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1. Company Snapshot

1.a. Company Description

Sanofi, together with its subsidiaries, engages in the research, development, manufacture, and marketing of therapeutic solutions in the United States, Europe, and internationally.It operates through three segments: Pharmaceuticals, Vaccines, and Consumer Healthcare.The company provides specialty care products, including human monoclonal antibodies; products for multiple sclerosis, neurology, other inflammatory diseases, immunology, rare diseases, oncology, and rare blood disorders; medicines for diabetes; and cardiovascular and established prescription products.


It also supplies poliomyelitis, pertussis, and hib pediatric vaccines; and influenza, adult booster, meningitis, and travel and endemic vaccines.In addition, the company offers allergy, cough and cold, pain, liver care, physical and mental wellness, probiotics, digestive, and nutritional products; and other products, such as daily body lotions, anti-itch products, moisturizing and soothing lotions, and body and foot creams, as well as powders for eczema.Further, it has various pharmaceutical products and vaccines in development stage.


Sanofi has collaboration agreement with GlaxoSmithKline to develop a recombinant Covid-19 vaccine; and a research collaboration with Stanford University School of Medicine to advance the understanding of immunology and inflammation through open scientific exchange.It also has a collaboration and license option agreement with Prellis Biologics, Inc.The company was formerly known as Sanofi-Aventis and changed its name to Sanofi in May 2011.


Sanofi was founded in 1973 and is headquartered in Paris, France.

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1.b. Last Insights on SAN

Sanofi's recent performance has been driven by several positive factors. The company's pipeline has been highlighted as a key strength by analysts, with Bank of America Securities maintaining a Buy rating and a price target of €115. Additionally, Sanofi has expanded its product pipeline through multi-billion acquisitions, despite missing Q2 earnings sales expectations. The company has also received FDA approval for its rare disease therapy, Waylivra, and has entered into a licensing agreement with Novavax to use its Matrix-M adjuvant in a pandemic influenza vaccine candidate program. Furthermore, Berenberg analysts note that Sanofi's profitability is healthier than it appears due to an accounting change.

1.c. Company Highlights

2. Sanofi's Q3 2025 Earnings: A Strong Performance Driven by Dupixent and New Launches

Sanofi reported a robust Q3 2025, with net sales reaching EUR 12.4 billion, up 7% from the previous year, driven primarily by the strong performance of Dupixent and new launches. The company's business EPS came in at EUR 2.91, beating analyst estimates of EUR 2.92, though actual EPS was reported at EUR 3.2. The gross margin increased by 2.3 percentage points, and operating expenses grew by 6%. The company's vaccine business saw sales of EUR 3.4 billion, impacted by competitive pricing and lower flu immunization rates.

Publication Date: Nov -25

📋 Highlights
  • Q3 Sales Growth:: Sales reached EUR 12.4 billion, up 7% YoY, driven by 26% growth in Dupixent (EUR 4 billion quarterly sales) and 41% growth in new launches (15% of total sales).
  • Margin Expansion:: Business gross margin rose 2.3 percentage points, with H1 2025 showing a 1.8pp increase, despite limited Dupixent manufacturing efficiency benefits in Q3.
  • EPS Growth:: Business EPS reached EUR 2.91, up 13% YoY, exceeding prior guidance and reflecting disciplined cost growth (6% operating expense rise vs. 7% sales growth).
  • 2025 Guidance Reaffirmed:: Sanofi confirmed high single-digit sales growth and low double-digit business EPS growth, supported by strong pharma performance and pipeline progress.
  • 2026 Capital Gains:: Expected EUR 0.5 billion from divestments and EUR 700 million in Amvuttra royalties, offsetting a EUR 0.5 billion EBIT gap from Regeneron R&D reimbursement cuts.

Segment Performance

The pharma segment, particularly immunology and recent launches, drove the sales growth. Dupixent continued its strong trajectory, reaching EUR 4 billion in quarterly sales, with a 26% growth this quarter. New launches grew 41% and represent 15% of total sales. The company's diversified sources of growth across various indications, including asthma, atopic dermatitis, EoE, nasal polyps, COPD, and CSU, are expected to sustain the growth momentum.

Pipeline Updates

Sanofi made significant progress in its pipeline, with regulatory approvals for Wayrilz in the US and Tzield in China. Dupixent received regulatory submission acceptances for CSU in children in the US and EU. The company also reported successful readouts from Phase III programs, including amlitelimab meeting its primary endpoint in atopic dermatitis. The PDUFA date for tolebrutinib, a treatment for SPMS, is set for December 28, 2025.

Guidance and Outlook

Sanofi reiterated its full-year 2025 guidance, including high single-digit sales growth and low double-digit business EPS growth. The company expects to achieve around EUR 0.5 billion of capital gains from divestments in 2026, similar to 2025. Analysts estimate next year's revenue growth at 6.3%. The company's guidance for 2026 implies profitable growth, with all items on the P&L expected to grow faster than sales.

Valuation

Sanofi's current valuation metrics, including a P/E Ratio of 11.55, P/B Ratio of 1.51, and EV/EBITDA of 11.79, indicate a reasonable valuation. The company's ROE of 12.39% and ROIC of 12.26% suggest a strong return on equity and invested capital. The dividend yield of 4.56% provides a stable income stream for investors.

3. NewsRoom

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Is Sanofi Now an Opportunity After Recent R and D and Portfolio Reshaping Moves?

