Legend Biotech (NASDAQ:LEGN) Trading Down 5.3% Following Analyst Downgrade

Key Points

• Legend Biotech shares fell 5.3% to about $20.67 after TD Cowen cut its price target from $29 to $24 and maintained a “hold” rating.
• The company reported a strong second quarter, with EPS of $0.09 beating estimates of $0.07 and revenue rising 51.9% year over year to $387.5 million. The results marked its first quarter of company-wide profitability.
• Analyst sentiment remains mixed: eight analysts rate the stock a buy, six a hold and one a sell, producing a consensus “hold” rating and average target of $52.29, while several firms have recently reduced their targets.

Legend Biotech Corporation Sponsored ADR (NASDAQ:LEGN - Get Free Report)'s share price fell 5.3% on Wednesday after TD Cowen lowered their price target on the stock from $29.00 to $24.00. TD Cowen currently has a hold rating on the stock. Legend Biotech traded as low as $20.56 and last traded at $20.67. Approximately 1,071,689 shares traded hands during mid-day trading, a decline of 57% from the average session volume of 2,504,307 shares. The stock had previously closed at $21.83.

A number of other equities research analysts also recently weighed in on LEGN. Benchmark reaffirmed a "buy" rating on shares of Legend Biotech in a report on Tuesday, July 28th. Raymond James Financial reiterated an "outperform" rating and set a $58.00 target price on shares of Legend Biotech in a research report on Monday, July 27th. Royal Bank Of Canada lowered their price objective on Legend Biotech from $59.00 to $58.00 and set an "outperform" rating for the company in a research report on Wednesday. Oppenheimer downgraded Legend Biotech from an "outperform" rating to a "market perform" rating and set a $40.00 price target on the stock. in a research note on Wednesday. Finally, UBS Group reissued a "neutral" rating and set a $28.00 price objective (down from $49.00) on shares of Legend Biotech in a research note on Monday, July 27th. Eight analysts have rated the stock with a Buy rating, six have issued a Hold rating and one has issued a Sell rating to the company's stock. According to data from MarketBeat, Legend Biotech currently has a consensus rating of "Hold" and an average target price of $52.29.

Insider Buying and Selling at Legend Biotech

In other news, CEO Ying Huang sold 5,566 shares of the firm's stock in a transaction that occurred on Thursday, June 25th. The stock was sold at an average price of $14.78, for a total value of $82,265.48. Following the transaction, the chief executive officer owned 241,872 shares in the company, valued at $3,574,868.16. This trade represents a 2.25% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this hyperlink. 0.02% of the stock is owned by corporate insiders.

Key Legend Biotech News

Here are the key news stories impacting Legend Biotech this week:

• Positive Sentiment: Legend Biotech reported second-quarter EPS of $0.09, exceeding the $0.07 consensus estimate. Revenue rose 51.9% year over year to $387.5 million, above expectations of $355.96 million. Coverage also highlighted the company’s first quarter of company-wide profitability. Legend Biotech Gains 6% on Q2 Earnings Beat
• Positive Sentiment: The earnings beat and improving profitability provide evidence of continued commercial momentum for Legend Biotech’s cell-therapy business, including Carvykti, and initially supported a gain in the shares. Legend Biotech Reports Second Quarter 2026 Results
• Neutral Sentiment: Analysts cited in a separate report set an average price target of $55.29, implying considerable potential upside, although the wide range of targets indicates significant uncertainty about Legend Biotech’s valuation and outlook. Analysts Set Legend Biotech Price Target
• Negative Sentiment: Oppenheimer reaffirmed its “market perform” rating but sharply reduced its price target to $40 from $75. Royal Bank of Canada maintained an “outperform” rating while trimming its target to $58 from $59. These revisions may be prompting profit-taking despite the strong quarterly results. Legend Biotech Analyst Rating and Price Target Changes

Institutional Investors Weigh In On Legend Biotech

A number of institutional investors and hedge funds have recently modified their holdings of the company. Parallel Advisors LLC increased its stake in shares of Legend Biotech by 171.9% in the third quarter. Parallel Advisors LLC now owns 1,047 shares of the company's stock worth $34,000 after buying an additional 662 shares during the period. Clearstead Advisors LLC lifted its stake in shares of Legend Biotech by 310.7% during the 4th quarter. Clearstead Advisors LLC now owns 3,479 shares of the company's stock valued at $76,000 after buying an additional 2,632 shares in the last quarter. Caitong International Asset Management Co. Ltd lifted its position in shares of Legend Biotech by 1,730.3% in the fourth quarter. Caitong International Asset Management Co. Ltd now owns 3,569 shares of the company's stock worth $78,000 after buying an additional 3,374 shares in the last quarter. Raymond James Financial Inc. purchased a new stake in Legend Biotech during the 2nd quarter valued at $78,000. Finally, IFM Investors Pty Ltd bought a new position in shares of Legend Biotech during the first quarter valued at approximately $81,000. 70.89% of the stock is owned by hedge funds and other institutional investors.

Legend Biotech Stock Performance

The stock's 50 day simple moving average is $26.68 and its 200 day simple moving average is $23.15. The firm has a market capitalization of $3.83 billion, a P/E ratio of -30.32 and a beta of 0.37.

Legend Biotech (NASDAQ:LEGN - Get Free Report) last issued its quarterly earnings data on Tuesday, August 11th. The company reported $0.09 earnings per share for the quarter, beating analysts' consensus estimates of $0.07 by $0.02. Legend Biotech had a negative return on equity of 24.92% and a negative net margin of 21.98%.The company had revenue of $387.50 million for the quarter, compared to the consensus estimate of $355.96 million. During the same quarter last year, the company earned $0.03 earnings per share. The firm's revenue for the quarter was up 51.9% compared to the same quarter last year. On average, analysts anticipate that Legend Biotech Corporation Sponsored ADR will post -0.01 earnings per share for the current year.

About Legend Biotech

Legend Biotech NASDAQ: LEGN is a commercial-stage biopharmaceutical company specializing in the development and commercialization of chimeric antigen receptor T-cell (CAR-T) therapies for oncology. Headquartered in Somerset, New Jersey, with research and development operations in Shanghai, the company leverages a global infrastructure to advance innovative cellular therapies. Legend Biotech pursues a strategy of strategic collaboration to extend its reach, most notably through its partnership with Janssen Biotech, a subsidiary of Johnson & Johnson.

The company's lead asset, ciltacabtagene autoleucel (commercially marketed as Carvykti), is a B-cell maturation antigen (BCMA)–directed CAR-T therapy for the treatment of relapsed or refractory multiple myeloma.

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