(Boursier.com) — Sanofi camped on 86.40 euros in Paris this Wednesday, while the news of the pharmaceutical giant was marked by a note from Santander which began monitoring the value with an ‘outperform’ opinion and a price of 113 euros in the viewfinder. Stifel, which had raised its recommendation on the stock to ‘purchase’, targeted 109 euros… The broker explained that it had focused on the group’s pipeline while it is convinced that the main reason for the discount applied to Sanofi compared to its peers is linked to its low productivity in ‘R&D’. With the exception of Dupixent, which also came from a collaboration with Regeneron, the company has not delivered any significant drug for more than a decade!
The broker surveyed KOLs (doctor influencers) in the fields of dermatology, respiratory diseases and MS about Sanofi’s relative positioning compared to its peers. He discussed in detail 8 of the firm’s 9 potential non-vaccine blockbusters. Two were deemed too early in their development to evaluate, two were met with skepticism, but four received positive feedback. Amlitelimab, itepekimab and frexalimab were specifically identified as promising drug candidates… Overall, the analyst fully supports Sanofi’s goal of having new drugs contributing to more than 10 billion euros of sales in 2030, with a risk-adjusted figure of almost 12 billion euros.
Its model now adjusts with better probability the value of the pipeline, and Stifel is reasonably optimistic that Sanofi can post a strong short-term growth cycle driven by Dupixent and Beyfortus (CAGR of 11% of EPS over 2024-27 ), followed by an enhanced pipeline delivery phase. If this is the case, the current valuation does not reflect the potential, according to the broker. The latter thus returned to ‘purchase’ on the file…
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