Exelixis, Inc. (EXEL) Stock Analysis

Exelixis’s primary competitive advantage is its leadership in targeted oncology, anchored by its flagship drug, cabozantinib (marketed as CABOMETYX and COMETRIQ). Cabozantinib is the standard of care in advanced renal cell carcinoma and is approved for multiple other hard-to-treat cancers.¹ In 2024, cabozantinib generated $1.8 billion in U.S. net product revenue, representing over 85% of company sales and outpacing most single-product oncology peers.²

Exelixis’s R&D engine is another differentiator. The company invests heavily—over $700 million in 2024—enabling a robust pipeline of next-generation kinase inhibitors and antibody-drug conjugates.³ Recent positive Phase 3 data for zanzalintinib in colorectal cancer and ongoing expansion into new indications suggest potential for future blockbusters.⁴⁵

Strategic partnerships with Bristol Myers Squibb, Genentech, and Takeda extend Exelixis’s reach and provide access to combination therapies, a key advantage over smaller biotech rivals.⁶ The company’s intellectual property portfolio—over 300 active patents—protects its core assets through at least 2029.⁷

However, Exelixis’s revenue is highly concentrated in cabozantinib, exposing it to patent expiry risk and competition from larger oncology players such as Merck (Keytruda) and Bristol Myers Squibb (Opdivo).⁸ Still, Exelixis’s focused culture, strong clinical execution, and expanding pipeline position it well to defend and extend its competitive edge.⁹