Alvotech (NASDAQ:ALVO) extended its winning streak to a 5th consecutive day on Monday, jumping 18.51 percent to finish at $5.25 apiece, after the Bank of America (BofA) raised its price target for the company.
In its recent coverage, BofA initiated a buy recommendation on Alvotech shares with a price target of $7, amid the closure of the inspection of its manufacturing facility in Iceland, alongside progress in the commercialization of two of its drug candidates in the US and Asia.
FDA Voluntarily Ends Inspection
The coverage followed the Food and Drug Administration’s (FDA) voluntary closure of its inspection of Alvotech’s (NASDAQ:ALVO) manufacturing facility in Reykjavik, Iceland, over several practices at its plant in Reykjavik, such as handling of complaints, subpar contamination prevention procedures, and poor quality and purity vetting, among others.
“This is an important milestone for Alvotech and reflects the significant work our teams have undertaken to further strengthen our quality systems and manufacturing operations,” CEO Lisa Graver said.
“With the conclusion of the FDA’s recent inspection, we are confident that the actions we have taken have effectively addressed the observations identified. We continue to work with the FDA to advance our recent Biologics License Applications towards approval,” she noted.
Photo by Polina Tankilevitch on Pexels
Commercialization Agreement
Additionally, Alvotech (NASDAQ:ALVO) on Friday announced a licensing and commercialization agreement with Lotus Pharmaceutical for the proposed biosimilars of AVT34, a proposed biosimilar to Imfinzi (durvalumab), and AVT87, a proposed biosimilar to Hemlibra (emicizumab).
Imfinzi is an oncology biologic used in the treatment of multiple cancers, which generated global sales of approximately $6.1 billion last year, while Hemlibra is a biologic for routine prophylaxis to prevent or reduce the frequency of bleeding episodes in patients with hemophilia A. The latter generated global sales of approximately $5.8 billion in 2025.
Under a semi-exclusive agreement in the US, Alvotech (NASDAQ:ALVO) will retain the rights to commercialize both products directly alongside Lotus, while Lotus will commercialize the products through Alvogen, its US-based wholly owned subsidiary.
Alvotech (NASDAQ:ALVO) will likewise retain responsibility for product development and for obtaining and maintaining marketing authorizations in the United States, and will serve as the exclusive supplier of the products for all markets.
In Asia, Lotus will have exclusive commercialization rights in eight selected markets: South Korea, Taiwan, Thailand, Vietnam, the Philippines, Singapore, Hong Kong and Malaysia. It will be responsible for local regulatory submissions and commercialization in the said markets.
EPS Projections
In line with the developments, BofA issued an earnings per share expectation of $0.01 for Alvotech (NASDAQ:ALVO), markedly lower than the $0.12 analyst consensus.
For next year, BofA expects the company to report an EPS of $0.24, higher than the Bloomberg consensus of $0.23 but lower than Visible Alpha’s $0.37 average.
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