ARGX R&D day. not possible to have visibility on powering. both bull/bear scenarios playing out

Research evidence excerpt

ARGX R&D day. not possible to have visibility on powering. both bull/bear scenarios playing out

June 23, 2026

Investment Conclusion

Stock setup & transition. Somewhat to our surprise, we thought ARGX would transition from an 'earnings' stock in

2025 to a 'catalyst' stock in 2026. The stock did transition, but only for a brief few months until early April where

future FcRn growth as an entire class took over the narrative. The stock likely now trades more on long-term growth

(aligning with corporate messages) as well as catalysts that have yet to play out. +12% L1M through Monday close

on two reasons (i) higher buyside appreciation for the market opportunity in IMNM (ii) increased buyside conviction on

earnings beats & growth rate, especially after triple-negative approval. Sentiment on upcoming earnings & catalysts

began skewing positive in the past month (from 2 months ago). Recent slower growth from similar-cap ALNY INSM

may also have fueled enthusiasm in ARGX.

Both bullish & bearish items having played out. Our prior bullish stance on seronegative-driven earnings beats

(against downrevising sellside consensus) may not be a possibility anymore, especially given valuation 25.7x FY2

EPS prior to the DM sell-off today (close to the highest of the largecap group, close to ALNY levels). While we had

also been negative on DM subtype data, a stock sell-off has already been triggered (from $933/sh peak prior to 2pm,

to $853/sh close), and the 'IMNM > DM' likely has also (partially) played out because we observed concurrent ROIV

outperformance intraday.

Looking forward, a new controversy will likely emerge ('would DM stand on merit of its own?', but we believe

it's almost impossible to answer this question quantitatively). Farther out, we are still cautious on ARGX due to