Exelixis, Inc. (EXEL) Stock Analysis

Exelixis’s primary competitive advantage is its established leadership in targeted oncology, anchored by its flagship drug, cabozantinib (marketed as CABOMETYX and COMETRIQ). Cabozantinib is a standard of care in advanced renal cell carcinoma (RCC), hepatocellular carcinoma (HCC), and differentiated thyroid cancer (DTC), with U.S. net product revenues reaching $1.8 billion in 2024 and maintaining double-digit growth. The company’s intellectual property position is robust: key U.S. patents for cabozantinib extend through at least 2030, with settlements delaying generic entry until 2031, providing a clear revenue runway.

Exelixis’s commercial execution is strong, with CABOMETYX holding the #1 market share in first-line RCC, outperforming rivals such as Pfizer’s Sutent and Novartis’s Votrient. The company’s deep relationships with oncologists and broad payer coverage further entrench its position.

Pipeline depth is a second advantage. Zanzalintinib, a next-generation tyrosine kinase inhibitor, is advancing through multiple pivotal trials and is positioned to address both genitourinary and gastrointestinal cancers—areas where Exelixis already has commercial expertise. This pipeline is supported by a disciplined R&D culture that prioritizes rapid “kill” decisions on weaker assets.

Financially, Exelixis is differentiated by its strong cash flow, $1.1 billion in cash and equivalents (2025), and a history of profitability, enabling continued investment in R&D and share repurchases. In contrast, many biotech peers, including smaller oncology specialists, remain loss-making and capital-constrained.