Oppenheimer has elevated its price target on Revolution (NASDAQ:RVMD) to $150.00 from $75.00 and retained an Outperform rating, reflecting what the firm describes as "substantial M&A speculation" as the company moves into 2026. The new target implies material upside from the stock’s most recent trade of $97.78, while InvestingPro data indicates the stock’s relative strength index points to overbought conditions.
The firm’s upgrade arrives as Revolution faces a mix of clinical progress and shifting takeover speculation. On January 26, the shares dropped roughly 17% amid reports that Merck is no longer in talks to acquire the company. That decline contrasts with a 0.4% gain in the Nasdaq Biotechnology Index on the same day. Over a one-week window, the stock is down about 15.87%, while its 12-month return stands at a robust 140.07%.
Oppenheimer characterizes the recent pullback as potentially offering "an attractive entry point" for investors. The brokerage suggests that the apparent end of acquisition talks with Merck could signal management’s confidence in delivering catalysts that would meaningfully increase value in a potential transaction. InvestingPro’s Fair Value assessment, as cited by analysts, finds the shares trading at approximately fair value today.
In its analysis, Oppenheimer highlights rising strategic demand for new therapeutic approaches in areas with significant unmet medical needs, with oncology singled out as a central focus. That dynamic, the firm says, supports Revolution’s standing as an "attractive potential takeout candidate." At the same time, the company remains unprofitable on an EBITDA basis, reporting a negative EBITDA of $1.03 billion. On balance-sheet metrics, Revolution shows strong short-term liquidity, with a current ratio of 8.05, and the company operates with a moderate level of debt.
Several other brokerages have recently adjusted their views on Revolution. Stifel raised its price target to $170 from $85, keeping a Buy rating and projecting $16.1 billion in revenue by 2035. RBC Capital lifted its target to $140 from $77, citing increased investor interest in potential mergers and acquisitions. Guggenheim updated its target to $160 from $92, driven by revised assumptions for Revolution’s RAS inhibitor program, including daraxonrasib and zoldonrasib.
Goldman Sachs, meanwhile, reiterated a Buy rating but kept a lower target of $73, noting encouraging clinical results. Revolution reported a 63% overall response rate and a 95% disease control rate for zoldonrasib given in combination with folfirinox in patients with pancreatic ductal adenocarcinoma (PDAC). The company is advancing daraxonrasib through three Phase 3 studies in PDAC, with additional trials planned for 2026, underscoring an emphasis on enlarging its oncology pipeline and bolstering its drug portfolio.
Taken together, the uptick in analyst targets and the mix of clinical and corporate developments underscore why investors and strategists are focused on Revolution’s next clinical readouts and any renewed M&A momentum. The recent volatility following the reported end of acquisition talks highlights the sensitivity of the stock to takeover rumors as well as to clinical data flow.
- Current price vs. target: Oppenheimer’s $150.00 target compared with a last trade near $97.78, amid an InvestingPro signal of overbought momentum.
- Market moves: Shares fell about 17% on January 26 after reports Merck is no longer in talks, producing a 1-week return of -15.87% and a 1-year return of +140.07%.
- Analyst landscape: Stifel, RBC and Guggenheim raised targets substantially while Goldman maintained a lower price objective despite positive clinical data.
The company faces a mix of upside potential tied to M&A interest and clinical progress, balanced against continued unprofitability and sensitivity to takeover chatter and trial outcomes.