JPMorgan has lowered its price target for Sanofi (SNY) to EUR 95 from EUR 105, signaling a shift to a more cautious stance on the French pharmaceutical giant. The move reflects updated expectations around revenue growth and pipeline execution.
- JPMorgan reduced Sanofi's price target from EUR 105 to EUR 95.
- The downgrade was published on December 10, 2025.
- Key factors include pipeline delays and patent cliff pressures.
- SNY’s current market cap exceeds EUR 200 billion.
- Analysts expect a 4%–5% annual revenue decline in core therapeutic areas.
- The move maintains a 'Neutral' rating but reflects a more cautious outlook.
JPMorgan has revised its investment recommendation for Sanofi (SNY), reducing the stock's price target from EUR 105 to EUR 95. The decision, announced on December 10, 2025, marks a 9.5% reduction in the firm's valuation estimate. This downgrade underscores a reassessment of Sanofi’s near-term financial performance and long-term prospects, likely driven by delays in key drug approvals, competitive pressures in the diabetes and immunology segments, and macroeconomic headwinds affecting healthcare spending in key markets. The revised target follows a broader strategic review by the investment bank, which noted that Sanofi’s recent pipeline updates have not met prior expectations. Specifically, the lack of high-impact data from late-stage trials in oncology and autoimmune diseases has contributed to the downward adjustment. Additionally, ongoing patent expirations on key products are expected to erode revenue in 2026, with analysts projecting a 4% to 5% annual decline in core therapeutic areas. The move is poised to influence trading dynamics for SNY, particularly among institutional investors and fund managers tracking pharmaceutical equities. The stock, which has traded within a narrow range of EUR 92 to EUR 103 over the past six months, may face increased volatility as market participants recalibrate risk assessments. Analysts note that the downgrade is not accompanied by a change in rating, maintaining a 'Neutral' stance, but the price target reduction signals a more pessimistic view on capital appreciation potential. Sanofi’s current market capitalization exceeds EUR 200 billion, making it one of the largest pharmaceutical companies in Europe. The company’s performance will remain under scrutiny as it approaches the 2026 earnings season, with investors awaiting clarity on its ability to deliver consistent innovation and margin resilience.