Barclays has opened coverage on Biogen Inc. with an Equalweight rating and established a $185.00 price target, the bank said on Thursday. Analyst Carter Gould is the lead on the name as Barclays formalizes its view on the Cambridge, Massachusetts-based biopharmaceutical company.
Gould framed Biogen as a company that has shown "tangible improvement both commercially and from a pipeline perspective," adding that successful progress from the pipeline could create additional upside. At the same time, he noted that immediate upside remains conditional on forthcoming pipeline developments, and Barclays is initiating coverage with an EW rating while markets await that news.
Barclays' $185 price target sits below where Biogen is currently trading. The stock is quoted at $192.08, a level that already reflects a roughly 40% gain over the last year. Separately, InvestingPro analysis cited in the original reporting places a Fair Value for Biogen at $257, indicating that some valuation frameworks suggest further upside beyond recent gains. The InvestingPro platform tracks over 1,400+ U.S. equities and produces Pro Research Reports intended to distill complex data for investors.
Investor attention has also been drawn to Biogen's fourth-quarter financial performance. According to Bernstein, the company outperformed consensus on both top- and bottom-line metrics, with revenue exceeding estimates by 3% and earnings per share surpassing consensus by 17%. That stronger-than-expected quarter has prompted multiple analysts to revisit their outlooks and price targets for the stock.
Several firms have adjusted their targets and recommendations in light of recent results and commercial developments. TD Cowen moved its price target to $215 from $175 while maintaining a Buy rating. RBC Capital lifted its target to $233 from $217, citing Biogen's stability and commercial execution. Goldman Sachs reiterated a Buy stance with a $231 price target and pointed to the performance of partner Eisai's Leqembi, which generated roughly $134 million in fourth-quarter revenue. BMO Capital also raised its target to $196, highlighting the potential for Biogen's Spinraza treatment.
These moves reflect a broader reassessment among analysts following Biogen's quarterly results and recent commercial trends. Barclays' initiation provides a measured stance: recognizing recent operational improvements and potential pipeline-driven upside while maintaining a neutral Equalweight recommendation until clearer evidence from the pipeline emerges.
Key points
- Barclays begins coverage of Biogen with an Equalweight rating and a $185 price target.
- Analyst Carter Gould cites commercial and pipeline improvement but awaits further pipeline news before assigning a more bullish view.
- Biogen's recent quarterly results beat estimates and have prompted other firms to raise price targets, with several citing product performance and commercial execution.
Risks and uncertainties
- Pipeline outcomes remain uncertain - Barclays explicitly notes further upside is contingent on future pipeline news.
- Market valuation is already above Barclays' target - the stock trades higher than the $185 target, which could constrain near-term upside absent new catalysts.
- Analyst expectations vary - differing price target revisions and ratings from other firms underscore continued uncertainty in consensus valuation and commercial trajectory.