Is Regeneron a Buy After the FDA Approved its Gene Therapy to Restore Hearing?

Shares of Regeneron Pharmaceuticals (NASDAQ: REGN) are down much than 11% this year, and fell 5% connected April 29, a time aft the biotech institution announced better-than-expected first-quarter earnings.

Investors whitethorn beryllium acrophobic astir declining income of oculus therapy Eylea, 1 of its top-selling drugs, acknowledgment to contention from Vabysmo, developed by Roche. Total Eylea income fell 10% to $941 million, including Eylea HD sales, which roseate 52% to $468 million. The net study came conscionable days aft the FDA granted accelerated support for Otarmeni, a cistron therapy for patients with proceeding loss.

Here are 3 reasons wherefore this mightiness beryllium a bully clip to bargain Regeneron stock:

The net were really beauteous bully

First-quarter gross was reported arsenic $3.6 billion, up 19% twelvemonth implicit year, and up from analysts' estimates of $3.48 billion. Earnings per stock (EPS) were $6.75, down 7% implicit the aforesaid play a twelvemonth ago, portion adjusted EPS, stripping retired costs of in-process probe and improvement (R&D), was $9.47, up 15% twelvemonth implicit year.

While Eylea's gross was down, crab therapy Libtayo saw income leap 54% twelvemonth implicit twelvemonth to $438 million. Hidden successful the company's study is Dupixent's income growth, which Regeneron shares with Sanofi. Dupixent is approved to dainty 9 antithetic diseases connected to benignant 2 inflammation, and first-quarter income were $1.6 billion, up 36% implicit the archetypal 4th of 2025. With caller approvals successful areas similar COPD and chronic spontaneous urticaria, the runway for Dupixent remains long.

Earnings were bully capable that the institution felt comfy authorizing a caller $3 billion stock repurchase program, pursuing done connected an $803 million buyback successful the archetypal quarter.

The institution has a immense pipeline

Regeneron has much than 50 therapies successful its pipeline, including 34 successful late-stage trials (phase 2 oregon signifier 3). Besides the increasing fig of approvals for Dupixent and Libtayo, the institution is connected way to study signifier 3 results for fianlimab successful operation with cemiplimab versus pembrolizumab successful first-line metastatic melanoma successful the 2nd 4th of 2026. The institution besides has a mates of GLP-1 value nonaccomplishment therapies successful late-stage trials.

On April 23, the Food and Drug Administration (FDA) approved Otarmeni arsenic the archetypal cistron therapy nether its Commissioner's National Priority Voucher program. Otarmeni is an adeno-associated microorganism vector-based cistron therapy utilized to dainty patients with profound proceeding nonaccomplishment owed to variants successful the OTOF gene. It volition beryllium made disposable for escaped successful the U.S.