Is Incyte a Buy?
Investors who have owned shares of Incyte (NASDAQ: INCY) for the last decade are doing remarkably well, sitting on gains of 1,230%. They've captured all of the progress of Jakafi from the time it was an experimental therapy to its $1.58 billion in combined product and royalty revenue last year. But investors who have only been shareholders for the last five years have a decidedly different take on the business.
Incyte relied on Jakafi for 84% of its total revenue in 2018. That's likely to remain the case following a couple of high-profile stumbles in the pipeline in recent years and lackluster near-term market potential for its remaining late-stage assets. However, the company is likely to generate profits for the foreseeable future and as much as double Jakafi revenue in the next decade. Some of its late-stage assets also have considerable long-term sales potential. Does that make Incyte a buy?
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Source Fool.com
