Alvotech ( ALVO ) on Thursday collaborated with Dr. Reddy's Laboratories Ltd. to co-develop, manufacture and commercialize a biosimilar candidate to Keytruda (pembrolizumab) for global markets.

Merck & Co Inc's ( MRK ) Keytruda (pembrolizumab) is indicated for numerous cancer types.

Keytruda's worldwide sales were $29.5 billion in 2024. The collaboration combines Dr. Reddy's and Alvotech's ( ALVO ) capabilities in biosimilars, speeding up the development process and extending the global reach for this biosimilar candidate.

Under the terms of the agreement, the parties will be jointly responsible for developing and manufacturing the biosimilar candidate and sharing costs and responsibilities.

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Subject to certain exceptions, each party will have the right to commercialize the product globally.

In May, the U.S. Food and Drug Administration (FDA) approved Teva and Alvotech Selarsdi (ustekinumab-aekn) injection as interchangeable with the reference biologic Johnson & Johnson's ( JNJ ) Stelara (ustekinumab).

In March, Alvotech ( ALVO ) announced the acquisition of R&D operations of Xbrane Biopharma AB along with a biosimilar candidate, XB003, which is based on Cimzia (certolizumab pegol) for around SEK275 million (around $27 million).

The transaction includes a cash payment of SEK102.2 million at closing, along with the assumption of SEK172.8 million in debt and accounts payable.

HSBC upgraded Dr Reddy's Laboratories from Hold to Buy and raised the price forecast from $14.44 to $16.9.

Stock Prediction For 2025 For Alvotech

Equity research analysts on and off Wall Street typically use earnings growth and fundamental research as a form of valuation and forecasting. But many in trading turn to technical analysis as a way to form predictive models for share price trajectory.

Some investors look to trends to help forecast where they believe a stock could trade at a certain point in the future. Looking at Alvotech ( ALVO ), an investor could make an assessment about a stock's long term prospects using a moving average and trend line. If they believe a stock will remain above the moving average, which many believe is a bullish signal, they can extrapolate that trend into the future using a trend line. For Alvotech ( ALVO ), the 200-day moving average sits at $11.44, according to Benzinga Pro, which is above the current price of $10.46. For more on charts and trend lines, see a description here.

Traders believe that when a stock is above its moving average, it is a generally bullish signal, and when it crosses below, it is a more negative signal. Investors could use trend lines to make an educated guess about where a stock could trade at a later date if conditions remain stable.

Price Action: At the last check on Thursday, RDY stock was up 6.07% at $15.65, and ALVO stock was down 2.49% at $10.56.

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