RBC says hotline sign of possible imminent approval for Biogen

Sometime today, Eisai’s patient assistance hotline for Alzheimer’s drug Leqembi became active, whereas for the last several weeks the phone number had not been activated, RBC Capital analyst Brian Abrahams tells investors in a research note. While it is possible this is a typical planned process one day ahead of an FDA action date, companies often will have some sense approaching their PDUFA how close their drug may be to approval, says the analyst. He believes a patient assistance hotline using the drug’s actual brand name becoming activated one day before the FDA action date suggests an increased likelihood of approval taking place tomorrow, or in relatively short order. Abrahams sees ultimate approval as "very likely" and a favorable setup in Biogen shares. He has an Outperform rating on Biogen with a $362 price target and believes expectations for Leqembi are too conservative.