Analyst Recommendations for Exelixis in August



Cabozantinib franchise revenue trends

In the second quarter, Exelixis’s (EXEL) cabozantinib franchise generated revenues of $145.8 million, which was a ~66% YoY (year-over-year) growth. Cabometyx and Cometriq, the cabozantinib drugs, generated revenues of $141.1 million and $4.7 million, respectively.

Exelixis’s net product revenues grew 9% sequentially in the second quarter. For patient demand, Cabometyx increased ~16% sequentially, which was partially offset by a slight decline in trade inventory of ~$3 million. The decrease in trade inventory weeks primarily led to the decline in trade inventory.

In the second quarter, Ipsen, Exelixis’s partner, generated cumulative revenues of $150 million from sales of cabozantinib. That led to an increase in royalty revenues for Exelixis, which earned 22% of its net sales through Ipsen.

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In May, the European Commission approved the label expansion of Cabometyx 20 mg (milligram), 40 mg, and 60 mg to include the treatment of adult individuals with intermediate-risk or poor-risk advanced renal cell carcinoma. Ipsen can now commercialize the drug in member European Union countries for that indication.

Analyst recommendations

Of the eight analysts tracking Exelixis (EXEL) in August, two of them have recommended a “strong buy,” five have recommended a “buy,” and one has recommended a “hold.” On August 7, Exelixis had a consensus 12-month target price of $32.50, which represents a ~53.52% return on investment over the next 12 months.

Peer ratings

In August, ~83% of the 23 analysts tracking Vertex Pharmaceuticals (VRTX) recommended a “buy” for the stock. Of the nine analysts tracking Clovis Oncology (CLVS), ~78% have recommended a “buy.” Of the nine analysts tracking Loxo Oncology (LOXO), ~89% have recommended a “buy.”

On August 7, Vertex Pharmaceuticals, Loxo Oncology, and Clovis Oncology had consensus 12-month target prices of $196.52, $212.57, and $69.17, respectively. That represents returns on investment of ~10.71%, ~22.35%, and ~87.55%, respectively, over the next 12 months.


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