Jefferies' EUR100 Price Target and Buy Rating on Sanofi: Comprehensive Analysis

, representing approximately from current levels. This rating was most recently reiterated on December 15, 2025, and reaffirmed on December 24, 2025, despite significant regulatory setbacks for one of the company’s key pipeline assets[1, 2].

The EUR100 target reflects confidence in Sanofi’s long-term growth trajectory, particularly driven by its flagship product

and strategic pipeline diversification initiatives[2].

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Sanofi’s US ADR (SNY) is currently trading at with a market capitalization of [0]. The stock has shown relatively modest performance in 2025:

• YTD return: +0.58%
• 1-year return: +0.50%
• 52-week range: $44.62 - $60.12

• P/E Ratio: 10.96x (indicating undervaluation)
• Price-to-Book: 1.43x
• EV/OCF: 7.99x
• Strong profit margins: Net margin 21.16%, Operating margin 36.66%

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remains Sanofi’s cornerstone growth driver and is central to Jefferies’ valuation thesis:

• Record Performance:
  In late 2025, Dupixent achieved a historic milestone with
  quarterly sales exceeding €4 billion
  for the first time[4]
• Ambitious Targets:
  The drug is on track to reach Sanofi’s
  €22 billion annual sales target by 2030
  [4]
• Expanding Indications:
  Recent regulatory approvals include Japan’s authorization for pediatric bronchial asthma in children aged 6-11 years (December 2025), expanding addressable patient populations[5]
• Commercial Strength:
  Global net sales grew 27% year-over-year to $4.86 billion in Q3 2025[3]

Sanofi maintains a robust financial position that supports both R&D investments and strategic acquisitions:

• Cash Position:
  Approximately
  €9.7 billion in cash and equivalents
  as of late 2025[4]
• Capital Deployment:
  The company comfortably funded the
  $2.2 billion all-cash Dynavax acquisition
  without stressing debt metrics[4]
• Profitability:
  Net profit margin of 21.16% and ROE of 12.39% demonstrate efficient capital allocation[0]

2025 marked a significant year for Sanofi’s pipeline visibility, with the company emphasizing

as key drivers to sustain growth beyond Dupixent[3]:

• Immunology assets:
  Multiple candidates in late-stage development
• Respiratory disease pipeline:
  Expanding therapeutic areas
• Vaccines franchise:
  Strengthened through strategic acquisitions (Dynavax)
• R&D discipline:
  Focused capital allocation with higher probability of success

The

(announced December 2025) demonstrates Sanofi’s commitment to expanding its vaccines portfolio:

• HEPLISAV-B:
  Marketed adult hepatitis B vaccine with differentiated two-dose regimen
• Shingles vaccine candidate (Z-1018):
  Phase 1/2 clinical-stage asset with significant market potential
• Strategic Rationale:
  Enhances adult immunization presence, leverages Sanofi’s global scale and commercial reach[0]

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Factor	Impact	Rationale
Dupixent Expansion	High	New indications, geographic expansion, pediatric populations drive revenue growth toward €22B target
Pipeline Execution	Medium-High	Late-stage assets in immunology and respiratory could deliver multiple blockbusters
Strategic Acquisitions	Medium	Dynavax deal demonstrates disciplined capital deployment with accretive potential
Valuation Re-rating	Medium	Attractive P/E of ~11x leaves room for multiple expansion as growth visibility improves
Cost Efficiency	Low-Medium	Operational excellence and R&D discipline support margin expansion

• Continued market share gains in immunology (Sanofi ranked #3 globally in 2025)[6]
• Potential approval and launch of new pipeline assets
• M&A opportunities leveraging strong balance sheet
• Improved investor sentiment as pipeline diversification materializes

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The most significant recent headwind occurred on

, when the FDA issued a for tolebrutinib in non-relapsing secondary progressive multiple sclerosis (nrSPMS)[1]:

• Implications:
  This represents a major pipeline setback, with further FDA guidance not expected until
  Q1 2026
• Financial Impact:
  Sanofi is conducting an
  impairment test on tolebrutinib’s intangible asset value
  , though the outcome will not impact 2025 business EPS guidance[1]
• Expanded Access:
  Sanofi has submitted an expanded access protocol, allowing eligible patients compassionate use during the regulatory review process[1]

represents a long-term overhang:

