Leerink Partners analyst David Risinger maintained a Hold rating on Halozyme (HALO – Research Report) on May 6 and set a price target of $63.00.
David Risinger has given his Hold rating due to a combination of factors influencing Halozyme’s stock performance. Despite raising the price target from $58 to $63, based on improved financial projections and a 3% increase in both expected 2025 earnings per share and revenue, the overall outlook remains cautious. The company’s first-quarter 2025 results exceeded expectations, with a notable 14% EPS beat driven by higher revenue and lower expenses. However, the absence of new ENHANZE deals and the uncertainty surrounding the upcoming 2028 IRA guidance contribute to a conservative stance.
While management is optimistic about signing at least one new ENHANZE deal in 2025, the potential impact of the IRA guidance on combo drugs remains a significant risk factor. Positive guidance could slightly boost Halozyme’s stock, but negative guidance could have a more substantial adverse effect. These uncertainties, along with the reliance on future pipeline contributions, underpin the decision to maintain a Hold rating, reflecting a balanced view of potential risks and opportunities.
In another report released on May 6, Wells Fargo also maintained a Hold rating on the stock with a $65.00 price target.
HALO’s price has also changed slightly for the past six months – from $60.630 to $59.380, which is a -2.06% drop .