Sanofi is outperforming (+2.80% at 83.05 euros) in a more cautious market (+0.65% for the CAC 40). The pharmaceutical giant is supported by its quarterly release, which featured a 13.6% increase in sales at constant exchange rates.

Over the first three months of the year, revenues reached 10.509 billion euros, up 13.6% at constant exchange rates, or 6.2% on a reported basis. According to Oddo BHF, the constant-currency growth came in 3% above consensus expectations.

The French laboratory's strong performance was driven by its flagship treatment, Dupixent (the leading drug in immuno-inflammation), which accounts for nearly 39% of the group's total sales. The latter benefited from new indications in respiratory diseases (COPD/smoker's lung) and dermatology (despite some competition), as well as reduced pricing pressure in the United States. In the first quarter, its sales surged by 30.8% to 4.2 billion euros.

Among other positive factors, Oddo BHF noted strong growth for recently launched products, particularly in hemophilia and blood cancer, while certain 'mature' products performed well (notably in diabetes).

Meanwhile, adjusted operating income reached 2.967 billion euros, beating consensus forecasts by 4%, thanks to a favorable product mix and slightly lower R&D costs. The operating margin settled at 28.2%, 30 basis points above forecasts, despite lower disposal gains (38 million euros, compared to 228 million euros in the first quarter of 2025). However, the operating margin was down compared to the 29.3% recorded a year ago.

Full-year targets were confirmed, and annual revenue growth is still expected at the high end of the single-digit range at constant exchange rates. Under the same conditions, business net earnings per share are expected to grow slightly faster than sales (excluding share buybacks), generating profitable growth.

Oddo BHF confirmed its 'outperform' rating on Sanofi shares, with a price target of 103 euros, implying a 28% upside potential compared to the previous day's close.