Analysts say Daiichi Sankyo’s ADC pipeline lags rivals as cash flow peaks, cutting expectations

Jefferies analysts warned that Daiichi Sankyo's early‑stage antibody‑drug conjugate (ADC) pipeline is falling behind competitors, even as the company approaches a peak in cash flow from its existing products.

The firm’s flagship ADCs, Enhertu and Datroway, have reached their peak revenue levels, and rivals are increasingly entering the ADC market, intensifying competition.

Daiichi recently disclosed that demand for its ADCs fell short of minimum purchase commitments with contract manufacturers, prompting an $850 million charge related to outsourcing and a retreat from a planned manufacturing facility.

Analysts responded by lowering their expectations for Daiichi, citing limited remaining milestones for Enhertu and a thin early‑stage pipeline that could constrain future growth.