Incyte remains a Buy despite 8% drop, driven by strong pipeline and undervaluation.

Incyte Corporation's stock fell 8%, but it remains a Buy due to a strong growth outlook beyond its Jakafi drug. The company is investing heavily to launch four major products by 2026-2027 to offset Jakafi's patent expiration in 2028. Key upcoming catalysts include Jakafi XR, Opzelura's EU launch, Monjuvi for DLBCL, and povorcitinib for HS, with management targeting over $1 billion in new franchise revenue. The stock trades at a forward P/E 26% below industry median, with a fair value estimate 44% above current price, though dependence on Jakafi poses risk.