Alnylam Earnings: Robust Uptake of Amvuttra Drives Sales; Shares Undervalued

Narrow-moat Alnylam reported strong year-end results highlighted by $1.2 billion in net product revenues, representing a 39% increase year over year. Strong demand for next-generation drug Amvuttra (for ATTR amyloidosis with polyneuropathy) is driving sales, comprising 45% of product revenue in 2023. We forecast Alnylam will achieve 2024 net product sales of roughly $1.44 billion, representing a 16% increase from 2023. We maintain our fair value estimate of $199 per share, and we view shares as undervalued, currently trading in 4-star territory.