Biotech Portfolio Shift
Sofinnova Trims Biotech Holdings in Praxis, Avidity While Boosting Immatics, AnaptysBio
Anonymous
Key Points
1
In Avidity Biosciences (RNA), Sofinnova cut its stake by 14.9% to 745,116 shares, after selling 130,809 shares; the position was valued at about $53.745 million and was Sofinnova’s 14th-largest holding.
2
In Arcus Biosciences (RCUS), Sofinnova reduced its position by 10.3% to 1,096,705 shares (selling 125,558 shares); the holding was worth about $26.134 million, and the article notes that 92.89% of RCUS stock is owned by hedge funds and other institutional investors.
3
In Immatics N.V. (IMTX), Sofinnova increased its stake by 54.2% to 3,435,542 shares (acquiring 1,207,705 shares); the position was valued at about $36.073 million and made up approximately 1.5% of Sofinnova’s portfolio.
4
In Praxis Precision Medicines (PRAX), Sofinnova trimmed its holdings by 27.3% to 125,722 shares (selling 47,111 shares); the stake was worth about $37.055 million and was described as roughly 1.5% of Sofinnova’s portfolio, with the article adding that 67.84% of PRAX is owned by institutional investors.
Sofinnova Investments Inc. cut its stake in Praxis Precision Medicines (PRAX) by 27.3% in the first quarter of 2026, selling 47,111 shares and leaving the firm with 125,722 shares worth about $37.06 million, according to WatchlistNews. The move is part of a broader portfolio rotation in which the biotech-focused fund harvested gains from high-performing positions and shifted capital toward emerging immunotherapy plays.
Sofinnova also trimmed stakes in Avidity Biosciences and Arcus Biosciences while sharply boosting its position in Immatics N.V. by 54.2%. Other major institutions — including Vanguard, Goldman Sachs, and Wellington Management — moved in the opposite direction on several of the same stocks, underscoring how divided large investors are on the sector's near-term outlook.
Sofinnova Takes Profits on Praxis After 492% Run
Praxis Precision Medicines has been one of biotech's biggest winners. The stock hit a 52-week high of $366.52 — a gain of roughly 492% over the prior year — driven by the success of its essential tremor and epilepsy drug programs. Sofinnova's 27.3% cut looks like a textbook "de-risking" move: selling into strength after an outsized run, according to Investing.com.
Still, the broader institutional picture for Praxis is bullish. Some 67.84% of PRAX shares are held by institutional investors, per WatchlistNews. Sofinnova's exit is a trim, not a departure — the firm still holds a $37.06 million stake. Praxis and Immatics each now make up about 1.5% of Sofinnova's total reported portfolio.
Avidity Merger and Arcus Cuts Free Up Fresh Capital
Sofinnova also sold 130,809 shares of Avidity Biosciences, reducing its position by 14.9% to 745,116 shares worth about $53.75 million. The context matters here: Avidity completed a merger with Novartis in February 2026, paying shareholders $72.00 per share in cash. What Sofinnova now holds in the "RNA" ticker is equity in Atrium Therapeutics, the oncology-focused spinoff that inherited the ticker, per TickerReport.
Sofinnova cut Arcus Biosciences by 10.3% too, dropping 125,558 shares to hold 1,096,705 shares valued at $26.13 million. Yet Arcus remains heavily institutionally owned — 92.89% of shares sit with funds and asset managers. Marshall Wace, Fisher Asset Management, State Street, and Bank of America all added to their Arcus positions in the same quarter Sofinnova was selling.
Sofinnova Bets Big on Immatics Ahead of Phase 3 Data
The most striking move in Sofinnova's Q1 filing is its 54.2% surge in Immatics N.V. (IMTX). The firm bought 1,207,705 additional shares, bringing its total to 3,435,542 shares worth about $36.07 million. Immatics is preparing Phase 3 readouts for its PRAME-targeted T-cell therapy, anzu-cel, expected in the second half of 2026. Jefferies and Millennium Management also made large purchases in the same period.
Sofinnova's move positions the firm as a cornerstone investor ahead of what could be a market-moving data readout. A positive Phase 3 result would likely make Immatics a prime acquisition target in the T-cell receptor therapy space. Immatics had raised $125 million in a December 2025 equity offering at $10.00 per share to fund this pipeline, according to Immatics investor relations.
Big Funds Split on Direction as Sector Rotation Accelerates
While Sofinnova was selling, firms like Vanguard added to positions in Avidity, Arcus, and Immatics simultaneously. Goldman Sachs boosted its Avidity stake sharply in Q1. Wellington and RA Capital also increased their Avidity holdings. These moves suggest that large passive and active funds are providing buying support even as specialist biotech investors like Sofinnova take profits, per TickerReport.
The broader 2026 biotech outlook is described as "cautiously optimistic" by sector analysts. M&A deals like the Novartis-Avidity merger are helping pull the sector out of a multi-year downturn, but valuation tension remains high for clinical-stage companies. Sofinnova's selective rotation — selling proven winners, buying pre-commercial platforms — reflects that tension playing out in real time.
Sentiment
Mostly PositiveNEGATIVENEUTRALPOSITIVE
Publishers
24
Articles
9
Reach
33
A
AnonymousAuthor
