Ipsen Earnings: Solid Sales From Growth Platforms and Pipeline Progress Help Offset Generic Erosion

Ipsen reported solid first-quarter results highlighted by total revenue of EUR 822.4 million, representing nearly 11% growth from the prior-year period. Strong sales growth from Dysport, Cabometyx, and Onivyde drove revenue during the quarter and helped offset declining sales of Ipsen's leading oncology product, Somatuline. We forecast Ipsen’s growth platforms will help the company achieve 2024 sales of nearly EUR 3.5 billion, representing mid-single digit growth year over year. The stock is currently trading at a 6% discount to our unchanged EUR 120 fair value estimate.