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AstraZeneca's 2027 Pipeline Could Unlock Over $10B in Sales, J.P. Morgan Says

ENTHMSVIIDZHZH-TWJAKOHI
Sep 16, 20262 min read
AstraZeneca's 2027 Pipeline Could Unlock Over $10B in Sales, J.P. Morgan Says

Summary

J.P. Morgan reiterated its 'overweight' rating on AstraZeneca, identifying six pivotal Phase III trial readouts in 2027 that could collectively generate over $10 billion in risk-adjusted peak sales and secure the drugmaker's long-term growth.

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Background

J.P. Morgan has reiterated its "overweight" rating on AstraZeneca, highlighting six upcoming Phase III trial results due in 2027 that it believes could reshape the pharmaceutical giant's growth prospects. According to the bank, these potential drugs in oncology, cardiovascular, and kidney disease represent more than $10 billion in collective risk-adjusted peak sales, bolstering confidence in the company's outlook beyond 2030.

Analyst View

In a research note, J.P. Morgan maintained its price target of £160 for AstraZeneca stock, implying a price-to-earnings multiple of 19 times. The bank described the company's share price as of Sept. 15 (12,116 pence) as an "attractive entry point" for investors into what it termed a strong mid-term growth story.

Cardiovascular and Kidney Disease Catalysts

Analysts pointed to several key non-oncology readouts expected in 2027 that could drive significant revenue.

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  • Laroprovstat: Data for this oral PCSK9 cholesterol-lowering drug is expected in the first quarter of 2027. J.P. Morgan forecasts peak risk-adjusted sales of $3.2 billion, above the consensus estimate of $2.4 billion, citing its advantage of not requiring fasting like a rival drug from Merck.
  • Farxiga Combinations: Two combination studies involving the blockbuster drug Farxiga represent over $5 billion in peak sales potential. The combination with zibotentan for kidney disease, due in Q1 2027, was assigned an 80% probability of success. A separate combination with balcinerenone for heart failure, due in Q3 2027, was seen as more borderline with a 50% chance of success.

Oncology Pipeline in Focus

The bank also identified three high-potential oncology drugs with data expected in 2027, which together could be worth over $5 billion in peak sales.

  • Datroway: For triple-negative breast cancer, J.P. Morgan sees an 80% probability of success based on strong earlier trial data.
  • Puxi-sam: For second- or third-line endometrial cancer, analysts also assigned an 80% probability of success.
  • Saruparib: For metastatic castration-sensitive prostate cancer, a Q4 2027 readout has a "reasonably strong" chance of success in a key patient sub-group, which J.P. Morgan said is sufficient to de-risk $3 billion in peak sales.

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