Analysts highlight Legend Biotech, Structure Therapeutics, and Revolution Medicines as undervalued M&A candidates amid Big Pharma’s patent cliff concerns.
Legend Biotech (LEGN) has generated $1 billion in CAR-T revenue with Johnson & Johnson as a partner but trades at nearly half its $58 analyst price target. The discount reflects broader market skepticism despite strong clinical assets and strategic fit in oncology and cell therapy.
Big Pharma faces patent expirations in the coming years, driving demand for de-risked assets. Recent deals, including AbbVie’s acquisition of Apogee Therapeutics, signal willingness to pay premiums for breakthroughs in obesity, oncology, and AI-driven drug development. Structure Therapeutics (GPCR) reported 16% placebo-adjusted weight loss at 44 weeks, positioning it in a high-demand M&A category.
Revolution Medicines (RVMD) leads the list as the most strategically coveted but hardest to acquire. Its Phase 3 RASolute 302 trial for daraxonrasib in metastatic pancreatic cancer underscores its potential, though no formal acquisition talks have been disclosed.