Legend Biotech Shares Decline Despite Strong Carvykti Quarterly Sales

Legend Biotech shares have faced significant volatility, dropping 16% this past week despite reporting strong second-quarter 2026 sales of $657 million for its CAR-T therapy, Carvykti. The decline follows a recent public offering and market caution, even as analysts maintain a positive long-term outlook for the company’s growth.

Strong Commercial Momentum for Carvykti

Legend Biotech, an associate of Genscript Biotech, reported net trade sales of approximately US$657 million for its flagship CAR-T therapy, Carvykti, during the second quarter of 2026. This figure represents a 10% increase over the $597 million reported in the previous quarter and narrowly outperformed consensus estimates of $655.3 million, according to data analyzed by H.C. Wainwright.

Despite the commercial success of the therapy—which is marketed under a collaboration and license agreement with Janssen Biotech, Inc.—the market response has been uneven. While the growth reinforces the company’s position in the cell therapy sector, Genscript Biotech has urged investors to exercise caution, noting that the sales data provided by Janssen has not been independently verified and remains subject to the inherent risks of product development and regulatory outcomes.

Market Volatility and Recent Capital Raises

The company’s stock performance has been marked by sharp fluctuations throughout the summer. Shares surged 42% between June 1 and June 2 following the release of an abstract for the company’s LB2501 program, adding roughly $2 billion in market value. However, the stock subsequently surrendered those gains, declining approximately 29%.

Financial maneuvers have further influenced investor sentiment. On June 17, the company announced an underwritten public offering of 7.7 million American Depositary Shares (ADS) priced at $29.35 per share, raising approximately $226 million. This followed an earlier plan to commence a $225 million public share offering.

Analyst Outlook and Financial Targets

Wall Street remains divided on the short-term trajectory of the stock, which currently trades at $23.04. H.C. Wainwright continues to support the company, reiterating a Buy rating with a $65.00 price target. Analysts at the firm suggest that Legend Biotech is on track to turn profitable this year, noting that first-half sales reached $1.254 billion. To hit a full-year forecast of approximately $2.6 billion, the company needs to generate $1.346 billion in the second half of 2026—a goal the firm describes as requiring only a modest increase from current run-rates.

Conversely, JPMorgan has taken a more measured approach, resuming coverage with a Neutral rating and a $35.00 price target for December 2027. While acknowledging the strong launch of Carvykti, the firm highlighted persistent competitive threats within the BCMA CAR-T market.

Upcoming Catalysts and Development Milestones

Looking ahead, investors are tracking several key developments that could dictate the company’s performance in the second half of the year.

LB2501: Updates regarding the durability of the therapy following the recent abstract release.
Regulatory progress: A planned U.S. Investigational New Drug (IND) application expected in the second half of 2026.
Pipeline expansion: Progress on LB2505 dosing and additional programs under the TaVec platform.

As Legend Biotech navigates these milestones, the primary uncertainty remains whether the company can maintain its current growth rate against increasing market competition while balancing the dilution concerns often associated with its recent capital-raising activities.