6. Roivant Sciences Ltd. (NASDAQ:ROIV)
Number of Hedge Fund Holders In Q2 2024: 62
Average Analyst Share Price Target: $17.06
Average Analyst Share Price Target Upside: 42%
Roivant Sciences Ltd. (NASDAQ:ROIV) is a biotechnology company that consolidates patents and develops medicines to sell in the market. Just as is the case with every other biotechnology company, the firm’s hypothesis depends on its ability to commercialize drugs and maintain a robust drug pipeline for future growth. On these fronts, Roivant Sciences Ltd. (NASDAQ:ROIV) entered into a $1.2 billion deal in September that opened up the potential for $175 million in upfront payments to help the firm deal with operating expenses and develop new drugs. Speaking of which, the firm currently has three treatments in its pipeline through its subsidiary Immunovant. These are the IMVT-1402 drug for autoimmune diseases, mosliciguat for pulmonary hypertension stemming from lung disease, and brepocitinib for psoriasis. On this front, its shares moved marginally in September when data for mosliciguat showed a 38% reduction in resistance which was “one of the highest reductions seen” according to Roivant Sciences Ltd. (NASDAQ:ROIV). Other potential tailwinds for the firm include favorable court rulings in liquid nanoparticle lawsuits that could see the firm receive billions in royalties from Pfizer and Moderna for their coronavirus vaccines.
Roivant Sciences Ltd. (NASDAQ:ROIV)’s management shared details for brepocitinib and IMVT-1402 during the Q1 2025 earnings call:
“We have continued clinical development beyond that in our pipeline including in brepocitinib where we’ll be beginning our Phase 3 program in NIU shortly where we have data coming in namilumab and sarcoidosis and so on. We’re very much looking forward to. We’ll talk a little bit about VTAMA today, but the story for VTAMA for this year is really the expansion of the label with AD and some acceleration of psoriasis, certainly volumes and revenues are over time. And then we continue to be hard at work expanding our pipeline looking at mid-late-stage programs. I know there’s a lot of focus on that activity. We will be unveiling our much discussed so far undisclosed program just next month, so hold on for a few more weeks there. And then, continuing to work on prioritizing capital allocation we thinking aggressively around the use of capital to continue to buy back shares and so on.
We are super proud on slide 6 of the pipeline as it currently stands. And one of the things that — I’m sure sometimes you get all these questions about IMVT, but every time I look at our pipeline, we still have one of the best I&I pipelines without IMVT, so excited about the breadth of opportunities there, in particular excited about the next, call it, 18 months both in the [indiscernible], we’ll talk a lot more about today and then brepocitinib where we have pivotal data coming shortly. So, the main updates for the quarter starting on slide 8. One is on brepocitinib, which is that we’ve now completed enrollment in our Phase 3 study in dermatomyositis. It’s 241 subjects across 90 sites. It is the largest interventional DM study ever conducted.
And we can now say with confidence we expect top line data in the second half of next year that study completed enrollment a few weeks back.”
