ASX Biotech Update: Jefferies Recommends Buy on Three Pharma Stocks

Sonal Goyal

09 February 2026 04:28 PM AEDT

ASX Biotech Update: Jefferies Recommends Buy on Three Pharma Stocks

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Highlights

Jefferies issued Buy ratings on MSB, TLX and CU6 with target prices of AUD 3.50, AUD 24.50 and AUD 5.15.
Telix reported FY2025 revenue of approximately AUD 1.2 billion, supported by U.S. market activity.
Clarity Pharmaceuticals held AUD 226.2 million in cash as at 31 December 2025.

ASX-listed biotechnology stocks have returned to the spotlight after global investment firm Jefferies issued Buy ratings on three Australian pharmaceutical companies—Mesoblast Ltd, Telix Pharmaceuticals Ltd and Clarity Pharmaceuticals Ltd. Despite recent share price declines across the sector, Jefferies’ latest assessments highlight upside potential driven by commercial progress, revenue momentum and balance sheet positioning.

Jefferies Names Three ASX Pharma Picks

Jefferies initiated or reaffirmed Buy calls on Mesoblast (ASX MSB), Telix Pharmaceuticals (ASX:TLX) and Clarity Pharmaceuticals (ASX:CU6), setting target prices of AUD 3.50, AUD 24.50 and AUD 5.15 respectively. Each company operates in a different segment of the biotech space, ranging from cellular therapies to radiopharmaceuticals, providing diversified exposure within the healthcare sector.

Mesoblast: Revenue Growth and Financing Update

Mesoblast shares were trading at AUD 2.38 on 9 February, up 6.95% on the day, although the stock remains down 21.03% over the past year. The company, which focuses on allogeneic cellular medicines for inflammatory diseases, reported Ryoncil® gross sales of USD 35 million for the quarter ended 31 December 2025. Net revenue for the period reached USD 30 million, representing a 60% increase from the prior quarter.

During the quarter, Mesoblast also secured a new non-dilutive credit line of USD 125 million at a fixed interest rate of 8.00% per annum. As at 31 December 2025, the company held USD 130 million in cash, with quarterly net operating cash spend reported at USD 16 million.

Telix Pharmaceuticals: Commercial Expansion Continues

Telix Pharmaceuticals traded at AUD 9.84 on 9 February, marginally lower on the day and down 65.51% year-on-year. For the quarter ended 31 December 2025, Telix reported unaudited full-year revenue of approximately USD 804 million, equivalent to about AUD 1.2 billion, aligning with its upgraded guidance range.

Fourth-quarter revenue reached approximately USD 208 million, marking a 46% increase year-over-year. The company’s Precision Medicine segment generated USD 161 million, supported by the U.S. launch of Gozellix® following reimbursement approval from the Centers for Medicare and Medicaid Services. Telix also advanced multiple clinical programs and announced a strategic collaboration with Varian, a Siemens Healthineers company.

Clarity Pharmaceuticals: Cash Position in Focus

Clarity Pharmaceuticals shares traded at AUD 2.90 on 9 February, rising 6.23% for the session while remaining down 20.33% over the past year. In its recent quarterly update, Clarity reported a cash position of AUD 226.2 million as at 31 December 2025. The funding level is expected to support continued development activities as the company progresses its radiopharmaceutical pipeline toward commercialisation.

Jefferies’ latest outlook places renewed attention on selected ASX biotechnology stocks amid ongoing sector volatility. With commercial milestones, revenue updates and funding positions shaping near-term developments, Mesoblast, Telix Pharmaceuticals and Clarity Pharmaceuticals remain closely watched by market participants.

Frequently Asked Questions (FAQ)

Q1: Why did Jefferies issue Buy calls on these ASX biotech stocks?
Jefferies cited company-specific developments, including revenue updates, clinical progress and funding positions, when assigning Buy ratings and target prices.

Q2: What is Telix Pharmaceuticals’ latest reported revenue?
Telix reported unaudited FY2025 revenue of approximately US$804 million, or around AUD 1.2 billion.

Q3: How much cash does Clarity Pharmaceuticals hold?
As at 31 December 2025, Clarity Pharmaceuticals reported a cash position of AUD 226.2 million.

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