Goldman Sachs’ Top Growth Investors: 34 Stocks With The Highest Investment For Growth

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2. Incyte Corporation (NASDAQ:INCY)

Growth Investment Ratio: 379%

Number of Hedge Fund Holders: 35

Incyte Corporation (NASDAQ:INCY) is a mid-sized Delaware-based biotechnology company. The firm’s profit has turned into a loss in 2024 as of H1 due to higher research and development spending. Incyte Corporation (NASDAQ:INCY) relies to a large extent on its products to generate revenue. For the first six months of the year, out of its $1.9 billion revenue, 84% or $1.6 billion came through products sold. Within the $1.6 billion, 81% was generated by Incyte Corporation (NASDAQ:INCY)’s JAKAFI medicine for myelofibrosis. Consequently, JAKAFI is central to the firm’s hypothesis, and in Q3, Incyte Corporation (NASDAQ:INCY) reported that the medicine drove its 24% annual revenue growth to $1.1 billion. The firm also impressed investors by raising its full-year JAKAFI revenue guidance to a midpoint of $2.755 billion from an earlier $2.73 billion.

Another key factor that drives the hypothesis of biotechnology firms is their drug development portfolio. Here’s what Incyte Corporation (NASDAQ:INCY)s management had to say on this front during the Q3 2024 earnings call:

“I want to highlight 3 products that are expected to begin contributing to revenue in the near-term.

We anticipate that Niktimvo for third-line chronic GVHD, tafasitamab for follicular lymphoma and retifanlimab for SCAC could collectively generate $800 million or more in incremental revenues by 2029. We anticipate all 3 products to be available in 2025 and this incremental sales will be leveraging the current commercial infrastructure used for Monjuvi, Pemazyre and Jakafi. As illustrated on Slide 10, these 3 launches anticipated in 2025 will be followed by larger opportunities in 2026 and 2027, including povorcitinib CDK2 and tafasitamab in first-line DLBCL. Between 2027 and 2030, we have multiple programs that hold transformative potential with data for each anticipated in 2025.”

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