Biotech ETF XBI Hits an Interest Rate Wall as 40+ Catalysts Approach
B. Riley sees 40+ biotech catalysts ahead as rising rates pressure XBI, setting up a key test for the sector during the Q3 2026 earnings season.
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B. Riley Securities analyst Madison El-Saadi reiterates Eton Pharmaceuticals (NASDAQ:ETON) with a Buy and raises the price target from $40 to $70.
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B. Riley sees 40+ biotech catalysts ahead as rising rates pressure XBI, setting up a key test for the sector during the Q3 2026 earnings season.
Jim Cramer likes Babcock & Wilcox and Smithfield Foods. He also advises taking some profits on BillionToOne, and calls Eton Pharma a winner.
Eton Pharmaceuticals announced record Q2 2026 revenue with product sales of $37.6 million, representing 99% year-over-year growth. The company reported GAAP EPS of $0.35 and non-GAAP EPS of $0.43, with EBITDA of $14.1 million. Additionally, Eton expanded its infantile hemangioma franchise by acquiring U.S. rights to ASN-001, a late-stage product candidate targeting moderate infantile hemangiomas, complementing its existing HEMANGEOL product.
The Fear & Greed Index, which measures market sentiment, declined while remaining in the Greed zone. U.S. stocks closed lower, with the Dow Jones falling over 100 points.