Truist analysts have increased their price target (PT) for Exelixis Inc (NASDAQ:EXEL), reflecting greater confidence in the company’s growth prospects.

Exelixis, a biotechnology firm specializing in oncology treatments, continues to gain momentum with its flagship drug, Cabometyx, and its promising pipeline, Truist analysts said in a note.

The brokerage raised PT to $42 from $38 while retaining a “Buy” rating.

The analysts cited expanded sales potential for Cabometyx in treating neuroendocrine tumors (NET) as a key factor in the updated valuation. They now estimate peak sales for this indication to reach approximately $700 million, while Exelixis projects a potential market size of $1 billion.

Source: INVESTING