What happened

Shares of newly minted commercial-stage biotech Amylyx Pharmaceuticals (AMLX -2.73%) were up by a noteworthy 12.4% as of 11:39 a.m. ET Tuesday morning. The drugmaker's stock perked up in response to a better-than-expected 2022 fourth-quarter and full-year earnings report released after the closing bell yesterday.

What was the highlight? Sales of Amylyx's recently approved amyotrophic lateral sclerosis (ALS) medication, known as Relyvrio in the U.S. and Albrioza in Canada, crushed Wall Street's consensus estimates for the three-month period. Specifically, the drugmaker reported 2022 fourth-quarter net product sales of $21.9 million. Analysts were anticipating a considerably more modest figure of around $4.72 million.  

So what

With few viable treatment options available, there were some rumblings on Wall Street that Relyvrio/Albrioza could benefit from a sizable amount of pent-up demand. And that bullish take appears to be spot-on in light of this initial sales data. 

Looking ahead, Wall Street analysts expect this landmark ALS drug to take in $439 million in sales next year. That's a respectable sum for a company with a $2.38 billion market cap at the time of this writing. In other words, Amylyx's shares could be gearing up for a healthy move northward. 

Now what

Is Amylyx stock a screaming buy? I believe so. Not only does the company offer investors an impressive amount of upside via organic growth, but it also stands out as a prime buyout candidate. ALS is an extremely tough indication to drug, and it is an inherently high-value market. As such, this biotech could fetch a notable premium in a takeover scenario soon.