Psychedelic drug developers including AtaiBeckley Inc. (NASDAQ:ATAI, XETRA:9VC), Compass Pathways (NASDAQ:CMPS) and Cybin Inc. (NYSE-A:CYBN, FRA:R7E) could see a positive read-through after Johnson & Johnson (NYSE:JNJ) reported stronger second-quarter sales for its Spravato depression treatment, with Jefferies writing that the drug's commercial performance supports the long-term market opportunity for the sector.
Johnson & Johnson (NYSE:JNJ) reported worldwide second-quarter Spravato (esketamine nasal spray) sales of $584 million, up 25% from the first quarter, including US sales of $514 million. Jefferies wrote that the figures imply an annualized revenue run rate of more than $2.3 billion and keep the product on track to reach the company's previously guided annual sales of $3 billion to $3.5 billion by 2027-2028.
The analysts wrote that Spravato's momentum in treatment-resistant depression and major depressive disorder with suicidal ideation "supports the notion psychedelics can be commercially viable in hard-to-treat mental health disorders," citing Johnson & Johnson (NYSE:JNJ)'s investment in treatment sites, physician education and reimbursement.
Jefferies noted that Johnson & Johnson has guided for Spravato peak annual sales of up to $5 billion and estimated that more than 250,000 patients worldwide may have been treated with the therapy cumulatively.
The firm also pointed to increasing investor interest in psychedelic medicines following positive mid- and late-stage clinical trial data across depression, anxiety and post-traumatic stress disorder, alongside what it described as an improving regulatory backdrop and growing interest from large pharmaceutical companies.
Jefferies highlighted several upcoming milestones across the sector, including Compass Pathways (NASDAQ:CMPS)' planned rolling New Drug Application completion for COMP360 in the fourth quarter of 2026, which could support a potential approval by year-end and a commercial launch in the first half of 2027.
The analysts also pointed to AtaiBeckley’s Phase III program for BPL-003 in treatment-resistant depression, expected to generate data in early 2029, and upcoming Phase II data for VLS-01 later this year..
Jefferies added that Johnson & Johnson's network of approximately 7,000 to 8,000 US treatment sites could help facilitate future adoption of psychedelic therapies, noting that Atai's intranasal BPL-003 could fit within the same two-hour treatment framework currently used for Spravato.
