Roivant Sciences Stock Bounces Back on Analyst Price Target Hike

Roivant Sciences stock bounced back by 4% on Tuesday after analyst David Risinger increased his price target to $18 per share and maintained his "outperform" recommendation. Risinger's adjustment is based on a change in his forecast for the company's share count, which he believes will be reduced due to its share repurchase program. The analyst is also optimistic about the company's phase 3 clinical trial for dermatomyositis.

Roivant Sciences (ROIV) stock experienced a significant rebound on Tuesday, rising by nearly 4% to $11.57 following an upgrade of its price target by Leerink Partners analyst David Risinger. The upgrade, which increased the price target to $18 per share, came a day after the company reported its quarterly earnings. Risinger maintained his "outperform" recommendation, equivalent to a buy recommendation, citing a change in his forecast for the company's share count due to its share repurchase program [1].

The share repurchase program is expected to reduce the tally of shares outstanding, which Risinger believes will positively impact the company's valuation. Additionally, Risinger expressed optimism about Roivant Sciences' phase 3 clinical trial of brepocitinib in the treatment of dermatomyositis. He anticipates a readout of the trial in the second half of this year, which could provide a significant boost to the company's prospects [1].

Despite a challenging first quarter of 2026, where Roivant Sciences reported significantly lower revenue compared to the same period of 2025 and flipped to a net loss on the bottom line, the company's strong cash position, with $4.5 billion in cash and marketable securities at June 30, 2025, supports its cash runway into profitability [2].

Roivant Sciences' stock has seen a mixed performance so far this year, with a 2.0% rise in the quarter and a 2.9% loss year-to-date. The company's earnings per share for the quarter ended June 30, 2025, was a loss of 33 cents, missing the mean expectation of eight analysts for a loss of 31 cents per share [3].

Investors' confidence in Roivant Sciences seems remarkably steady, as evidenced by the 10 out of 11 analysts rating the stock a 'buy' or better, with Wall Street’s median price target sitting 34% above its recent close [4].

References:
[1] https://finance.yahoo.com/news/why-roivant-sciences-stock-bounced-224244456.html
[2] https://www.tradingview.com/news/reuters.com,2025:newsml_L8N3U30VR:0-roivant-sciences-ltd-reports-results-for-the-quarter-ended-june-30-earnings-summary/
[3] https://www.ainvest.com/news/roivant-sciences-stock-surges-analyst-upgrade-2508/
[4] https://finimize.com/content/roivant-sciences-sees-losses-grow-but-investors-hold-steady