Mirum Pharmaceuticals (MIRM) is poised to generate sustainable revenue growth over the next decade, driven by its strong pipeline and expanded portfolio in rare liver disease and bile acid products, RBC said in a note Wednesday.

According to the brokerage, the company's two de-risked pipeline assets, Volixibat and Brelovitug, showed strong potential for approvals based on clinical readouts and could significantly accelerate near-term revenue growth.

RBC said that Volixibat and Brelovitug could represent up to $1.4 billion and $463 million in revenue opportunities, respectively, and that they expect peak revenue of over $2 billion, which can support additional upside relative to current valuation.

The company's Livmarli is well positioned for growth in the patient population and for increased adoption among older patients. The drug has potential upside from market exclusivity extending beyond 2031, the note said.

RBC initiated its outperform rating on the stock with $130 price target.

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