Argenx Stock: Rallying into a Pivotal Earnings Report

Argenx SE (ARGX) has emerged as a compelling biotech play in 2025, leveraging its autoimmune therapies to drive a 98% surge in sales to $2.2 billion in 2024. With its flagship drug VYVGART now approved for multiple indications and a robust pipeline, the stock is poised for continued momentum. Technical traders are taking note: the shares are consolidating in an early-stage base pattern, a bullish sign ahead of its May 8 earnings report. Here’s why investors should pay attention.

The Technical Case: A Base for Breakout

The stock’s recent performance reflects a classic technical setup. After a 6.27% jump following its October 2024 earnings, ARGX has been consolidating in a horizontal price channel, a pattern often preceding a sharp upward move. The current $571–$690 trading range (as of April 30) suggests buyers are accumulating shares ahead of May’s catalysts.

Key technical signals:
- Moving Averages: The 21-day SMA and EMA are both rising, with the stock above both lines.
- Volume: Increasing buying pressure as earnings approach.
- Sentiment: 100% of technical indicators signal a buy, with the Fear & Greed Index at 39 (“Fear”)—a contrarian bullish signal.

Earnings: The Catalyst to Watch

The May 8 earnings report will put Argenx’s growth narrative to the test. Analysts expect EPS of $2.34, a stark reversal from the $-1.04 loss in 2024. The focus will be on:
1. Profitability: Confirming 2025 as the first profitable year with $2.3 billion operating income.
2. Pipeline Progress: Updates on Phase III trials for efgartigimod (myositis, thyroid eye disease) and empasiprubart (CIDP, MMN).
3. VYVGART’s Momentum: Expanding patient numbers beyond 10,000 and securing EU approval for the CIDP prefilled syringe.

Fundamentals: A Biotech in Transition

Argenx’s financial turnaround is undeniable. The $725 million one-time tax benefit in Q4 2024 and a 90% gross margin have fueled optimism. While R&D and SG&A expenses will rise 25%, this reflects strategic investments in a pipeline with 20 active studies in 2025.

Growth drivers:
- VYVGART’s global adoption: The prefilled syringe’s FDA approval in April 2025 simplifies administration, boosting accessibility.
- Market expansion: Entering new indications (e.g., ITP, myositis) and regions.
- Cost discipline: Operating income growth outpaces sales, suggesting efficient scaling.

Risks and Challenges

No investment is without risks. Argenx’s operating losses (pre-tax) and currency-related exchange losses remain concerns. However, these are outweighed by the $669.75 annual average price forecast for 2025 and the stock’s resilience during market downturns.

The Bottom Line: Buy the Dip, Hold for 2025

The May 8 earnings could unlock a sustained breakout from the base pattern. Even with a predicted early-May dip to $590, the stock’s $650.53 May average and 18.22% annual ROI potential make it a buy at current levels.

Final Call:
- Short-term: Use the dip below $600 as a buying opportunity.
- Long-term: Hold through 2025’s catalysts for a year-end target of $763.

Argenx’s combination of a solid technical setup, earnings clarity, and a pipeline-rich biotech profile makes it a standout pick in a volatile market. This is a stock to own as it transitions from a high-growth company to a profitable leader in autoimmune therapies.

Disclosure: This analysis is for informational purposes only and should not be construed as financial advice. Always conduct your own research before investing.