Why Is BioMarin Stock Trading Higher On Thursday?

On Wednesday, BioMarin Pharmaceutical Inc. BMRN reported fourth-quarter adjusted EPS of 92 cents, up from 49 cents reported a year ago, beating the consensus of 53 cents.

The company reported sales of $747.31 million, beating the consensus of $713.44 million. Total Revenues increased 16% year over year, driven by Voxzogo contributions from new patient starts in all regions.

In the quarter, revenues from BioMarin's Enzyme Therapies increased 9%, driven by increased patient demand in all regions and the timing of large government orders in certain regions outside the U.S.

Also Read: Why Is Rare Disease Focused Ascendis Pharma Stock Trading Higher On Thursday?

Guidance: BioMarin Pharmaceutical expects fiscal year 2025 adjusted EPS of $4.20-$4.40 versus consensus of $3.04. The company expects 2025 sales of $3.1 billion-$3.2 billion versus a consensus of $3.11 billion.

"We expect 2025 to be another year of strong execution and growth in our Skeletal Conditions business unit, led by the continued global expansion of VOXZOGO for achondroplasia…In summary, we expect continued high performance as we benefit from BioMarin's revamped corporate strategy and operating model in 2025 and beyond," said Alexander Hardy, President and CEO of BioMarin.

In 2025, the company will continue to implement additional components of the $500 million cost transformation program announced in September of 2024, with full realization of benefits expected in 2026.

This ongoing integration of efficiencies in 2025 will enable BioMarin to realize a 40% adjusted operating margin in 2026.

William Blair notes that while BioMarin achieved its financial targets in 2024, its current valuation already accounts for expected revenue growth over the next 12–18 months.

Analyst Sami Corwin sees the limited expansion of Voxzogo's market until 2030–2031, when potential approvals for idiopathic short stature, Noonan syndrome, Turner syndrome, and SHOX deficiency could broaden its reach. A smaller boost may come in 2027 if its label expands to hypochondroplasia (HCH).

Corwin also flags Ascendis Pharma A/S' ASND navepegritide as a potential challenge for Voxzogo, with a near-term stock overhang as Ascendis moves toward a possible NDA submission in early 2025.

Beyond Voxzogo, BioMarin's enzyme therapy unit provides stable but modest revenue growth, though upcoming competition for Palynziq in 2025 could affect its compound annual growth rate.

Analyst Reaction:

BofA Securities maintains BioMarin with a Buy, raising the price target from $99 to $103.
Piper Sandler maintains BioMarin with an Overweight rating while raising the price target from $122 to $126.

Price Action: BMRN stock is up 3.19% at $67.70 at the last check on Thursday.

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