TD Cowen analyst Marc Frahm maintained a Buy rating on Incyte (INCY – Research Report) today and set a price target of $86.00.
Marc Frahm has given his Buy rating due to a combination of factors including Incyte’s strong performance in the first quarter and promising updates on povorcitinib. The stock is trading at a relatively low multiple of the projected 2028 earnings per share, suggesting that the market has already accounted for the loss of exclusivity of Jakafi in 2028. Furthermore, the potential of Incyte’s pipeline, including mCALR, JAK2V617F, CDK2, and Opzelura expansions, presents opportunities for growth beyond 2029.
Recent data from the Phase III trials of povorcitinib in hidradenitis suppurativa show improved response rates, which, although still lagging behind UCB’s bimekizumab, have narrowed the gap. This improvement is consistent with earlier Phase II observations and suggests a deepening of responses over time. Despite some limitations in the trial comparisons, these positive developments contribute to the optimistic outlook for Incyte’s future performance.
In another report released today, Bank of America Securities also maintained a Buy rating on the stock with a $89.00 price target.
Based on the recent corporate insider activity of 85 insiders, corporate insider sentiment is negative on the stock. This means that over the past quarter there has been an increase of insiders selling their shares of INCY in relation to earlier this year.