ESALF - Biogen: Don't Overthink This One
2024-04-30 12:47:04 ET
Summary
- Biogen Inc.'s Alzheimer therapy, Leqembi, is finally gaining traction with Q1 '24 sales of $19 million, nearly tripling Q4 revenues.
- The drug has faced challenges in gaining coverage and reimbursement, but it is expected to reach multi-billion dollar sales levels by decade's end.
- Biogen's overall sales have been declining, but the combination of Leqembi and other new drugs could help stem the decline and lead to sales growth by the end of 2024.
- The stock only trades at 12x '25 EPS targets based on conservative sales estimates.
Biogen Inc. ( BIIB ) just reported a quarter where their Alzheimer's therapy is finally gaining traction. The stock has only made a slight bounce off the bottom, providing the opportunity to jump onto the story for a stock that topped $300 last year. My investment thesis remains Bullish on the stock due to valuation and this potential drug catalyst finally materializing....
Biogen: Don't Overthink This One