Argenx: not immune to the market’s rollercoaster

In August 2024, the share price of Argenx touched 490 EUR. Today, at 502 EUR, one could argue that the stock is essentially flat year-over-year. In early 2025, the stock reached a peak of 658 EUR. However, on 8th May, the stock lost 10.9% on huge volume (129 mln EUR traded on Euronext alone) following the publication of 1Q results (with an intraday low of 467.90 EUR or -14.3%). Argenx delivered a solid quarter, the 12th consecutive quarter of strong growth (sales +6% QoQ). Sales of Vyvgart doubled YoY to 790 mln USD. This fierce commercial momentum confirms Vyvgart as the leading biologic in MG, based on strong clinical and real-world data and its first-mover advantage. MG, or myasthenia gravis, is a rare muscle disease with debilitating consequences for patients. Vyvgart is also approved for CIDP, an inflammation of the nerves leading to significant weakness, numbness, and tingling in legs and arms.

Argenx’s first quarter results were fine. But why then was the market not satisfied? One might assume that investors got spoiled by the superb track record, leading to an expectation that it has become “normal” for Argenx to overshoot consensus expectations. Some analysts had set the bar very high, leading to an “optical” disappointment. The publication coincided with increased nervousness concerning pharma tariffs and threats of lower drug prices in the US. The whole sector was under pressure, enhancing the selling pressure on Argenx.

Most analysts consider the sell-off a buying opportunity. First, results confirm the strong sales trajectory of Vyvgart and Argenx’s solid financial position (3.6 bn USD cash). Second, nothing has changed in Argenx’s priorities. This year, the focus is on the PFS (pre-filled syringe) launch of Vyvgart and the development of the pipeline (10 phase 3 and 10 phase 2 studies, entering 4 new molecules in phase 1). In 2026, Argenx again faces significant milestones (4 approval decisions, 6 ph3 readouts, and 6 ph2 readouts).

Some analysts trimmed their target prices (mainly because of a lower dollar), but the consensus still stands at 681 EUR (mean, highest 743 EUR). The main reason for the share price weakness seems to be uncertainty about potential changes in the American market, with the main fear being that prices will come down. Although nobody can predict exactly how the American pharmaceutical environment will change, Argenx management has given some reassuring messages. They produce locally (no risk of pharma tariffs) and have highly innovative products that are only recently on the market. A potential risk is a delay in FDA approvals. But because Argenx is addressing unmet medical needs, this risk seems to be limited. Furthermore, Argenx has one of the best management teams in the industry with a proven ability to adapt to changing circumstances.