Royal Bank Of Canada Increases Revolution Medicines (NASDAQ:RVMD) Price Target to $165.00

Key Points

• Royal Bank of Canada raised its price target on Revolution Medicines to $165 with an "outperform" rating, and other firms including Piper Sandler ($172) and Wedbush ($165) also lifted targets, supporting a consensus "Buy" view on the stock.
• Clinical catalysts — including a NEJM publication for daraxonrasib and Phase 3 RASolute 302 results claiming an "unprecedented" survival benefit with planned global regulatory submissions — coincide with a strengthened balance sheet from ~$2.2B in financings, yet the stock traded down to $144.06 after a Q1 EPS miss of ($2.29) vs. ($1.83) consensus.
• Insiders have sold shares recently (about 184,592 shares worth ~$24.5M over 90 days) while institutional ownership is very high at ~94.3%, led by large positions from Vanguard, Farallon and Janus Henderson.

Revolution Medicines (NASDAQ:RVMD - Get Free Report) had its price objective lifted by Royal Bank Of Canada from $162.00 to $165.00 in a research note issued to investors on Thursday,Benzinga reports. The brokerage currently has an "outperform" rating on the stock. Royal Bank Of Canada's price objective would indicate a potential upside of 14.54% from the stock's current price.

Other equities analysts have also issued research reports about the company. Piper Sandler raised their price objective on Revolution Medicines to $172.00 and gave the stock an "overweight" rating in a report on Thursday. Jefferies Financial Group assumed coverage on Revolution Medicines in a report on Monday, March 16th. They set a "buy" rating on the stock. Evercore reissued an "outperform" rating on shares of Revolution Medicines in a report on Tuesday, April 14th. Stifel Nicolaus reissued a "buy" rating on shares of Revolution Medicines in a report on Monday, April 20th. Finally, Wedbush raised their price target on Revolution Medicines to $165.00 and gave the stock an "outperform" rating in a report on Thursday. Four research analysts have rated the stock with a Strong Buy rating, sixteen have assigned a Buy rating and one has assigned a Sell rating to the company's stock. According to MarketBeat, the stock has a consensus rating of "Buy" and an average target price of $102.18.

Revolution Medicines Stock Performance

Shares of RVMD stock traded down $7.02 during mid-day trading on Thursday, hitting $144.06. 1,136,572 shares of the stock were exchanged, compared to its average volume of 3,490,577. The stock's fifty day simple moving average is $112.65 and its two-hundred day simple moving average is $93.81. The stock has a market capitalization of $30.62 billion, a price-to-earnings ratio of -24.32 and a beta of 1.41. Revolution Medicines has a 12-month low of $34.00 and a 12-month high of $155.70. The company has a debt-to-equity ratio of 0.16, a quick ratio of 7.14 and a current ratio of 7.14.

Revolution Medicines (NASDAQ:RVMD - Get Free Report) last issued its quarterly earnings data on Wednesday, May 6th. The company reported ($2.29) earnings per share (EPS) for the quarter, missing the consensus estimate of ($1.83) by ($0.46). During the same period in the prior year, the firm earned ($1.13) earnings per share. On average, analysts forecast that Revolution Medicines will post -7.42 EPS for the current year.

Insider Transactions at Revolution Medicines

In related news, insider Stephen Michael Kelsey sold 4,302 shares of the firm's stock in a transaction dated Tuesday, March 17th. The shares were sold at an average price of $99.48, for a total value of $427,962.96. Following the completion of the sale, the insider owned 295,398 shares in the company, valued at $29,386,193.04. This trade represents a 1.44% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, insider Xiaolin Wang sold 2,010 shares of the firm's stock in a transaction dated Tuesday, March 17th. The shares were sold at an average price of $99.48, for a total transaction of $199,954.80. Following the completion of the sale, the insider owned 116,063 shares of the company's stock, valued at approximately $11,545,947.24. The trade was a 1.70% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders have sold 184,592 shares of company stock valued at $24,499,532 over the last 90 days. Insiders own 8.20% of the company's stock.

