AnaptysBio (ANAB) Gains From Jemperli Approval, Is The Royalty Upside Already Priced In?

Jemperli approval puts AnaptysBio’s Jemperli economics in focus

The U.S. FDA approval of GSK’s Jemperli for MSI-H/dMMR locally advanced rectal cancer puts fresh attention on AnaptysBio (ANAB), which licenses the antibody and participates economically in the therapy’s success.

Jemperli’s expanded label arrives after a mixed few months for AnaptysBio’s share price, with the stock down 4.37% over the past 30 days but still showing an 8.5% year-to-date share price gain and a very large 3-year total shareholder return of 343.7%. This points to strong longer term momentum even as shorter term sentiment has cooled slightly.

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AnaptysBio clearly has leverage to Jemperli’s success and a 3 year total shareholder return above 300%. The harder question now is whether that royalty stream is already fully reflected in today’s US$48.77 share price.

Most Popular Narrative: 45.8% Undervalued

The most followed narrative on AnaptysBio pegs fair value at $90 per share, well above the last close of $48.77. This puts the current Jemperli-driven royalty profile front and center for investors trying to judge how much upside is already in the price.

ANAB has a scaling and rising royalty stream, one up and coming new royalty, a loan that dies in 2027 which will result in a doubling of revenue, and a lawsuit that could soon double the value of the stock.

What it does have is a royalty contract on a blockbuster cancer drug, a new and possibly upcoming royalty on a Psoriasis drug, and a trial starting next month in Delaware Chancery Court against GalaxoSmithKline.

See why 3 investors see AnaptysBio as 46% undervalued.

Result: Fair Value of $90 (UNDERVALUED)

Still, the AnaptysBio story leans heavily on Jemperli royalty timing and ongoing litigation outcomes, both of which could break against the current bullish narrative.

Find out about the key risks to this AnaptysBio narrative.

Next Steps

Mixed signals around AnaptysBio can feel confusing, so review the details for yourself, considering both the concerns and potential upside by examining the 4 key rewards and 3 important warning signs.

Looking for more AnaptysBio investment ideas?

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