Alvotech's Manufacturing Progress, Simponi Launch Potential Support Recovery, UBS Says

12:11 PM EDT, 10/20/2026 (MT Newswires) -- Alvotech (ALVO) has meaningful stock recovery potential as manufacturing progress boosts confidence and regulatory uncertainty eases, UBS Securities said in a note previewing the company's Q3 results. The company is scheduled to report its Q3 results on Nov. 12. The FDA's approval of additional manufacturing capacity for Simlandi, Alvotech's biosimilar to Humira, validates improvements at its Reykjavik site and provides a positive signal ahead of pending FDA decisions in December, UBS said in a Monday note. Alvotech and Teva Pharmaceuticals (TEVA) could launch their Simponi biosimilar in the US following FDA approval, potentially at risk amid pending litigation with Johnson & Johnson (JNJ). The brokerage said that J&J faces a low likelihood of securing a preliminary injunction. The brokerage identified FDA approvals and a potential launch of the Simponi biosimilar as key catalysts for unlocking value. It also highlighted continued manufacturing capacity expansion through internal investment and external partnerships. UBS reiterated its buy rating on Alvotech and raised its price target to $8 from $6, citing improved sales expectations for its existing Humira and Stelara biosimilars and greater confidence in the durability of the portfolio. Shares of Alvotech were up 3.2% in Tuesday afternoon trading. Price: 5.19, Change: +0.16, Percent Change: +3.18