, representing a 4% year-over-year increase compared to USD 3.55 billion in the same period of 2024. Non-GAAP net income rose by 5% to USD 1.42 billion, while diluted non-GAAP earnings per share advanced 12% to USD 12.89, reflecting strong operating leverage. However, GAAP net income decreased 3% to USD 1.39 billion, although GAAP diluted EPS rose modestly by 3% to USD 12.81, primarily supported by share repurchases.
Product and Collaboration Performance: The company’s portfolio demonstrated mixed trends during the quarter. Dupixent® global net sales, recorded by Sanofi, surged 22% to USD 4.34 billion, continuing its trajectory as a leading growth driver. EYLEA HD® sales in the U.S. grew 29% year-over-year to USD 393 million, offsetting in part the 39% decline in legacy EYLEA® sales to USD 754 million. Overall, combined U.S. EYLEA HD and EYLEA revenues dropped 25% to USD 1.15 billion. Meanwhile, Libtayo® achieved strong growth, with global sales increasing 27% to USD 377 million, reflecting expanded clinical uptake.
Regulatory and Pipeline Developments: The quarter was marked by significant regulatory milestones. The FDA approved Lynozyfic™ (linvoseltamab) for relapsed or refractory multiple myeloma and expanded Dupixent approvals for bullous pemphigoid and chronic spontaneous urticaria, its seventh and eighth indications. Additionally, the FDA accepted a priority review for Libtayo in adjuvant cutaneous squamous cell carcinoma (CSCC) with a decision expected in October 2025. On the other hand, the company received a Complete Response Letter (CRL) for odronextamab due to site inspection issues at Catalent Indiana, highlighting ongoing manufacturing-related risks.
Research and Development Expansion: Research and development expenses increased by 19% year-over-year on a GAAP basis, reaching USD 1.42 billion, as the company advanced its mid- and late-stage pipeline. Interim results from the COURAGE trial in obesity demonstrated meaningful preservation of lean body mass when combining semaglutide with trevogrumab. Additionally, Regeneron initiated a Phase 3 program for REGN7508, targeting prevention of venous thromboembolism, and reported encouraging outcomes in COPD through itepekimab, despite mixed trial results.
Financial Discipline and Capital Allocation: The company displayed disciplined financial management. Selling, general, and administrative (SG&A) expenses declined 16% year-over-year to USD 634 million on a GAAP basis, while the gross margin on product sales decreased to 83% from 87%, driven by higher manufacturing costs and write-offs. Regeneron returned over USD 2.3 billion to shareholders via buybacks and dividends and committed more than USD 7 billion toward U.S. manufacturing capacity, capital expenditures, and business development in 2025.
Corporate and Strategic Developments: Beyond R&D, Regeneron executed a strategic in-licensing agreement with Hansoh Pharmaceutical for rights to HS-20094, a dual GLP-1/GIP receptor agonist in Phase 3 development. This move enhances its metabolic disease portfolio and potential obesity combinations. The company also secured an FDA Priority Review Voucher for USD 155 million and achieved a favorable jury verdict against Amgen in an antitrust case involving Praluent®. Furthermore, Regeneron announced a USD 200 million matching donation program with Good Days to expand patient access to vision-care medicines.
Guidance and Outlook: For full-year 2025, Regeneron reaffirmed its growth outlook while slightly tightening R&D and SG&A ranges. GAAP R&D is now expected between USD 5.66–USD 5.79 billion, and SG&A between USD 2.81–USD 2.94 billion. Gross margin guidance was narrowed to approximately 83% GAAP and 86% non-GAAP, while capital expenditures are forecast at USD 880–USD 950 million. Despite near-term margin pressures and regulatory uncertainties, management reiterated confidence in the company’s long-term growth prospects, supported by a robust pipeline and continued expansion of Dupixent and Libtayo.
Considering recent key business, financial updates, current trading levels, and key business risks, a ‘Buy’ recommendation has been given on Regeneron Pharmaceuticals, Inc. (NASDAQ: REGN) at the closing market price of USD 571.78, as on August 19, 2025.
Data Powered by EOD Historical Data (“EODHD”).
Sector: Healthcare Industry: Biotechnology
| Company | Change (USD) | Price (USD) | Trailing PE (x) | Forward PE (x) | Price Sales TTM (x) | Price to Book Value (x) | Enterprise Value to Revenue (x) | Enterprise Value to EBITDA (x) |
|---|---|---|---|---|---|---|---|---|
| REGN Regeneron Pharmaceuticals Inc |
0.94 0.13% | 747.30 | 29.07 | 20.12 | 7.57 | 3.82 | 6.95 | 19.42 |
| NVO Novo Nordisk A/S |
-0.8239 1.68% | 48.14 | 41.58 | 31.15 | 2.13 | 32.99 | 2.11 | 4.70 |
| NONOF Novo Nordisk A/S |
-0.63 1.29% | 48.19 | 41.06 | 31.25 | 2.08 | 33.11 | 2.11 | 4.70 |
| VRTX Vertex Pharmaceuticals Inc |
-3.955 0.87% | 451.00 | 29.67 | 24.33 | 10.38 | 5.83 | 9.33 | 20.00 |
| CSLLY CSL Ltd |
-1.62 2.75% | 57.20 | 42.45 | 26.95 | 7.05 | 5.80 | 7.85 | 26.51 |
Data Powered by EOD Historical Data (“EODHD”).
Related Risks: This report may be looked at from high-risk perspective and recommendations are provided are for a short duration. Recommendations provided in this report are solely based on technical parameters, and the fundamental performance of the stocks has not been considered in the decision-making process. Other factors which could impact the stock prices include market risks, regulatory risks, interest rates risks, currency risks, social and political instability risks etc.
Note 1: Past performance is not a reliable indicator of future performance.
Note 2: The reference date for all price data, currency, technical indicators, support, and resistance levels is August 19,2025. The reference data in this report has been partly sourced from REFINITIV.
Support: A level at which the stock prices tend to find support if they are falling, and a downtrend may take a pause backed by demand or buying interest. Support 1 refers to the nearby support level for the stock and if the price breaches the level, then Support 2 may act as the crucial support level for the stock.
Target: A level at which the stock prices tend to find resistance when they are rising, and an uptrend may take a pause due to profit booking or selling interest. Target 1 refers to the nearby resistance level for the stock and if the price surpasses the level, then Target 2 may act as the crucial resistance level for the stock.
Stop-loss: It is a level to protect further losses in case of unfavourable movement in the stock prices.
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