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Genmab upgraded to Buy at Guggenheim on royalty revenue upside potential

As previously reported, Guggenheim analyst Michael Schmidt upgraded Genmab (GMAB) to Buy from Neutral with a $43 price target, citing increased conviction in Epkinly’s outlook for the treatment of aggressive and indolent lymphomas. The asset, partnered with AbbVie (ABBV), has “multi-billion” revenue potential that is underappreciated by the Street, says the analyst, who believes growth concerns post-Darzalex patent exclusivity loss are now fully reflected in Genmab’s valuation, but not near-term upside potential to Street estimates for royalty revenue.

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