Dec -04

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Press Release: Sanofi completes acquisition of Vicebio

Dec -04

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LabGenius Therapeutics Announces New Collaboration with Sanofi for Multiple AI/ML-driven Antibody Optimisation Programmes

Dec -04

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ARWR: Multiple Data Readouts Ahead in 2026…

Dec -01

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European Equities Traded in the US as American Depositary Receipts Rise in Friday Trading, Gain 4% for Week

Nov -28

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The Bull Case For Regeneron (REGN) Could Change Following European Approval of Dupixent for CSU Patients

Nov -28

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Deutsche Bank Maintains a Buy Rating on Sanofi (SNY)

Nov -28

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Sanofi Stock Drops After Confirming Raid, Tax Fraud Investigation

Nov -26

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4. Business Breakdown

4.a. Revenues by Country

4.b. Revenues by Segment

5. Expected revenues mid-term growth (6.49%)

6. Segments

Biopharma

Expected Growth: 6.5%

Sanofi's Biopharma growth of 6.5% is driven by strong performances of Dupixent (eczema treatment) and innovative pipeline assets. Increasing demand for biologics, expanding into new markets, and strategic partnerships contribute to this growth. Dupixent's sales growth and recent FDA approvals of new treatments, such as SAR440340, further boost the segment's performance.

Others

Expected Growth: 4.8%

Sanofi's growth of 4.8% is driven by strong performance in its pharmaceutical and vaccine segments, particularly with blockbuster drugs like Dupixent and Toujeo. Additionally, the company's consumer healthcare and emerging markets segments contribute to its growth, fueled by increasing demand for its products in these areas.

7. Detailed Products

Vaccines

Sanofi's vaccine portfolio includes vaccines for influenza, pertussis, polio, and other diseases.

Diabetes Care

Sanofi's diabetes care products include insulin and other treatments for type 1 and type 2 diabetes.

Rare Diseases

Sanofi's rare disease treatments include therapies for Fabry disease, Pompe disease, and other rare genetic disorders.

Multiple Sclerosis

Sanofi's multiple sclerosis treatments include therapies to slow disease progression and manage symptoms.

Oncology

Sanofi's oncology products include therapies for various types of cancer, including breast, lung, and prostate cancer.

Immunology

Sanofi's immunology products include therapies for autoimmune diseases such as rheumatoid arthritis and lupus.

Consumer Healthcare

Sanofi's consumer healthcare products include over-the-counter medications and vitamins for various health needs.

8. Sanofi's Porter Forces

Forces Ranking

Threat Of Substitutes

Sanofi faces moderate threat from substitutes due to the presence of alternative treatments and generics in the pharmaceutical industry.

Bargaining Power Of Customers

Sanofi's customers, including patients and healthcare providers, have limited bargaining power due to the company's strong brand presence and diversified product portfolio.

Bargaining Power Of Suppliers

Sanofi's suppliers, including contract manufacturers and raw material providers, have moderate bargaining power due to the company's dependence on them for high-quality inputs.

Threat Of New Entrants

The pharmaceutical industry has high barriers to entry, including significant R&D investments and regulatory hurdles, making it difficult for new entrants to challenge Sanofi's market position.

Intensity Of Rivalry

The pharmaceutical industry is highly competitive, with many established players, including Pfizer, Novartis, and Roche, competing with Sanofi for market share and innovation.

9. SWOT Analysis

Strength

Weaknesses

Opportunities

Threats

10. Capital Structure

10.a. Balance Sheet

10.b. Weighted Average Cost of capital

Value
Debt Weight 18.37%
Debt Cost 6.16%
Equity Weight 81.63%
Equity Cost 6.16%
WACC 6.16%
Leverage 22.51%

11. Quality Control: Sanofi passed 6 out of 9 key points

12.a Historical Valuation

12.b Price/Earnings Ratio

12.c Margin Valuation

12.d Peers Valuation

Peers Group Analysis

Stock-Card
Novartis

A-Score: 6.3/10

Value: 3.5

Growth: 4.2

Quality: 7.8

Yield: 7.5

Momentum: 5.5

Volatility: 9.3

1-Year Total Return ->

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GSK

A-Score: 5.7/10

Value: 3.9

Growth: 2.2

Quality: 6.5

Yield: 6.9

Momentum: 7.5

Volatility: 7.3

1-Year Total Return ->

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Stock-Card
Sanofi

A-Score: 5.7/10

Value: 5.7

Growth: 4.0

Quality: 8.0

Yield: 7.5

Momentum: 1.5

Volatility: 7.3

1-Year Total Return ->

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Stock-Card
AstraZeneca

A-Score: 5.5/10

Value: 2.0

Growth: 7.6

Quality: 6.9

Yield: 3.1

Momentum: 6.5

Volatility: 7.0

1-Year Total Return ->

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Stock-Card
Roche

A-Score: 5.3/10

Value: 2.0

Growth: 3.0

Quality: 6.4

Yield: 6.2

Momentum: 6.0

Volatility: 8.0

1-Year Total Return ->

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Stock-Card
Bayer

A-Score: 4.5/10

Value: 8.1

Growth: 2.1

Quality: 2.5

Yield: 3.8

Momentum: 6.5

Volatility: 4.3

1-Year Total Return ->

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Peers Metrics

12.e Scoring Insights

12.f DCF BETA

Parameters

Short Term Growth

Short term Time

Long-Term Growth

WACC

Target Price

85.0$

Current Price

85$

Potential

-0.00%

Expected Cash-Flows