Key Takeaways
Goldman Sachs raised its price target on BeOne Medicines Ltd. (ONC.US) after the company posted first-quarter revenue that beat expectations, driven by surging sales of its core cancer drug Brukinsa.
G Sachs lifted its earnings per share forecast for BeOne to reflect the strong first-quarter results and adjusted assumptions on profitability, the bank said in a report. The firm reiterated its Buy rating on the stock.
BeOne Medicines reported product sales of $1.49 billion for the first quarter of 2026, surpassing analyst estimates. The performance was led by its core drug, Brukinsa, which saw global sales climb 38 percent year-over-year to $1.1 billion, solidifying its market share at 36 percent. The company’s other major product, Tevimbra, recorded sales of $206 million, a 20 percent increase from the prior year.
The strong top-line growth, combined with a gross margin of 89 percent and controlled operating expenses, pushed quarterly GAAP EBIT to $250 million. Following the strong quarter, BeOne’s management raised its full-year 2026 guidance. The company now expects total revenue between $6.3 billion and $6.5 billion, an increase of $100 million from the previous forecast. The forecast for GAAP EBIT was also lifted to a range of $750 million to $850 million.
The positive revision from G Sachs follows similar bullish sentiment from other analysts, with Morgan Stanley recently raising its own price target to $395. BeOne has also been active in expanding its portfolio, entering into a strategic funding agreement with Royalty Pharma plc (RPRX) for Ziihera, a cancer therapy with blockbuster potential that it is developing with Jazz Pharmaceuticals.
The updated guidance suggests management is confident that the sales momentum can be sustained through 2026. Investors will now watch to see if the company can continue to execute on its sales strategy for Brukinsa while advancing its pipeline, including the potential approval of Ziihera in gastric cancer.
This article is for informational purposes only and does not constitute investment advice.
