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AGIO Stock Sinks 29% in Three Months: Here's What You Need to Know

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Key Takeaways

  • Agios discontinued tebapivat after studies failed to show enough differentiation from existing PK activators.
  • Mitapivat sales rose 259.3% year over year to $44.7 million in the second quarter of 2026.
  • Agios awaits an FDA decision on mitapivat for SCD amid intensifying competition from Novo Nordisk.

Shares of Agios Pharmaceuticals (AGIO - Free Report) have declined 29% over the past three months despite strong growth in mitapivat sales in the second quarter of 2026. The decline largely reflects setbacks to tebapivat, a key pipeline candidate, which have raised concerns about the company’s ability to diversify its growth beyond its mitapivat franchise.

Tebapivat Setback Weakens Pipeline Prospects

The biggest negative for Agios has been the failure of tebapivat, an investigational next-generation pyruvate kinase (PK) activator, to establish a sufficiently differentiated profile.

In May, Agios stopped developing the candidate in lower-risk myelodysplastic syndromes (LR-MDS) after a phase IIb study failed to meet the company’s predefined threshold for further development. The setback was followed by another blow in July, when Agios discontinued tebapivat’s development in sickle cell disease (SCD). Although the phase II study data showed improvements in hemoglobin and hemolysis, the results did not demonstrate enough differentiation from existing PK activators to justify further development.

Consequently, Agios discontinued tebapivat’s development across all indications, leaving it with a narrower pipeline. The decision raised concerns about the company’s ability to diversify beyond its marketed mitapivat franchise.

Year to date, AGIO’s shares have gained 14.9% compared with the industry’s 3.3% growth.

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Agios Becomes Increasingly Dependent on Mitapivat

With tebapivat no longer advancing in LR-MDS or SCD, mitapivat has become increasingly important to Agios’ long-term growth story. The drug is marketed as Pyrukynd for PK deficiency and as Aqvesme for thalassemia in the United States. Outside the United States, mitapivat continues to be marketed as Pyrukynd for PK deficiency and thalassemia indications. Pyrukynd and Aqvesme generated $44.7 million in worldwide revenues in the second quarter of 2026, up 259.3% year over year.

However, investors may be concerned that the company now has a narrower growth story because a larger portion of its future value depends on successfully expanding mitapivat across additional indications. Beyond the marketed indications, Agios is also developing mitapivat for SCD.

Mitapivat's supplemental application for SCD received FDA priority review, with the final decision expected by Nov. 1, 2026. However, competition in the SCD market is intensifying. Novo Nordisk’s (NVO - Free Report) investigational etavopivat, another PK activator with a similar mechanism of action to mitapivat, is advancing toward regulatory submission. This could make it more challenging for Agios to establish and maintain a strong commercial position for mitapivat in SCD.

Overall, AGIO's near-term story is increasingly centered on execution of the mitapivat franchise, while its longer-term valuation depends on whether the company can successfully rebuild pipeline depth after the tebapivat setbacks.

AGIO’s Zacks Rank & Stocks to Consider

Agios currently carries a Zacks Rank #3 (Hold).

Some better-ranked stocks in the biotech sector are AC Immune (ACIU - Free Report) and Aldeyra Therapeutics (ALDX - Free Report) , each carrying a Zacks Rank #2 (Buy) at present. You can see the complete list of today’s Zacks #1 (Strong Buy) Rank stocks here.

Over the past 60 days, estimates for AC Immune’s 2026 loss per share have narrowed from 84 cents to 60 cents. Over the same period, earnings estimates for 2027 remained unchanged at 17 cents per share. ACIU’s shares have lost 13.7% year to date.

AC Immune’s earnings beat estimates in each of the trailing four quarters, with the average surprise being 33.25%.

Over the past 60 days, loss per share estimates for Aldeyra Therapeutics have narrowed from 43 cents to 39 cents for 2026. Over the same period, estimates for 2027 loss per share have narrowed from 22 cents to 16 cents. ALDX’s shares have plunged 82.2% year to date.

Aldeyra Therapeutics’ earnings beat estimates in each of the trailing four quarters, delivering an average surprise of 29.25%.

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