Wall Street Analysts Predict a 45.86% Upside in BioMarin (BMRN): Here's What You Should Know

Stock Performance and Price Targets - BioMarin Pharmaceutical (BMRN) shares have gained 2.1% over the past four weeks, closing at $67.38 [1] - The mean price target estimate of$98.28 indicates a potential upside of 45.9% [1] - The average price target comprises 25 estimates ranging from $65 to$138, with a standard deviation of $17.42 [2] - The lowest estimate suggests a 3.5% decline, while the most optimistic estimate points to a 104.8% upside [2] Analyst Consensus and Earnings Estimates - Strong agreement among analysts about the company's ability to report better earnings strengthens the view of a potential upside [4] - The Zacks Consensus Estimate for the current year has increased 4.3% over the past month, with one positive revision and no negative revisions [10] - BMRN currently holds a Zacks Rank 1 (Strong Buy), placing it in the top 5% of over 4,000 ranked stocks [11] Analyst Behavior and Price Target Reliability - Analysts often set overly optimistic price targets to generate interest in companies with which their firms have business relationships [6] - A tight clustering of price targets, indicated by a low standard deviation, suggests a high degree of agreement among analysts [7] - Empirical research shows that price targets rarely indicate where a stock's price is actually heading [5] Investment Considerations - While price targets should not be entirely ignored, making investment decisions solely based on them could lead to disappointing returns [8] - The direction of price movement implied by the consensus price target appears to be a good guide, even if the target itself is not reliable [12]