argenx SE (ARGX): A Bull Case Theory

We came across a bullish thesis on argenx SE (ARGX) on Substack by FluentInQuality. In this article, we will summarize the bulls’ thesis on ARGX. argenx SE (ARGX)'s share was trading at $629.51 as of April 29^th. ARGX’s trailing and forward P/E were 49.26 and 90.91 respectively according to Yahoo Finance.

argenx SE (ARGX) is emerging as a transformative force in the autoimmune space, not as a traditional biotech chasing one-off blockbuster drugs, but as a platform company methodically scaling a repeatable, high-leverage model. Its core strength lies in a single mechanism—FcRn inhibition—which is being deployed across a range of autoimmune conditions. The flagship therapy, Vyvgart, a first-in-class FcRn blocker, has already been approved for generalized myasthenia gravis (gMG), with promising expansion into chronic inflammatory demyelinating polyneuropathy (CIDP) and trials underway in autoimmune hematology, dermatology, and nephrology. This strategic expansion isn’t random—it reflects a deliberate, pipeline-as-platform approach where each successful indication unlocks adjacent markets, accelerating scale and reach.

What makes argenx particularly compelling is the chronic nature of the diseases it targets. Autoimmune conditions don’t resolve; they require long-term management, translating into durable, recurring revenue. Vyvgart has already crossed €1 billion in annualized revenue, aided by the introduction of a subcutaneous formulation that enhances ease of access and adherence. As global rollout efforts continue across Europe, Japan, and China, and new indications come online, the addressable market keeps expanding. This isn’t one-time therapy revenue—it’s foundational, high-margin income in largely underserved, fragmented markets.

Beyond Vyvgart, argenx is leveraging its FcRn-focused antibody platform to build a deep pipeline, including multiple efgartigimod variants targeting new autoimmune indications, with preclinical efforts also branching into oncology and nephrology. This diversification, grounded in a single, validated biological mechanism, reduces risk with each subsequent success. It’s a textbook example of platform biotech, where discovery scale and efficiency create significant long-term optionality—far beyond the narrow view of being a “single-asset” or “rare disease” player.

Financially, while current R&D investments remain substantial, they are the fuel driving platform expansion. As revenues scale, manufacturing efficiencies and global reach are set to unlock meaningful operating leverage. Argenx is now transitioning from the heavy investment phase to one where margins are expected to expand materially.

Despite its achievements, the market often underappreciates argenx, viewing it as a niche play rather than a foundational autoimmune biologics platform. Its first-mover edge in FcRn biology, expanding therapeutic footprint, and significant M&A appeal point to a business whose sum-of-the-parts value isn’t yet reflected in its stock price. Argenx is not merely filling gaps in autoimmune care—it’s on its way to becoming the backbone of chronic autoimmune treatment worldwide.

argenx SE (ARGX) is not on our list of the 30 Most Popular Stocks Among Hedge Funds. As per our database, 47 hedge fund portfolios held ARGX at the end of the fourth quarter which was 43 in the previous quarter. While we acknowledge the risk and potential of ARGX as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns, and doing so within a shorter timeframe. If you are looking for an AI stock that is more promising than ARGX but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

READ NEXT: 8 Best Wide Moat Stocks to Buy Now and 30 Most Important AI Stocks According to BlackRock.

Disclosure: None. This article was originally published at Insider Monkey.