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Bayer Stock Up as Government Backs Supreme Court Review in Roundup Case

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Key Takeaways

  • Bayer shares rose 12.1% after the Solicitor General supported a Supreme Court review of its Roundup case.
  • The company says U.S. government backing could influence the court's consideration of its petition.
  • Bayer faces many glyphosate lawsuits, with 28 trials done and most related claims already resolved or settled.

Shares of Bayer (BAYRY - Free Report) gained 12.1% after the Solicitor General supported a Supreme Court review of its Roundup weedkiller case in the United States.

Bayer believes that the backing of the government in the United States will be important to the court’s consideration of its petition.

Bayer acquired Roundup weedkiller through Monsanto’s buyout in 2018. However, several lawsuits have been filed by people for the same, alleging that Monsanto’s herbicide caused them to develop cancers. Glyphosate is the active ingredient in Roundup weedkiller.

It has also been alleged that people were not made aware of the cancer risks by either Monsanto or Bayer. Consequently, Bayer has incurred significant litigation costs due to these lawsuits.

More on BAYRY’s Roundup Litigation

Numerous lawsuits have been filed in the United States by plaintiffs alleging exposure to glyphosate-based products produced by Monsanto, a subsidiary of Bayer.

As of Oct. 15, 2025, a total of 28 Roundup-related trials were concluded across federal and state courts in California, Missouri, Oregon, Arkansas, Delaware, Illinois, Georgia and Pennsylvania. Monsanto secured favorable outcomes in 17 of these cases, including 13 defense verdicts, while plaintiffs were awarded compensatory damages in the remaining trials.

However, one of the 13 defense verdicts was overturned by an appellate court in 2024, and the case is scheduled for retrial in the second quarter of 2026.

In April 2025, the company filed a petition for a writ of certiorari with the U.S. Supreme Court in the Durnell case, following the Missouri Supreme Court’s decision to deny Monsanto’s appeal. The petition argues that differing rulings among federal circuit courts in Roundup personal injury litigation, specifically on whether federal law preempts state-based failure-to-warn claims, necessitate Supreme Court review and clarification.

In June 2025, the U.S. Supreme Court asked the Solicitor General to provide the federal government’s view on whether the case should be heard. In the same month, Monsanto reached a settlement agreement with one of the plaintiffs’ law firms covering approximately 17,000 claims.

As of Oct. 15, 2025, roughly 132,000 of the nearly 197,000 claims had been resolved, either through settlement or by being deemed ineligible.

As of Sept. 30, 2025, Bayer reserved $7.6 billion (€6.5 billion) for glyphosate litigation, including adjustments for possible settlements of first-instance verdicts currently on appeal or in post-trial review.

Bayer’s Recent Performance Impressive

Bayer has put up a stellar performance year to date. The stock has surged 101.3%, outpacing the industry’s growth of 16.1%. 
The impressive performance can be attributed to new drug approvals and encouraging pipeline progress.

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Bayer’s key drugs, Nubeqa for cancer and Kerendia for chronic kidney disease associated with type II diabetes, are fueling growth in its pharmaceuticals division, making up for the decline in sales of oral anticoagulant Xarelto, which is co-developed with Johnson & Johnson (JNJ - Free Report) .

Xarelto is marketed by Johnson & Johnson in the United States. Bayer earns license revenues from JNJ for Xarelto sales in the United States.

Approval of additional drugs and label expansion of key drugs will further boost sales from this business.

Bayer is also working to expand the labels of Nubeqa and Kerendia, which, if successful, can further drive growth.

The European Commission recently approved elinzanetant for the treatment of moderate to severe vasomotor symptoms (VMS, also known as hot flashes) associated with menopause or caused by adjuvant endocrine therapy (AET) related to breast cancer, under the brand name Lynkuet. The drug is already approved in the UK and the United States for the treatment of VMS associated with menopause.

The FDA recently granted accelerated approval to Hyrnuo (sevabertinib) for the treatment of adult patients with locally advanced or metastatic non-squamous non-small cell lung cancer whose tumors have human epidermal growth factor receptor 2 tyrosine kinase domain activating mutations, as detected by an FDA-approved test, and who have received a prior systemic therapy.

Bayer is making good pipeline progress as well. Shares gained last week on the company’s announcement that pipeline candidate asundexian met primary efficacy and safety endpoints in late-stage OCEANIC-STROKE Study in secondary stroke prevention.

Results from the study showed that asundexian 50 mg once daily significantly reduced the risk of ischemic stroke compared to placebo, both in combination with antiplatelet therapy, in patients after a non-cardioembolic ischemic stroke or high-risk transient ischemic attack.

Bayer will work with health authorities worldwide to submit marketing authorization applications seeking approval for the candidate.

BAYRY's Zacks Rank & Stocks to Consider

Bayer currently carries a Zacks Rank #3 (Hold). Some better-ranked stocks in the pharma/ biotech sector are CorMedix (CRMD - Free Report) and ANI Pharmaceuticals (ANIP - Free Report) , both currently sporting a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

In the past 60 days, estimates for CorMedix’s 2025 earnings per share (EPS) have increased from $1.83 to $2.87. EPS estimates for 2026 have moved up from $2.48 to $2.88 during the same period. CRMD stock has surged 20.7% year to date.
CorMedix’s earnings beat estimates in each of the trailing four quarters, with an average surprise of 27.04%.

In the past 60 days, estimates for ANI Pharmaceuticals’ EPS have increased from $7.28 to $7.29 for 2025. During the same time, EPS estimates for 2026 have increased from $7.78 to $7.81. Year to date, shares of ANIP have surged 48.5%.

ANI Pharmaceuticals' earnings beat estimates in each of the trailing four quarters, the average surprise being 21.24%.

 

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