Wedbush raised its 12-month price target on Neurocrine Biosciences, Inc. (NBIX) to $166 from $151, reaffirming its Outperform rating. Shares of NBIX are currently trading at $130.78.
The upgrade follows Neurocrine's April 6, 2026, announcement that it will acquire Soleno Therapeutics (SLNO) for $2.9 billion. The deal adds Soleno's lead therapy Vykat, approved for treating Prader-Willi Syndrome (PWS), into Neurocrine's pipeline.PWS is a rare genetic disorder that causes constant hunger, obesity, and other serious health issues.
Wedbush noted that acquisition makes strategic sense, even though Vykat was not previously on their radar. The brokerage firm expects Neurocrine to finance the deal with about $900 million in debt and the remainder in cash.
Neurocrine itself has stated that the transaction is structured to maintain financial flexibility while supporting long-term growth, underscoring confidence in its balance sheet and cash flow.
Wedbush projects the acquisition will begin contributing to both revenue and earnings in 2026, with U.S. sales of Vykat potentially reaching $995 million by FY30 and peak market share around 19%.
Neurocrine noted that the deal should close in about 90 days, after which updated guidance for FY26 will be provided. The company emphasized that the acquisition expands its reach into rare genetic disorders, complementing its existing focus in neurology and psychiatry.
Wedbush concluded that the purchase price is reasonable and the diversifying Neurocrine's revenue mix strengthens its long-term outlook.
NBIX has traded between $84.23 and $160.18 over the past year. The stock is currently trading at $130.78, down 1.28%.
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