Jefferies sees 10%-15% upside for Ardelyx if HR-5074 bill passes

Jefferies notes that Congress has moved HR-5074 into the markup phase, which raises the odds of the bill passing. The big debate around Ardelyx has been around Xphozah’s reimbursement and how investors should think about oral phosphate lowering drugs moving into the dialysis bundle, but this bill passing should lift a near-term overhang as Xphozah’s revenue growth should be preserved into 2029 versus 2027, the analyst tells investors. The firm, which sees 10%-15% upside for Ardelyx if this bill passes and adds that the firm’s DC expert says it is “relatively derisked once a bill is in the markup phase,” reiterates a Buy rating and $11 price target on Ardelyx shares.