Exelixis (EXEL) continues to show strong performance, with shares up 101% over the past five years, outpacing the S&P 500. The company’s flagship product, Cabometyx, remains a key revenue driver, generating $610.8 million in Q1—an increase of 10% year-over-year. While the drug faces a patent cliff by 2030, Exelixis expects to maintain solid growth, projecting fiscal year 2026 revenue of $2.58 billion, thanks to Cabometyx’s established leadership in renal cell carcinoma and other cancer markets.

Looking ahead, Exelixis is banking on its investigational drug, zanzalintinib, which has completed phase 3 trials for metastatic colorectal cancer and is awaiting regulatory approval. The drug could potentially reach peak sales of $5 billion, providing a crucial revenue stream as Cabometyx faces generic competition. With additional pipeline candidates also in development, Exelixis is well-positioned to sustain its growth trajectory through the end of the decade.

For market professionals, Exelixis represents a compelling investment opportunity, particularly if zanzalintinib secures multiple indications and the company continues to innovate within the oncology space.

Source: fool.com