Xencor (XNCR): BofA Bullish on US Biopharmaceuticals Coverage

Xencor Inc. (NASDAQ:XNCR) is one of the best high short interest stocks with biggest upside potential. On January 6, Bank of America raised its price target for Xencor to $20 from $17 while maintaining a Neutral rating. This sentiment was announced by the firm as part of its broader update to its US Biopharmaceuticals coverage.

The firm suggested that the biotech sector is experiencing a resurgence driven by several stabilizing factors, including a reward for positive data catalysts, increased large-cap M&A and licensing activity, better access to capital, and a limited impact from drug price regulations. While BofA noted that fundamental pieces are falling into place for the industry, the firm remains cautious regarding the long-term sustainability of this recovery.

Xencor (XNCR): BofA Bullish on US Biopharmaceuticals Coverage

Additionally, earlier on December 17, Barclays also raised its price target for Xencor Inc. (NASDAQ:XNCR) from $23 to $26 and maintained an Overweight rating. This decision followed an adjustment of valuations across the biotech sector as part of its 2026 outlook.

Xencor Inc. (NASDAQ:XNCR) is a clinical-stage biopharmaceutical company that discovers and develops engineered monoclonal antibodies for the treatment of asthma and allergic diseases, autoimmune diseases, and cancer.

While we acknowledge the potential of XNCR to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than XNCR and that has 100x upside potential, check out our report about this cheapest AI stock.

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Disclosure: None. This article is originally published at Insider Monkey.