Redmile Group reported a purchase of 16,317 shares of Krystal Biotech (KRYS 1.48%) in its February 17, 2026, SEC filing, with the estimated transaction value at $3.43 million based on quarterly average pricing.
What happened
According to a Securities and Exchange Commission (SEC) filing dated February 17, 2026, Redmile Group increased its position in Krystal Biotech by 16,317 shares. The estimated transaction value was $3.43 million, calculated using the average closing price for the fourth quarter of 2025. The total value of Redmile’s stake in Krystal Biotech at quarter-end rose by $50.33 million, driven by both share purchases and price appreciation.
What else to know
- This was a net purchase; Krystal Biotech now represents 12.3% of Redmile’s 13F-reportable AUM after the filing.
- Top holdings after the filing:
- NASDAQ:SRRK: $229.98 million (16.9% of AUM)
- NASDAQ:KRYS: $167.08 million (12.3% of AUM)
- NASDAQ:NRIX: $153.54 million (11.3% of AUM)
- NASDAQ:STOK: $128.04 million (9.4% of AUM)
- NASDAQ:IMNM: $122.83 million (9.0% of AUM)
- As of Friday, shares of Krystal Biotech were trading at $261.80, up 44% over the past year and well outperforming the S&P 500’s roughly 13% gain in the same period.
Company overview
| Metric | Value |
|---|---|
| Price (as of Friday) | $261.80 |
| Market Capitalization | $7.6 billion |
| Revenue (TTM) | $373.2 million |
| Net Income (TTM) | $198.9 million |
Company snapshot
- Krystal Biotech develops and commercializes gene therapies targeting rare and serious skin diseases, with lead product beremagene geperpavec (B-VEC) in late-stage clinical trials for dystrophic epidermolysis bullosa.
- The company is developing proprietary redosable gene therapies, leveraging a pipeline of clinical and preclinical candidates.
- Krystal Biotech is headquartered in Pittsburgh, Pennsylvania, and focuses on both dermatological and respiratory indications.
Krystal Biotech is a biotechnology company focused on innovative gene therapy solutions for underserved rare disease markets. The company’s strategy centers on advancing a differentiated pipeline of redosable gene therapies, targeting both dermatological and respiratory indications. With a strong clinical-stage portfolio and a focus on commercialization, Krystal Biotech aims to address significant unmet medical needs and establish a leadership position in gene therapy for rare diseases.
What this transaction means for investors
Profitable biotech is rare, and that’s part of what makes this accumulation notable. Krystal is no longer a pre-revenue story. Fourth-quarter VYJUVEK revenue reached $107.1 million, contributing to $389.1 million in full-year 2025 product sales, with a gross margin at 94%. Net income for the year climbed to $204.8 million, more than double the prior year, while cash and investments ended 2025 at $955.9 million. That balance sheet strength matters in a sector where dilution is common.
This fund already runs a concentrated biotech portfolio. Scholar Rock sits near 17% of assets, and Krystal now represents roughly 12%—allocations that very seemingly reflect conviction in commercial-stage rare disease platforms with pipeline depth.
Shares are up about 44% over the past year, well ahead of the S&P 500. Yet the valuation case hinges less on momentum and more on durability. VYJUVEK uptake continues globally, and the pipeline spans respiratory, ophthalmology, oncology, and dermatology indications.
