Wall Street Has a Mixed Opinion on Apellis Pharmaceuticals (APLS)

Core Viewpoint - Apellis Pharmaceuticals, Inc. (NASDAQ:APLS) has received mixed opinions from Wall Street following its fiscal second quarter 2025 results, despite the FDA approval of its drug EMPAVELI for rare kidney diseases [1][3]. Financial Performance - The company reported revenue of $178.49 million, which represents a decline of 10.61% year-over-year and fell short of expectations by $10.15 million [2]. - The earnings per share (EPS) was negative $0.33, but this exceeded estimates by $0.15 [2]. FDA Approval and Market Challenges - The FDA approval of EMPAVELI for treating C3 glomerulopathy and primary immune complex membranoproliferative glomerulonephritis is a significant milestone, being the first approved treatment for these conditions in patients aged 12 and older [2][3]. - Analysts have expressed concerns regarding market fragmentation and payor access challenges that may hinder the drug's launch [3]. Analyst Ratings - Tazeen Ahmad from Bank of America Securities maintained a Hold rating with a price target of $26, highlighting the small and possibly underdiagnosed patient group as a limitation for broad uptake [3]. - Conversely, Steven Seedhouse from Cantor Fitzgerald reiterated a Buy rating with a price target of $40, indicating a more optimistic outlook on the stock [4].