Argenx SE, the biotech company that saw stellar performances on the Brussels stock exchange, will become part of the index from Monday Euro Stoxx 50, becoming the first biotech company to be added to the index since at least 2002. Analysts say the stock still has a large upside potential.
Now valued at 38 billion euros, since it set foot on the Brussels stock exchange 11 years ago, it has ridden a rally of about 7.200%The company has a history of successes behind it, closely related to the drug Vyvgart a treatment whose revenues almost doubled in the second quarter compared to the previous year, according to data collected by Bloomberg.
Title today Brussels share price: 622,80 euros, up 0,71%
"Argenx is a global model," says David Seynnaeve, analyst at Bank Degroof Petercam, who has given the stock a "buy" rating. "It will help attract European generalist investors, who tend to be more risk-averse than US investors."
The flagship drug Vyvgart received approval in the United States in late 2021 for myasthenia gravis. This was followed by approval last year for the treatment of chronic inflammatory demyelinating polyneuropathy (CIDP), a condition that causes muscle weakness and loss of sensation in the arms and legs, analysts say.
Argenx also has other areas of focus, including its experimental drug ARGX-119 for congenital myasthenic syndromes, a group of diseases characterized by muscle weakness. Currently, the U.S. Food and Drug Administration has not approved any therapies for these rare inherited conditions.
"Argenx will need to gradually diversify its portfolio to limit future dependence on Vyvgart," wrote Martial Descoutures, an analyst at Oddo BHF, in a note. "The scientific rationale for ARGX-119 is sound and its commercial appeal is significant."
What analysts think
Analysts remain largely bullish on Argenx, with 14 of the 16 analysts monitored by Bloomberg who have rated the company a "buy" or equivalent. The stock is among Bank of America Corp.'s top picks for 2025, with momentum expected to continue into 2026, analysts including Tazeen Ahmad wrote in a recent note. However, last week, Deutsche Bank AG downgraded the stock from "buy" to "hold," about two months after the upgrade, following a rally of more than 30% since the beginning of July. Other analysts expect further upside, with an average price target implying gains of more than 10% from current levels.
