Axsome Therapeutics' stock surged 5.03% during Monday's trading session, driven by the company's robust first-quarter financial results and positive business developments.

The biopharmaceutical company reported Q1 2026 net product revenue of $191.2 million, representing a 57% year-over-year increase. This growth was primarily fueled by a 59% rise in sales of AUVELITY, which reached $153.2 million. The strong performance comes alongside the recent FDA approval of AUVELITY for the treatment of agitation associated with dementia due to Alzheimer's disease, with a full commercial launch scheduled for June 2026.

Multiple analyst firms responded positively to the earnings report, raising their price targets on Axsome Therapeutics. Deutsche Bank increased its target to $281 from $245 while maintaining a Buy rating, H.C. Wainwright raised its target to $270 from $250, and Needham lifted its target to $255 from $225. These upgrades reflect optimism about the company's growth trajectory and pipeline prospects despite a widening net loss due to increased commercialization expenses.