Regeneron shares climb after FDA approval of macular degeneration treatment

Shares of Regeneron Pharmaceuticals Inc.
REGN,
+1.17%
gained 1.4% premarket on Monday after the company said late Friday that the U.S. Food and Drug Administration had approved a higher-dose formulation of its macular degeneration treatment Eylea. The eight-milligram Eylea injection, jointly developed by Regeneron and Bayer AG
BAYRY,
-0.29%,
is approved for treatment of wet age-related macular degeneration, diabetic macular edema, and diabetic retinopathy, Regeneron said in a release. The approval comes on the heels of the FDA’s approval last week of Regeneron’s Veopoz treatment for CHAPLE disease, a rare and life-threatening hereditary immune disease. The Eylea HD approval “is a significant step for Regeneron to solidify its ophthalmology franchise” and could allow new patients to start the treatment ahead of new biosimilar entrants, BMO Capital Markets analyst Evan David Seigerman wrote in a note Monday, raising his price target on the stock to $985, from $960 previously. Regeneron shares have gained 12.6% in the year to date, while the S&P 500
SPX,
+0.37%
has gained 13.8%.