Regeneron reported adjusted fourth-quarter earnings of $11.44 per share, a 5% year-over-year decline that nonetheless topped the consensus of $10.71. Quarterly revenues rose 3% to $3.88 billion, outperforming the forecast of $3.79 billion. Investors welcomed the company’s strong free cash flow generation, driven by four blockbuster products—EYLEA®, Dupixent®, Libtayo® and Praluent®—which collectively accounted for over 70% of total sales. Management reiterated its guidance for fiscal 2026, projecting a GAAP gross margin of 79%–80% and an adjusted gross margin of 83%–84%. R&D expenses are expected to come in between $5.9 billion and $6.1 billion next year, with non-GAAP SG&A spending of $2.5 billion to $2.65 billion, underscoring ongoing investments in late-stage clinical programs.

Following the Q4 results, Raymond James raised its rating on Regeneron to Outperform, boosting its price target by 6% to reflect confidence in the company’s late-stage pipeline. The firm highlighted the upcoming Phase 3 data readouts for fasinumab in osteoarthritis pain and the SIENNA trial in geographic atrophy as key catalysts. Raymond James analysts also cited the recent FDA approval of EYLEA HD® every-two-month dosing in retinal vein occlusion as evidence of Regeneron’s ability to extend lifecycle value for existing products. With a market capitalization of approximately $76.6 billion and active share volumes exceeding 1.3 million daily, the upgrade signals broad investor interest in both near-term cash flow and long-term growth prospects.