Institutional Investors Weigh In On Revolution Medicines

Hedge funds have recently added to or reduced their stakes in the company. Vanguard Group Inc. lifted its position in shares of Revolution Medicines by 6.7% during the 4th quarter. Vanguard Group Inc. now owns 16,719,886 shares of the company's stock valued at $1,331,739,000 after acquiring an additional 1,056,792 shares during the period. Farallon Capital Management LLC lifted its position in shares of Revolution Medicines by 2.1% during the 3rd quarter. Farallon Capital Management LLC now owns 14,625,692 shares of the company's stock valued at $683,020,000 after acquiring an additional 300,000 shares during the period. Janus Henderson Group PLC lifted its position in shares of Revolution Medicines by 8.3% during the 4th quarter. Janus Henderson Group PLC now owns 12,303,502 shares of the company's stock valued at $980,036,000 after acquiring an additional 947,448 shares during the period. Baker BROS. Advisors LP lifted its position in shares of Revolution Medicines by 1.0% during the 3rd quarter. Baker BROS. Advisors LP now owns 9,455,357 shares of the company's stock valued at $441,565,000 after acquiring an additional 90,385 shares during the period. Finally, Nextech Invest Ltd. lifted its position in shares of Revolution Medicines by 20.7% during the 4th quarter. Nextech Invest Ltd. now owns 7,601,087 shares of the company's stock valued at $332,472,000 after acquiring an additional 1,304,347 shares during the period. Institutional investors and hedge funds own 94.34% of the company's stock.

Revolution Medicines News Summary

Here are the key news stories impacting Revolution Medicines this week:

• Positive Sentiment: New England Journal of Medicine published Phase 1/2 daraxonrasib data in pancreatic cancer, supporting the science behind the pivotal RASolute 302 trial and validating clinical benefit observed to date. NEJM Publication
• Positive Sentiment: Company reported that daraxonrasib produced an “unprecedented” survival benefit in the Phase 3 RASolute 302 trial, plans global regulatory submissions, and flagged ASCO plenary presentation of detailed data — all strong near-term regulatory and value catalysts. The company also strengthened its balance sheet with about $2.2B gross proceeds from financings. Q1 Results & Corporate Update
• Positive Sentiment: Analyst upgrades and higher targets: Piper Sandler raised its price target to $172 (overweight) and Wedbush raised its target to $165 (outperform), signaling institutional confidence in the longer-term upside tied to clinical progress. Piper Sandler Upgrade Wedbush Upgrade
• Neutral Sentiment: Reporting on side effects: Reuters notes the daraxonrasib data showed a high rate of mostly low-grade side effects — manageable for many patients but something regulators and clinicians will watch as the program moves toward approval. Reuters Side-Effects Report
• Neutral Sentiment: Earnings call transcript is available for details on R&D timing, regulatory plans and capital deployment; useful for investors who want management commentary that could clarify near-term milestones. Earnings Call Transcript
• Negative Sentiment: Q1 EPS missed expectations: RVMD reported ($2.29) EPS vs. consensus ($1.83) — a notable miss that likely pressured the stock today despite the upbeat clinical news. Earnings Release / Summary

About Revolution Medicines

Revolution Medicines is a clinical-stage biopharmaceutical company focused on discovering and developing small molecule therapies to treat RAS-dependent cancers and other diseases driven by the RAS/MAPK pathway. The company's research efforts target historically “undruggable” proteins, aiming to inhibit critical nodes in cell signaling that promote tumor growth and therapeutic resistance.

The lead pipeline includes RMC-4630, a SHP2 inhibitor; RMC-6291, a selective KRAS G12C inhibitor; and RMC-6236, a pan-RAS inhibitor designed to address multiple RAS mutations.

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