Regeneron Pharmaceuticals (REGN) - Get Report shares rose Thursday, after SunTrust analyst Robyn Karnauskas upgraded her rating on the biopharmaceutical stalwart to buy from hold and lifted her share-price target to $750 from $400.
That target is the highest of 28 Wall Street analysts tracked by Bloomberg.
Regeneron is about more than its antiviral antibody cocktail to prevent and treat the coronavirus, Karnauskas wrote in a commentary cited by Bloomberg.
She mentioned the company’s thriving medicines Eylea, which treats serious eye problems, Dupixent, which treats serious allergies, and its pipeline of cancer drugs, which is undervalued by investors she said.
Regeneron’s core business has “demonstrated strength” in the face of the Covid-19 pandemic, Karnauskas said.
As for Regeneron’s coronavirus treatment, REGN-Cov2, it “can be made quickly with their manufacturing capacity,” she wrote.
The company said earlier this month that it started a Phase III trial for the drug cocktail. If the treatment is approved, every $1 billion in sales would add an additional $6 to SunTrust’s model for Regeneron earnings, Karnauskas said.
Earlier this week, Regeneron was awarded a $450 million contract from the U.S. government to produce the coronavirus treatment.
Regeneron said the contract would assist with its plans to ramp up production of the drug, if clinical trials are successful and the Food and Drug Administration grants emergency-use authorization or product approval.
Regeneron recently traded at $646.69, up 1%. The stock has gained 28% over the past three months and 71% over the past six months. It has more than doubled over the past 12 months.