• The company must identify and develop
  replacement blockbusters
  within the next 5-7 years[4]
• Biosimilar competition could pressure margins post-patent expiry
• This creates urgency around pipeline diversification efforts

• Commercialization timelines
  for late-stage assets may slip
• Clinical trial outcomes
  remain uncertain despite strong fundamentals
• Competitive dynamics
  in immunology and respiratory markets intensifying

Recent analyst actions show mixed sentiment:

• Guggenheim:
  Downgraded to Neutral from Buy (December 9, 2025)
• JP Morgan:
  Downgraded to Neutral from Overweight (December 8, 2025)
• However,
  Morgan Stanley
  upgraded to Overweight in September 2025, highlighting divergent views[0]

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immediately following the tolebrutinib CRL announcement[2]. This reflects:

1. Conviction in Dupixent’s trajectory
   as the primary growth driver
2. Confidence in pipeline diversification
   reducing dependency on any single asset
3. Belief in management’s strategic vision
   under CEO Paul Hudson
4. Attractive valuation
   creating margin of safety for long-term investors

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Metric	Sanofi (SNY)	Peer Average	Assessment
P/E Ratio	10.96x	~15-18x	Attractive discount
P/B Ratio	1.43x	~2.5-3.5x	Undervalued
EV/OCF	7.99x	~10-12x	Cash flow undervalued
Dividend Yield	Notable	Competitive	Income appeal

support Jefferies’ bullish stance:

• Consensus target:
  $61.00 (+19.7% from current)
• Target range:
  $48.07 - $64.00
• **Buy ratings:**14 out of26 analysts (53.8%)
• Overall consensus:
  BUY

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on the company’s ability to:

1. Execute on Dupixent’s €22 billion opportunity
   through2030
2. Successfully diversify the portfolio
   beyond reliance on a single blockbuster
3. Leverage the strong balance sheet
   for disciplined M&A and R&D investments
4. Navigate patent cliff challenges
   through pipeline innovation

The

appears achievable if Dupixent continues its growth trajectory and the pipeline delivers at least one additional major commercial success. However, , particularly around the tolebrutinib restart timeline and the urgency to replace Dupixent long-term.

For investors, Sanofi offers a

with near-term catalyst support from Dupixent expansion, medium-term pipeline visibility improving, and long-term questions around the post-Dupixent era that management is actively addressing through strategic investments and diversification.

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[0] 金灵API数据 - Real-time quotes, company overview, stock price performance, analyst ratings, financial metrics, and news data for Sanofi (SNY)

[1] Investing.com - “Jefferies reiterates Buy rating on Sanofi stock despite FDA setback for tolebrutinib” (https://www.investing.com/news/analyst-ratings/jefferies-reiterates-buy-rating-on-sanofi-stock-despite-fda-setback-for-tolebrutinib-93CH-4422416)

[2] TipRanks - “Sanofi (SAN) Stock Forecast, Price Targets and Analysts Predictions” (https://www.tipranks.com/stocks/fr:san/forecast)

[3] PharmExec - “JP Morgan2026 Preview: Sanofi Looks to Bolster Future Pipeline” (https://www.pharmexec.com/view/jp-morgan-2026-preview-sanofi-looks-to-bolster-future-pipeline)

[4] FinancialContent - “Sanofi’s $2.2 Billion Strategic Pivot: Deconstructing the Dynavax Acquisition” (https://markets.financialcontent.com/wral/article/predictstreet-2025-12-24-sanofis-22-billion-strategic-pivot-deconstructing-the-dynavax-acquisition-and-the-future-of-specialty-medicine)

[5] Yahoo Finance - “Press Release: Sanofi and Regeneron’s Dupixent approved in Japan for children aged 6 to11 years” (https://finance.yahoo.com/news/press-release-sanofi-regeneron-dupixent-060000039.html)

[6] PharmaShots - Immunology Market Analysis (https://pharmashots.com/wp-content/uploads/2025/07/image-1-1.jpg)