Insmed, Inc.
INSM
$98.45
+3.07%
Insmed, Inc. is a biopharmaceutical company focused on developing and commercializing therapies for serious and rare diseases, operating within the Biotechnology industry. The company has established a distinct identity as a commercial-stage player with two marketed respiratory products, Arikayce and Brinsupri, while advancing a diversified clinical pipeline across respiratory, immunology, inflammation, and rare neurological disorders. The current investor narrative is dominated by the company's significant revenue growth trajectory, as evidenced by a 152.6% year-over-year increase in its latest quarter, juxtaposed against substantial ongoing losses and cash burn, creating a high-stakes debate around its path to profitability and the valuation of its pipeline assets.…
INSM
Insmed, Inc.
$98.45
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INSM 12-Month Price Forecast
Wall Street consensus
Most Wall Street analysts maintain a constructive view on Insmed, Inc.'s 12-month outlook, with a consensus price target around $127.99 and implied upside of +30.0% versus the current price.
Average Target
$127.99
9 analysts
Implied Upside
+30.0%
vs. current price
Analyst Count
9
covering this stock
Price Range
$79 - $128
Analyst target range
Analyst coverage is robust with 9 firms providing estimates, and recent institutional ratings from major banks like Morgan Stanley, Wells Fargo, and BofA Securities are uniformly bullish, featuring actions such as 'Overweight', 'Outperform', and 'Buy'. The consensus is clearly bullish, with an average revenue estimate of $6.21 billion for the period, implying strong growth expectations, though a specific price target and implied upside are not calculable from the provided data which lacks average target price figures. The target range for estimated EPS is wide, from a low of $8.66 to a high of $11.42, signaling some uncertainty around the pace of profitability improvement, while the revenue estimate range from $5.46 billion to $6.75 billion indicates conviction in the top-line growth story but debate around the exact magnitude.
INSM Technical Analysis
The stock is in a pronounced and sustained downtrend, with a 1-year price change of only 1.0% masking a severe 6-month decline of -50.3%. As of the latest close at $97.85, the stock is trading near the bottom of its 52-week range, at just 10.1% above its 52-week low of $90.39 and 54.0% below its high of $212.75, positioning it as a potential value opportunity but also signaling significant negative momentum and investor pessimism. Recent momentum remains decisively negative, with the stock down -17.1% over the past month and -29.9% over the past three months, sharply underperforming the broader market as indicated by relative strength figures of -17.0 and -41.9, respectively, suggesting the downtrend is accelerating. Key technical support is clearly defined at the 52-week low of $90.39, with resistance at the recent high of $212.75; a breakdown below support would signal a continuation of the bearish trend, while the stock's beta of 0.774 indicates it has been less volatile than the market during this decline, which may offer limited solace given the magnitude of its own price destruction.
Beta
0.77
0.77x market volatility
Max Drawdown
-56.5%
Largest decline past year
52-Week Range
$90-$213
Price range past year
Annual Return
-1.8%
Cumulative gain past year
| Period | INSM Return | S&P 500 |
|---|---|---|
| 1m | -8.1% | +0.3% |
| 3m | -31.6% | +12.3% |
| 6m | -43.7% | +8.9% |
| 1y | -1.8% | +24.0% |
| ytd | -44.4% | +8.7% |
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INSM Fundamental Analysis
Revenue growth is explosive, with Q4 2025 revenue reaching $263.8 million, representing a massive 152.6% year-over-year increase, and sequential growth from $142.3 million in Q3 and $107.4 million in Q2, indicating strong commercial execution for its lead products. However, profitability remains deeply negative, with a Q4 2025 net loss of $328.5 million and a gross margin of 82.5%, while the operating margin was -94.6%, showing that despite high product margins, operating expenses, particularly R&D at $254.9 million, are consuming all revenue and more, with losses widening from -$235.5 million in the year-ago quarter. The balance sheet shows a debt-to-equity ratio of 1.04, indicating a leveraged capital structure, and the company burned $247.6 million in operating cash flow for Q4 alone, with trailing twelve-month free cash flow deeply negative at -$997.6 million, highlighting a critical dependence on external financing to fund its growth and substantial cash burn.
Quarterly Revenue
$263843000.0B
2025-12
Revenue YoY Growth
+1.52%
YoY Comparison
Gross Margin
+0.82%
Latest Quarter
Free Cash Flow
$-997575000.0B
Last 12 Months
Revenue & Net Income Trends (2 Years)
Revenue Breakdown
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Valuation Analysis: Is INSM Overvalued?
Given the consistent and deep net losses, the primary valuation metric selected is the Price-to-Sales (PS) ratio. The trailing PS ratio is an extremely high 61.3x, while the forward-looking metric is not directly provided, but the market cap of $37.2 billion against estimated annual revenue of $6.21 billion implies a forward PS of approximately 6.0x, a massive gap that reflects the market's expectation of explosive revenue growth materializing to justify the current valuation. Peer comparison is challenging as industry average multiples are not provided in the data, but a PS ratio of 61.3x is extraordinarily high by any standard, demanding flawless execution and blockbuster future sales to be sustained. Historically, the stock's own PS ratio has fluctuated wildly, from a high of 214.2x in Q3 2025 to a low of 35.6x in early 2023; the current 61.3x sits below recent peaks but remains elevated, suggesting the market is still pricing in significant future growth despite the recent severe price correction.
PE
-29.1x
Latest Quarter
vs. Historical
Low-End
5-Year PE Range -28x~-3x
vs. Industry Avg
N/A
Industry PE ~N/A*
EV/EBITDA
-32.0x
Enterprise Value Multiple
