Ionis Pharmaceuticals: Citigroup raises Buy rating and PT to $69 from $65.

Ionis Pharmaceuticals: Citigroup raises Buy rating and PT to $69 from $65.

Citigroup has upgraded its rating for Ionis Pharmaceuticals to "Buy" and increased its price target to $69 from $65. This move comes ahead of the FDA's anticipated decision on August 21, 2025, regarding Ionis' RNA-targeted therapy, donidalorsen, for hereditary angioedema (HAE). The upgrade reflects Citigroup's confidence in the drug's potential to transform the treatment landscape for a rare, life-threatening condition.

Donidalorsen's once-weekly dosing and 96% sustained attack rate reduction in trials position it as a disruptive option in the $6 billion HAE market, which is projected to grow to $5.96 billion by 2032. The drug's RNA-targeted mechanism—silencing prekallikrein (PKK)—offers a fundamentally different approach than competitors, which focus on downstream pathways like bradykinin inhibition.

Ionis' strong clinical data, financial resources, and strategic partnerships, including its collaboration with Otsuka for EU/APAC commercialization, bolster its ability to capitalize on donidalorsen's potential. The company's broader pipeline in rare diseases, such as Olezarsen for severe hypertriglyceridemia, further reinforces its long-term value.

While competition from emerging oral therapies and reimbursement challenges could affect market share, donidalorsen's first-in-class mechanism and superior patient-reported outcomes could secure dominance. The drug's potential to become a $500+ million revenue driver within five years, assuming 15–20% market penetration, underscores its transformative potential.

Citigroup's upgrade highlights the growing consensus among analysts that Ionis' donidalorsen has the potential to significantly impact the HAE market and the broader rare disease landscape. However, investors should remain patient and watch for post-approval execution, including pricing negotiations, payer access, and real-world evidence, to determine long-term success.

References:
[1] https://www.ainvest.com/news/high-stakes-race-hae-ionis-pharmaceuticals-promise-donidalorsen-2508/
[2] https://stocktwits.com/news-articles/markets/equity/retail-traders-pile-into-ionis-as-wall-street-hikes-price-targets-on-fda-approval-of-swelling-disorder-therapy/chsmoACRdi6