Amicus Therapeutics (FOLD): A Strong Buy in the Biotech Sector Amid Bullish Analysts and Earnings Surprises

The biotech sector, often characterized by its volatility and high-stakes innovation, has long attracted contrarian investors seeking undervalued opportunities. Amicus Therapeutics (FOLD) stands out as a compelling case in this regard. Recent financial results, coupled with a stark divergence between insider selling and institutional accumulation, present a unique investment opportunity. This article argues that FOLD's robust earnings performance, strong revenue growth, and favorable analyst sentiment justify a "Strong Buy" rating, despite short-term skepticism reflected in insider transactions.

A Landmark Quarter: Earnings and Revenue Growth

Amicus Therapeutics delivered a landmark third quarter of 2025, with total revenue reaching $169.1 million, a 17% increase at constant exchange rates and 19% year-over-year growth according to Q3 2025 financial results. This performance was driven by its two core products: Galafold, which generated $138.3 million in net product sales (up 15% YoY), and Pombiliti + Opfolda, which surged to $30.7 million in net product sales up 45% YoY. The company's financial turnaround was further underscored by GAAP net income of $17.3 million, a stark contrast to the $6.7 million net loss in the same period in 2024 according to Q3 2025 financial results.

Amicus also strengthened its balance sheet, with cash reserves rising to $263.8 million at the end of Q3 2025, a $33 million increase from the previous quarter. The company reiterated its full-year 2025 guidance, projecting 15% to 22% revenue growth at constant exchange rates, with Galafold expected to grow by 10% to 15% and Pombiliti + Opfolda by 50% to 65% according to Q3 2025 financial results. These figures highlight a company not only stabilizing but accelerating its path to sustainable profitability.

Analyst Optimism: A 60.61% Upside Potential

Wall Street analysts have responded enthusiastically to Amicus's momentum. The current mean price target of $15.90 implies a 60.61% upside from FOLD's recent closing price of $9.90 according to market data. This estimate is supported by 10 short-term price targets ranging from $11.00 to $21.00, with a standard deviation of $3.35, indicating moderate consensus according to market data. A broader analyst consensus of "Moderate Buy" from nine analysts further reinforces this optimism, with six issuing "Buy" or "Strong Buy" ratings according to market data.

The highest price target of $21.00 suggests a potential 112.1% upside, reflecting confidence in Amicus's long-term value creation according to market data. Analysts also note an upward revision in earnings estimates, a historical indicator of positive stock performance according to market data. While price targets should not be viewed as guarantees-analysts caution they may reflect business incentives-the collective optimism underscores FOLD's undervaluation relative to its growth trajectory.

Contrarian Signal: Institutional Accumulation vs. Insider Selling

A key contrarian signal lies in the divergence between institutional accumulation and insider selling. Institutional ownership in FOLD declined slightly in Q3 2025, with 281 institutional investors holding 101.1% of total shares outstanding according to institutional ownership data. However, major institutions like Soleus Capital Management and Millennium Management LLC increased their stakes by 4.63 million and 4.56 million shares, respectively according to institutional ownership data. In November 2025, Jefferies Financial Group raised its holdings by 19.1%, acquiring 223,800 shares worth $1.28 million, while Invesco and Deutsche Bank also added to their positions.

This institutional confidence contrasts with notable insider selling. Executives such as CEO Bradley Campbell and Jeff Castelli sold shares in Q3 2025, with Campbell offloading 75,032 shares at prices ranging from $10.00 to $10.04. Over the past 24 months, insiders have collectively sold $5.6 million worth of FOLD shares. While such activity may raise eyebrows, it is not uncommon in biotech firms where executives often diversify personal portfolios. The broader institutional trend-marked by $1.28 million in new institutional investments in November 2025-suggests that market participants are prioritizing Amicus's fundamentals over short-term insider actions.

A Strong Buy Case: Balancing Risks and Rewards

Amicus Therapeutics' recent performance and guidance position it as a strong buy for contrarian investors. The company's 17% revenue growth, positive net income, and $263.8 million cash position according to Q3 2025 financial results demonstrate operational and financial resilience. Analysts' 60.61% average upside potential according to market data reflects confidence in its ability to scale, particularly with Pombiliti + Opfolda's 45% YoY growth according to Q3 2025 financial results.

The divergence between insider selling and institutional accumulation further strengthens the case. While insider transactions may reflect personal financial strategies, institutional buying-especially by firms like Jefferies and Invesco-signals a belief in Amicus's long-term potential. For investors willing to look beyond short-term noise, FOLD offers a rare combination of proven revenue growth, profitability, and undervaluation.

Conclusion

Amicus Therapeutics is a testament to the power of contrarian investing in the biotech sector. Its Q3 2025 results, coupled with bullish analyst sentiment and institutional accumulation, present a compelling case for investors seeking undervalued innovators. While insider selling may temporarily cloud the narrative, the broader financial and market trends point to a company on a clear path to sustained growth. For those with a long-term horizon, FOLD represents a rare opportunity to capitalize on a biotech story that the market has yet to fully price.