On Friday, the U.S. Supreme Court granted Bayer’s request to review lower-court rulings that have allowed tens of thousands of plaintiffs to pursue claims alleging that Roundup causes non-Hodgkin lymphoma. Bayer has argued that federal pesticide law preempts these state-level tort actions, a legal theory that, if accepted, could bar or sharply limit future lawsuits. To date, Bayer has set aside more than $25 billion for Roundup-related settlements and judgments, and the company faces roughly 95,000 pending claims in U.S. courts. A successful appeal could prevent Bayer from having to allocate additional billions to satisfy verdicts and settlements in jurisdictions that have been favorable to plaintiffs.

Since acquiring Monsanto in 2018 for $63 billion, Bayer’s earnings have been under pressure from Roundup litigation expenses. In its most recent annual report, the company reported $7.5 billion in legal provisions for weed-killer claims in the prior fiscal year alone, contributing to a 12% decline in core earnings before interest and taxes for the Crop Science division. Analysts estimate that each 10,000-case reduction in pending claims could improve Bayer’s adjusted operating profit by approximately €500 million. Investors will closely watch the Supreme Court’s timetable for oral arguments and decision, which could arrive by mid-2027.

Shares of Bayer surged 6.6% following an announcement by oncology partner Orion that long-term global sales of Nubeqa, a prostate cancer therapy co-developed with Bayer, could exceed €1 billion annually. Bayer retains tiered profit-sharing rights, entitling it to roughly 30% of net revenues once Orion’s manufacturing and commercialization costs are recouped. Nubeqa generated €350 million in revenue for Bayer in the past twelve months, and is approved in over 50 markets. Management has signaled that successful Phase III trials in earlier-stage prostate cancer could unlock an additional €200 million in annual sales by 2028.

Beyond Nubeqa, Bayer is advancing a pipeline of over 60 mid- to late-stage assets across oncology, cardiology and women’s health. The company recently completed a €3 billion acquisition of a rare disease specialist, adding two clinical-stage gene therapies targeting hemophilia A and Duchenne muscular dystrophy. Bayer forecasts that these assets could contribute up to €2.5 billion in combined annual sales by 2030. Coupled with expected relief from Roundup-related liabilities, management projects a compound annual growth rate in adjusted earnings per share of 8% to 10% through the end of the decade.