UBS lowered its rating on French drugmaker Sanofi to neutral from buy, trimming the target price to €88. The move follows a string of clinical setbacks, including the failure of tolebrutinib in multiple sclerosis trials and a delayed approval for another indication. Analysts warn the company lacks strong pipeline replacement power.

With Dupixent expected to peak at $27.8 billion in 2030, UBS cuts earnings forecasts for 2026‑2030 by 8‑10%. The firm also slashes buy‑back plans, citing limited upside from new biologics like amlitelimab and a weaker RSV antibody Beyfortus amid shifting pediatric vaccine guidelines. Company faces pressure from rising R&D costs.

Sanofi’s stock trades at a 10.5× 2026 P/E, below peers, yet UBS sees little room for a valuation rebound. Analysts suggest mergers or acquisitions may be the only path to restore growth. Investors will watch how the company navigates the loss of Dupixent and the uncertain future of its pipeline.