Jun. 19 at 4:42 PM
Sandoz and
$ALVO operate similar business models in generics and biosimilars. Sandoz is diversified, while
$ALVO focuses purely on biosimilars, which could support higher margins over time, depending on execution.
Growth profiles differ meaningfully: Sandoz is guiding for mid- to high-single-digit growth, while
$ALVO targets double-digit expansion.
Sandoz trades at roughly ~3x 2026 revenue. Applying a similar multiple to
$ALVO implies a share price above
$6, assuming it delivers on expectations.
Key catalysts are:
- Smooth regulatory execution, without further FDA setbacks
- Timely launches of AVT03, AVT05, and AVT06
- Continued global market share gains
If execution holds,
$ALVO could enter a sustained growth phase, supported by the long commercial lifecycles typical of biosimilars before pricing pressure gradually increases.
I will just hold and watch the ride. The risk/reward ratio seems extremely appealing.
