Ipsen Earnings: Robust Sales Growth Driven by Dysport and Cabometyx; Shares Moderately Undervalued

Ipsen reported strong first-quarter results highlighted by total revenue of nearly $741 million, representing about 8% growth from the prior-year period. Strong revenue contributions from Dysport and Cabometyx helped drive the company’s growth during the quarter as their sales increased 30.5% and nearly 32% year over year, respectively. We maintain our fair value estimate of EUR 120 per share and view the stock as moderately undervalued, currently trading at a 9% discount to our fair value estimate. We maintain Ipsen’s narrow economic moat rating, which is based on its strong intangible assets, medium uncertainty rating, and negative moat trend.