Raymond James reduced its price target for Biohaven Pharma to $30 from $50 while keeping its Strong Buy rating, citing the company’s recent asset monetization deal with SK Biopharmaceuticals.
The brokerage cited the $400 million in total cash proceeds from the licensing agreement, including a $350 million upfront payment and potential milestone payments of up to $795 million, as a key factor in extending Biohaven’s financial runway through 2028. The deal also removes near-term data risk tied to opakalim, an epilepsy treatment candidate, following the completion of enrollment in the RISE3 Phase 2/3 trial.
Biohaven’s stock was trading at $14.96 at the time of the announcement, down from prior sessions near $14.38 and $14.42. RBC Capital maintained its Outperform rating but raised its target to $23 from $22, reflecting a more conservative valuation after the licensing agreement.
The company’s pipeline remains focused on neurological and autoimmune disorders. BHV-1300, an IgG degrader for Graves’ disease, is advancing toward a pivotal data readout expected in late 2027, with a potential launch in 2028. Biohaven also promoted David Pirman to Executive Vice President and Head of Discovery, signaling a leadership shift amid the clinical progress.
Analysts noted that the asset monetization significantly improves Biohaven’s liquidity position, with a current ratio of 4.73, reducing pressure on near-term funding needs.
