HRMY - Biogen Sage are new buys as Needham initiates coverage on neuro-focused stocks

Biogen (NASDAQ:BIIB) and Sage Therapeutics (NASDAQ:SAGE) have been granted buy ratings at Needham as the firm initiated the coverage on companies focused on neurological diseases despite hurdles for therapeutic development in an area with a significant unmet need. For Biogen (BIIB), the analyst Ami Fadia projects more than $6 billion worldwide sales from the company’s controversial Alzheimer’s therapy Aduhelm, compared to $6.4 billion in consensus. While Street expects a contraction for the company’s base business, expected to decline at ~8% CAGR from 2020 to 2026 amid diminishing multiple sclerosis franchise, “we estimate Biogen's deep pipeline can drive risk-adjusted sales of >$3B in 2026 and >$6B in 2030,” Fadia wrote. Attributing the recent weakness in Biogen (BIIB) shares to concerns over slower than expected launch of the new Alzheimer’s drug, the analyst said: “We believe Aduhelm will be a blockbuster and that this is underappreciated by the Street." The price target

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Biogen, Sage are new buys as Needham initiates coverage on neuro-focused stocks