This new $193 million bet targets the biotech, which has $689 million in revenue and a potential turnaround

RTW Investments started a new stake Apellis Pharmaceuticals (NASDAQ:APLS)bought 7,666,764 shares in the last quarter according to a filing with the SEC on February 17th, 2026.

An SEC Filing dated February 17, 2026, indicates that RTW Investments opened a new position in Apellis Pharmaceuticals during the 4th quarter, purchasing 7,666,764 shares. The stock was valued at $192.59 million at the end of the quarter, reflecting both the increase in shares and share price factors.

• This was a new position for RTW Investments, LP, and Apellis’ share of 13F reportable AUM as of 12/31/2025 was 1.93%.

• Largest holdings after application:

  • NASDAQ:MDGL: $1.16 billion (11.6% of AUM)

  • NASDAQ:INSM: $842.85 million (8.4% of AUM)

  • NASDAQ:PTCT: $588.42 million (5.9% of AUM)

  • NASDAQ:ARGX: $566.38 million (5.7% of AUM)

  • NASDAQ:PTGX: $441.86 million (4.4% of AUM)

• On Friday, the price of Apellis shares was $17.21, which is a 29% decrease from last year and well below the S&P 500 index, which instead rose by about 15% during the same period.

• Apellis Pharmaceuticals develops and commercializes therapeutic compounds that target the complement system. Key products include pegcetacoplan and EMPAVELI for autoimmune and inflammatory diseases.

• The company receives income primarily from the sale of biopharmaceutical products and cooperative license agreements.

• It serves healthcare providers and patients in the market for rare diseases such as geographic atrophy, paroxysmal nocturnal hemoglobinuria and cold agglutinin disease.

Apellis Pharmaceuticals, Inc. is a commercial-stage biotechnology company focused on innovative therapies for complement-derived diseases. With its strong pipeline and growing commercial portfolio, the company is leveraging its expertise in complement inhibition to address significant unmet medical needs. Apellis’ strategic cooperation and targeted approach offer a competitive advantage in the market for rare diseases and specialty medicines.

It’s the kind of arrangement that tends to separate disciplined biotech investors from the rush-seekers. Apellis’ share price has left a lot to be desired during the past year, but under the hood there are signs that a disciplined investor might be ready to bet.

Was invited created product revenue of about $689 million last year, largely due to its flagship therapy alone bringing in about $587 million, as well as $102 million from another product. It is no longer early stage speculation. It is a company with real demand, growing market share and growing penetration in the rare disease market.

What makes this move more interesting is where it sits within the broader portfolio. This fund’s top investments lean heavily on growing biotech names such as Madrigal and Insmed, where positive clinical developments drive returns. Against this backdrop, a sub-2% position in a commercial stage name looks like a calculated turn towards more sustainable income streams without actually flipping.

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Jonathan Ponciano has no position in any of the stocks mentioned. The Motley Fool has positions in Argenx Se and recommends it. The Motley Fool recommends Protagonist Therapeutics. The Motley Fool has a disclosure policy.

This new $193 million bet targets the biotech, which has $689 million in revenue and a potential turnaround it was originally published by The Motley Fool