Beyond The Numbers: 6 Analysts Discuss Alkermes Stock

Ratings for Alkermes ALKS were provided by 6 analysts in the past three months, showcasing a mix of bullish and bearish perspectives.

The following table provides a quick overview of their recent ratings, highlighting the changing sentiments over the past 30 days and comparing them to the preceding months.

Analysts have recently evaluated Alkermes and provided 12-month price targets. The average target is $40.5, accompanied by a high estimate of $52.00 and a low estimate of $32.00. This upward trend is apparent, with the current average reflecting a 5.19% increase from the previous average price target of $38.50.

Breaking Down Analyst Ratings: A Detailed Examination

In examining recent analyst actions, we gain insights into how financial experts perceive Alkermes. The following summary outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

| Analyst | Analyst Firm | Action Taken | Rating |Current Price Target| Prior Price Target | |——————–|——————–|—————|—————|——————–|——————–| |Ashwani Verma |UBS |Lowers |Neutral | $33.00|$38.00 | |David Hoang |Deutsche Bank |Raises |Buy | $52.00|$40.00 | |Leonid Timashev |RBC Capital |Announces |Sector Perform | $40.00|- | |Chris Shibutani |Goldman Sachs |Raises |Buy | $32.00|$30.00 | |Douglas Tsao |HC Wainwright & Co. |Maintains |Neutral | $46.00|$46.00 | |David Hoang |Deutsche Bank |Announces |Buy | $40.00|- |

Key Insights:

• Action Taken: In response to dynamic market conditions and company performance, analysts update their recommendations. Whether they ‘Maintain’, ‘Raise’, or ‘Lower’ their stance, it signifies their reaction to recent developments related to Alkermes. This insight gives a snapshot of analysts’ perspectives on the current state of the company.
• Rating: Analysts assign qualitative assessments to stocks, ranging from ‘Outperform’ to ‘Underperform’. These ratings convey the analysts’ expectations for the relative performance of Alkermes compared to the broader market.
• Price Targets: Analysts predict movements in price targets, offering estimates for Alkermes’s future value. Examining the current and prior targets offers insights into analysts’ evolving expectations.

Understanding these analyst evaluations alongside key financial indicators can offer valuable insights into Alkermes’s market standing. Stay informed and make well-considered decisions with our Ratings Table.

Stay up to date on Alkermes analyst ratings.

Delving into Alkermes’s Background

Alkermes PLC is a fully integrated biotechnology company that applies its proprietary technologies to research, develop, and commercialize pharmaceutical products designed for unmet medical needs in therapeutic areas. The company utilizes several to develop and commercialize products and, in so doing, access technological, financial, marketing, manufacturing, and other resources. Alkermes either purchases active drug products from third parties or receives them from its third-party licensees to formulate products using its technologies. It operates in U.S., which derives maximum revenue, Ireland and Rest of the world.

Alkermes: A Financial Overview

Market Capitalization Analysis: Reflecting a smaller scale, the company’s market capitalization is positioned below industry averages. This could be attributed to factors such as growth expectations or operational capacity.

Revenue Growth: Alkermes displayed positive results in 3M. As of 31 December, 2024, the company achieved a solid revenue growth rate of approximately 13.91%. This indicates a notable increase in the company’s top-line earnings. When compared to others in the Health Care sector, the company faces challenges, achieving a growth rate lower than the average among peers.

Net Margin: The company’s net margin is a standout performer, exceeding industry averages. With an impressive net margin of 34.07%, the company showcases strong profitability and effective cost control.

Return on Equity (ROE): Alkermes’s ROE stands out, surpassing industry averages. With an impressive ROE of 10.63%, the company demonstrates effective use of equity capital and strong financial performance.

Return on Assets (ROA): Alkermes’s financial strength is reflected in its exceptional ROA, which exceeds industry averages. With a remarkable ROA of 6.96%, the company showcases efficient use of assets and strong financial health.

Debt Management: Alkermes’s debt-to-equity ratio is below the industry average at 0.05, reflecting a lower dependency on debt financing and a more conservative financial approach.

Analyst Ratings: Simplified

Experts in banking and financial systems, analysts specialize in reporting for specific stocks or defined sectors. Their comprehensive research involves attending company conference calls and meetings, analyzing financial statements, and engaging with insiders to generate what are known as analyst ratings for stocks. Typically, analysts assess and rate each stock once per quarter.

In addition to their assessments, some analysts extend their insights by offering predictions for key metrics such as earnings, revenue, and growth estimates. This supplementary information provides further guidance for traders. It is crucial to recognize that, despite their specialization, analysts are human and can only provide forecasts based on their beliefs.

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This article was generated by Benzinga’s automated content engine and reviewed by an editor.