Regeneron's Expanded Pipeline Not A Concern For Morgan Stanley

Morgan Stanley on Wednesday issued a report on Regeneron Pharmaceuticals Inc (NASDAQ: REGN) after the company reported guidance that was below estimates. Regeneron is currently rated as Overweight with a price target of $499.00.

Analysts Matthew Harrison, Matthew Pommer and Amy Le wrote, "the expanded pipeline (2 blockbuster/potential blockbuster approved assets by 2015 year end and 4-5 Phase III programs) is impressive and points to the potential for sustained long-term growth."

The analysts gives 2 key updates on the pharmaceutical company.

1. All of Medicare and 98% of commercial lives have coverage for Eylea, making Regeneron's drug high in demand.
2. The market share of FDA-approved products in wAMD in the U.S. is now ~56% and Eylea has a larger share of the market than Lucentis. This gives Regeneron a substantial competitive advantage in the market.

Regeneron Pharmaceuticals Inc. closed Monday at $400.71.