Wedbush has raised its 12-month price target on Kiniksa Pharmaceuticals Inc. shares to $53 from $50 while maintaining an Outperform rating on the stock. The company’s shares were trading at $44.49, representing a 141% gain over the prior 12 months. Market data included in the overview assigns a Fair Value of $54.61, suggesting potential upside relative to the prevailing market price.
The brokerage firm arrived at its updated target using a sum-of-parts framework that values the company’s clinical and commercial programs individually. For Arcalyst, Wedbush applies an 8x multiple to Kiniksa’s estimated U.S. sales in two indications - recurrent pericarditis and cryopyrin-associated periodic syndromes (CAPS) - projected for 2028. Those modeled 2028 revenues are then discounted back to present value using a 12% discount rate.
Separately, the firm assigns an 8x multiple to projected sales of KPL-387 in recurrent pericarditis in 2032, applying a steeper 20% discount rate to reflect the longer timeline. Wedbush says the recent change to its overall price target is largely attributable to adjusted expectations around the launch timing for KPL-387. Despite the adjustment, the firm reiterated its Outperform rating on Kiniksa.
On the company reporting front, Kiniksa posted robust financial results for the fourth quarter of 2025. The quarter featured notable growth in Arcalyst product revenues and a swing to net income of $14.2 million, a marked improvement from a net loss in the same quarter a year earlier. The earnings result was framed by management as evidence of stronger revenue generation, although the stock traded lower in pre-market activity following the release.
There have been no recent analyst upgrades or downgrades reported around the company following these developments. Market observers are left to weigh the company’s improved near-term financial performance against the valuation assumptions embedded in Wedbush’s model, particularly those tied to product launches and long-dated revenue streams.
Contextual note: The updated target and the valuation methodology emphasize explicit revenue multiples and discount rates for forecast years 2028 and 2032, and identify launch expectations for KPL-387 as the primary driver of the target change.