Incyte (INCY): Truist Raises the Price Target to $105 as a Government Settlement Adds $246 Million to Net Sales

Incyte Corporation (NASDAQ:INCY) is one of billionaire Cliff Asness’ top 10 healthcare stock picks. On June 22, Truist Securities analyst Srikripa Devarakonda raised the price target on Incyte Corporation (NASDAQ:INCY) from $103 to $105, while keeping a Hold rating on the stock.

Devarakonda said the target increase was partly driven by a one-time financial boost coming from Incyte winning a dispute with the Centers for Medicare & Medicaid Services (CMS). The dispute was over how Incyte’s inflammation drug Opzelura should be classified for Medicaid rebate purposes. Incyte winning the dispute resulted in a non-cash settlement worth about $246 million that the company will add to Opzelura’s net sales in Q2 2026.

On top of the settlement, Truist also revised its model to reflect a roughly 5% improvement in Opzelura’s gross-to-net ratio going forward. Put simply, Incyte will effectively retain more revenue from Opzelura sales after accounting for rebates and discounts.

The analyst added that they updated their outlook on VGA039, which is Incyte’s experimental drug for von Willebrand disease (VWD). Truist projects that VGA039 could reach approximately $1 billion in peak worldwide sales by 2036, and that international markets will make up around 20% of that total. A key reason Truist is optimistic about VGA039 is that the drug is designed to work across all subtypes of VWD.

Incyte Corporation (NASDAQ:INCY) is a biopharmaceutical company. It discovers, develops, and commercializes proprietary therapeutics, with a primary focus on oncology and inflammation. Its portfolio includes Jakafi (ruxolitinib), an approved treatment for myelofibrosis and polycythemia vera, and Opzelura, a topical formulation for atopic dermatitis and vitiligo.

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