Eisai Co.’s (TYO:4523) Alzheimer’s drug Leqembi is showing early signs of a long-awaited sales inflection, analysts at Bernstein said, adding that the Japanese drugmaker’s stock remains undervalued despite recent gains.
Bernstein analysts said Eisai’s first-quarter fiscal 2025 sales of 23 billion yen ($152 million) exceeded consensus by 60%, with underlying demand-based growth of 21% from the prior quarter.
Analysts noted that pre-treatment pathways in the U.S. are improving, with amyloid-beta testing volumes rising 20% quarter-over-quarter, indicating sustained demand.
Shares of Eisai have risen more than 30% since late July after hitting an 11-year low in March, but the stock still trades below levels seen before Leqembi’s Phase 3 results in 2022, analysts said.
Bernstein rated Eisai “outperform” with a price target of 6,000 yen, about 16% above Friday’s close of 5,161 yen.
Analysts highlighted recent regulatory wins, including U.S. approval of a subcutaneous maintenance formulation of Leqembi, which they said boosts confidence in the pending filing for induction use.
A simpler blood-based biomarker test for Alzheimer’s, cleared by the U.S. Food and Drug Administration in May and set for Medicare coverage from 2026, should also ease patient access, analysts added.
Source :
https://www.investing.com/news/stock-market-news/eisai-alzheimers-drug-leqembi-shows-early-signs-of-momentum-shift--bernstein-4250237
