11:27 AM EDT, 07/16/2024 (MT Newswires) -- Biogen (BIIB) needs to acquire additional revenue-generating assets for the turnaround to complete, Wedbush said in a Tuesday note to clients.

The company has indicated capacity for $8 billion to $10 billion additional transactions over the next two years, according to the note.

Potential acquisitions were narrowed down to Pharvaris (PHVS), Viridian Therapeutics (VRDN), and Edgewise Therapeutics (EWTX), as these companies "hold at least proof-of-concept data, near-/intermediate-term revenue potential and align with therapeutic areas in [Biogen's] current domain," Wedbush analyst Laura Chico said in the note.

Biogen completed its acquisition of Reata Pharmaceuticals and Human Immunology Biosciences over the last year, bringing in candidates that filled gaps in Biogen's neuromuscular and specialized immunology divisions, the note said.

"We think future deals would likely stay within this framework," the note added.

Wedbush has a neutral rating and a $215 price target on Biogen's stock.

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