Evaluating Supernus Pharmaceuticals Following FDA Pipeline Update and 24% Surge in 2025
Stock Performance: Supernus Pharmaceuticals has seen a 0.5% increase over the past week, recovering from a 14.2% drop in the last month, and has gained 24.4% year-to-date and 25.5% over the past year.
Valuation Insights: The company is currently considered undervalued, with a Discounted Cash Flow (DCF) analysis suggesting an 82.0% discount to its intrinsic value of $252.45 per share.
Price-to-Sales Ratio: Supernus trades at a P/S ratio of 3.81x, which is below the industry average of 4.03x, indicating it may be undervalued compared to its peers.
Narrative Approach: Investors can utilize personalized Narratives to assess Supernus Pharmaceuticals, which incorporate individual assumptions about future performance, allowing for a more dynamic understanding of the stock's fair value.
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Aristotle Capital Boston's Share Sale: The firm sold 503,122 shares of Supernus Pharmaceuticals in Q3, resulting in a net position change of approximately $10.9 million, leaving them with 305,273 shares valued at $14.6 million as of September 30.
Supernus Pharmaceuticals Performance: Supernus has shown strong operational momentum, with a 9% year-over-year revenue increase to $192.1 million, driven by significant growth from key products, although profitability remains uneven due to acquisition-related costs.
Market Position and Stock Performance: Supernus stock has outperformed the S&P 500 over the past year, rising about 31%, but remains below historical highs, prompting Aristotle Capital to trim its position rather than increase it.
Financial Flexibility and Future Outlook: With over $280 million in cash, Supernus has the flexibility to manage rising expenses and integration risks, while also raising its full-year revenue guidance, indicating confidence in its near-term execution.
Bank of America's Stock Picks: Bank of America has identified a list of stocks across various sectors, including tech, finance, health, and industry, that are expected to perform well for the remainder of the year, based on strong sales trends and client growth.
Nvidia's Strong Performance: Nvidia remains a top pick for the bank, with a Buy rating maintained after reporting $57 billion in revenue, driven by high demand for AI components, and an expected earnings per share growth of over 40% in the next year.
Palantir's Client Growth: Palantir's price target was raised significantly due to a 45% increase in total clients and a 65% rise in U.S. commercial clients, highlighting its capabilities in secure AI tools and potential for future contracts.
Positive Outlook for Other Stocks: Bank of America also supports Robinhood, Crane, and Supernus Pharmaceuticals, citing strong revenue growth, stable market performance, and promising drug developments as key factors for their positive ratings and price target increases.

Stock Performance: Supernus Pharmaceuticals has seen a 0.5% increase over the past week, recovering from a 14.2% drop in the last month, and has gained 24.4% year-to-date and 25.5% over the past year.
Valuation Insights: The company is currently considered undervalued, with a Discounted Cash Flow (DCF) analysis suggesting an 82.0% discount to its intrinsic value of $252.45 per share.
Price-to-Sales Ratio: Supernus trades at a P/S ratio of 3.81x, which is below the industry average of 4.03x, indicating it may be undervalued compared to its peers.
Narrative Approach: Investors can utilize personalized Narratives to assess Supernus Pharmaceuticals, which incorporate individual assumptions about future performance, allowing for a more dynamic understanding of the stock's fair value.

Biotech Market Surge: On October 30, 2025, numerous biopharma stocks reached new 52-week highs due to breakthrough trial data, strategic deals, and earnings surprises, indicating strong investor confidence in the sector.
Metsera Inc. Developments: Metsera's positive Phase 2b results for its obesity treatment MET-097i and an unsolicited $9 billion acquisition proposal from Novo Nordisk highlight its potential, while ongoing trials are set to advance in 2026.
Indivior and Insmed Performance: Indivior reported a significant increase in net income and revenue, while Insmed raised its revenue guidance for ARIKAYCE, showcasing strong financial performance in the biopharmaceutical space.
Emerging Biotech Innovations: Companies like Ventyx, Inhibrx, and Arrowhead are making strides with promising trial results and strategic partnerships, reflecting a dynamic landscape in biotech focused on addressing various health challenges.

Nvidia and Apple Upgrades: Bank of America and UBS both reiterated their buy ratings on Nvidia, raising price targets significantly, while Bank of America also upgraded Apple, citing its competitive advantages and raising its price target to $320.
Downgrades and Holds: Deutsche Bank downgraded UnitedHealth to hold due to valuation concerns, while Bank of America maintained a neutral stance on Tesla, raising its price target but noting the stock's stretched valuation.
Positive Outlooks for Other Stocks: Bank of America upgraded Wayfair and initiated coverage on Supernus Pharmaceuticals with buy ratings, highlighting positive growth catalysts for both companies.
Earnings Anticipation: Several firms, including Wedbush and Citigroup, expressed optimism about upcoming earnings for companies like Palantir and Flutter, indicating potential positive catalysts in the near future.

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