Leqembi And Skyclarys Expected To Drive Biogen's Future Growth: Analysts

On Wednesday, Biogen Inc BIIB reported fourth-quarter adjusted EPS of $3.44, up 17%, beating the consensus of $3.35.

The company reported sales of $2.46 billion, up 2% year over year on constant currency and 3% on a reported basis, beating the consensus of $2.40 billion.

Needham analyst Ami Fadia expects challenges in the multiple sclerosis segment, as growth from key product launches isn’t enough to make up for declines.

While Leqembi sales performed well outside the U.S. and Skyclarys is set to grow internationally, Medicare Part D changes will hit its U.S. sales, reducing revenue by about $15–$30 million. The analyst expects it will take time for the business to regain momentum.

As a result, revenue projections for 2025 have been lowered, affecting longer-term estimates. The firm remains cautious, awaiting clearer signs of growth from the company’s pipeline, existing drugs, or business development. Needham maintains a Hold rating.

HC Wainwright analyst Ananda Ghosh expects lecanemab’s growth to gain momentum once blood-based biomarkers, which could be approved in the second half of 2025, help reduce challenges related to MRI scans.

Given the guidance of a year-over-year revenue decline, the HC Wainwright analyst re-evaluates revenue estimates, given the near-term headwinds. Thus, the price target is reduced to $241 from $300, maintaining the Buy rating.

Oppenheimer analyst Jay Olson expects Leqembi and Skyclarys to boost long-term revenue, though it may take time for that growth to materialize. He also sees the Fit-for-Growth initiatives helping improve operating margins over time.

With an Outperform rating and $255 price target, Olson is optimistic about the competitive landscape, noting that evidence favors ongoing treatment rather than a fixed duration. As a result, Oppenheimer anticipates some patients may switch from donanemab to Leqembi, especially with the availability of a subcutaneous (subQ) version.

RBC Capital Markets says Biogen has effectively streamlined its research and development priorities and optimized expenses, as reflected in its fourth-quarter results and 2025 guidance, leading to a stronger core business structure.

Analyst Brian Abrahams believes Biogen’s stock is undervalued compared to its actual business fundamentals. He suggests that progress with Leqembi’s subcutaneous version or EU approvals, a pipeline success, or favorable deals could help shift investor sentiment and narrow this gap.

RBC Capital has lowered the price target to $225 from $231 with an Outperform rating.

Truist writes Leqembi’s growth remains the main focus for both Biogen and investors. While new formulations and blood-based diagnostics may support growth in 2025, they don’t anticipate significant breakthroughs.

Analyst Srikripa Devarakonda maintains the Buy rating while lowering the price target from $220 to $210.

Price Action: BIIB stock is up 4.06% at $138.85 at last check Thursday.

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