Summary
Evercore ISI raised its price target on Vir Biotechnology stock to $18 from $12 and maintained an Outperform rating, citing clinical and corporate developments tied to the company’s PSMAxCD3 dual-masked bispecific antibody, VIR-5500. The analyst update follows a new strategic partnership with Astellas and the release of Phase 1 data indicating clinical activity for the asset.
Clinical and partnership developments
Evercore ISI highlighted the Phase 1 readout for VIR-5500 and the deal with Astellas as the principal reasons for its more bullish valuation. According to the research note, the efficacy displayed in the early data appears competitive when compared across trials of other bispecific antibodies in development. The analyst also pointed to what it described as a differentiated safety profile for VIR-5500 and initial signs that responses may be durable.
The analyst team framed the Astellas agreement as a validation of VIR-5500’s potential, noting that the partnership creates a path to move the program into earlier lines of therapy and to advance to Phase 3 more efficiently by leveraging Astellas’ development experience and capital resources.
Balance sheet and corporate context
Evercore ISI’s note also referenced the company’s financial position, reporting that Vir Biotechnology holds more cash than debt on its balance sheet. The firm said that this financial flexibility supports continued development activities and underpins the positive reassessment of the company’s outlook tied to VIR-5500.
Impact on investment thesis
The research house labelled the combined effect of the Astellas collaboration and the Phase 1 data as strongly positive for its investment thesis. In the firm’s view, the deal and the initial clinical evidence are a significant win for Vir and could have broader implications for the rest of its bispecific antibody pipeline.
Market performance and valuation context
At the time of the update, the stock was trading at $7.43, with analyst targets in the market spanning from $12 to $26. The shares have risen roughly 62% over the past six months. Evercore ISI’s move to raise the target reflects its reassessment of the company’s prospects given the clinical readout and strategic partnership.
Recent financial results
Separately, the company reported fourth-quarter and full-year 2025 results that significantly beat expectations for both earnings per share and revenue. The earnings beat was noted as a positive development and was well-received by investors, although no specific intraday stock reaction is provided here. Analysts’ prior projections were outpaced by the company’s reported performance, a noteworthy data point for evaluating Vir’s near-term financial trajectory.
Additional resources
For investors seeking further analysis, a comprehensive Pro Research Report covering Vir and more than 1,400 other U.S. equities is available.
Conclusion
Evercore ISI’s revision to an $18 price target reflects a combination of early clinical promise for VIR-5500, strategic validation through the Astellas partnership, and a balance sheet that the firm views as supportive of ongoing development. The firm characterizes the news flow as strongly positive for its investment thesis while noting that the initial Phase 1 data and the commercial-development collaboration are central to the reassessment.