Biogen (BIIB) Stock Forecast & Price Target

Biogen is experiencing a robust expansion in its biopharmaceutical offerings, particularly with new product launches like Leqembi, Skyclarys, and Zurzuvae, which have exceeded consensus expectations and are expected to drive significant revenue increases over the coming years. With the potential contribution of key launches estimated at $2.5-3.0 billion by 2030, Biogen's diversified pipeline, encompassing treatments for neurological and rare diseases, positions the company for meaningful long-term growth despite a temporary decline in its established multiple sclerosis franchise. Additionally, Biogen's strategic management and collaboration agreements, particularly in oncology and neurology, bolster its revenue streams and enhance the overall outlook for the company's financial performance.

Biogen's financial outlook appears negatively influenced by the anticipated launch of Sandoz's biosimilar Tyruko, which is expected to exert downward pressure on its multiple sclerosis (MS) portfolio, projecting a 6% decline in MS revenues from the first half of 2025 to the second half of 2025. Furthermore, the introduction of biosimilars is expected to lead to a 50% reduction in royalties from the Ocrevus drug beginning in 2029, significantly affecting the company's profit margins, and resulting in a projected EBITDA CAGR of -4% from 2026 to 2030. Additionally, there are concerns regarding ongoing revenue stagnation due to a flat revenue compound annual growth rate (CAGR) and potential pressures from underperforming newer therapies such as Skyclarys and uncertainties surrounding lupus clinical trials.