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Akebia Therapeutics (AKBA)
NASDAQ:AKBA
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Akebia Therapeutics
(NASDAQ:AKBA)
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Rating:49Neutral
Price Target:―
Akebia Therapeutics faces significant financial challenges, including declining revenue and high leverage. However, the strong launch of Vafseo and strategic market expansion provide some optimism. Despite these positive developments, the stock remains a risk due to ongoing financial instability and valuation challenges.
Positive Factors
Product Launch Success
The strong launch of Vafseo with higher-than-expected revenue indicates effective market penetration and potential for sustained growth in the nephrology space.
Market Expansion
The broad availability of Vafseo through IRC clinics enhances market reach and supports long-term revenue growth by establishing a solid presence in the dialysis market.
Regulatory Engagement
Positive regulatory engagement for the VALOR study suggests potential future approvals, expanding treatment options and market opportunities.
Negative Factors
Financial Instability
Ongoing financial challenges, including high leverage and negative cash flow, threaten long-term stability and could hinder strategic initiatives.
Declining Product Revenue
The decline in Auryxia revenue highlights challenges in maintaining product demand, impacting overall revenue growth and profitability.
Increased Net Loss
The increase in net loss underscores financial difficulties, potentially affecting the company's ability to invest in growth and innovation.
Akebia Therapeutics (AKBA) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$726.50M
Dividend YieldN/A
Average Volume (3M)3.77M
Price to Earnings (P/E)―
Beta (1Y)1.23
Revenue Growth16.75%
EPS Growth14.72%
CountryUS
Employees181
SectorHealthcare
Sector Strength45
IndustryBiotechnology
Share Statistics
EPS (TTM)0.00
Shares Outstanding265,145,050
10 Day Avg. Volume3,405,532
30 Day Avg. Volume3,770,499
Financial Highlights & Ratios
PEG RatioN/A
Price to Book (P/B)N/A
Price to Sales (P/S)N/A
P/FCF RatioN/A
Enterprise Value/Market Cap1.46
Enterprise Value/Revenue5.20
Enterprise Value/Gross Profit6.99
Enterprise Value/Ebitda96.31
Forecast
1Y Price Target
$7.00Price Target Upside155.47% Upside
Rating ConsensusStrong Buy
Number of Analyst Covering3
Akebia Therapeutics Business Overview & Revenue Model
Company DescriptionAkebia Therapeutics, Inc. (AKBA) is a biopharmaceutical company that focuses on the development and commercialization of therapeutics for patients with kidney disease. The company operates primarily in the healthcare sector, targeting the nephrology space. Akebia's core products include vadadustat, an oral hypoxia-inducible factor prolyl hydroxylase inhibitor designed to treat anemia due to chronic kidney disease (CKD).
How the Company Makes MoneyAkebia Therapeutics makes money through the development and commercialization of pharmaceutical products for kidney-related conditions. The company's revenue model is primarily based on product sales, licensing agreements, and collaboration partnerships. Akebia generates revenue from sales of its approved therapies and through strategic partnerships with other pharmaceutical companies, which may include milestone payments and royalties. These partnerships help in the co-development, marketing, and distribution of its products, significantly contributing to its revenue streams. The company's financial performance is influenced by the regulatory approval of its products, market demand, and the competitive landscape in the biopharmaceutical industry.
Akebia Therapeutics Earnings Call Summary
Earnings Call Date:Aug 07, 2025
(Q2-2025)
| % Change Since: |
Next Earnings Date:Nov 06, 2025
Earnings Call Sentiment Positive
The earnings call was largely positive, with strong revenue growth driven by both Vafseo and Auryxia, significant advancements in clinical trials, and an overall solid financial position. While there were some challenges with adherence rates and potential future competition for Auryxia, the positive aspects and future prospects significantly outweighed the negative points.Q2-2025 Updates
Positive Updates
Strong Revenue Growth
The company reported $62.5 million in total revenues for Q2 2025, up from $43.6 million in Q2 2024, marking an increase of $18.9 million. Net product revenues increased to $60.5 million from $41.2 million in the previous year.
Successful Launch of Vafseo
Vafseo generated over $13 million in revenue in Q2 2025, a 55% increase over Q1 2025. Prescribing access is expected to increase significantly, with access to over 275,000 dialysis patients anticipated in Q4 2025.
Auryxia Sales Growth
Auryxia sales increased to $47.2 million in Q2 2025 from $41.2 million in Q2 2024, despite losing IP exclusivity in March.
Positive Financial Position
The company ended Q2 2025 with $137.3 million in cash and cash equivalents and reported a net income of $247,000 compared to a net loss of $8.6 million in Q2 2024.
Expansion of Patient Access
The company reported that DaVita, a major dialysis provider, is expected to significantly increase patient access to Vafseo, with an operational pilot to conclude in Q4 2025.
Progress in Clinical Trials
The VOICE trial was fully enrolled with over 2,100 patients, and the VOCAL study in 18 DaVita dialysis facilities was initiated.
Negative Updates
Challenges in Adherence Rates
Adherence rates for Vafseo were consistent with industry standards at 70% to 80%, but some patients experienced hemoglobin drops, leading to a return to previous treatments.
Potential Uncertainty with Auryxia
There is uncertainty around the timing of potential additional generic competition for Auryxia, which could impact future sales levels.
Company Guidance
During the second quarter of 2025, Akebia reported significant progress in the launch of Vafseo vadadustat, generating over $13 million in revenue, which marked a 55% increase from the first quarter. The company expanded patient access from 40,000 to 75,000 dialysis patients by securing prescribing access with midsized providers DCI and IRC, and projected further access to 275,000 patients with DaVita's upcoming operational pilot starting mid-August. This expansion aims to elevate Vafseo to a standard of care for treating anemia due to chronic kidney disease (CKD). Akebia also achieved over $60 million in total net product revenue, the highest in its history, driven by both Vafseo and Auryxia sales, with Auryxia alone bringing in $47.2 million. The company is focused on enhancing the environment for Vafseo post-TDAPA with ongoing trials like VOICE and VOCAL, and is planning to initiate the VALOR trial for nondialysis CKD patients by the year's end. With a strong cash position of $137.3 million, Akebia is well-positioned to advance its strategic goals.Akebia Therapeutics Financial Statement Overview
Summary
Akebia Therapeutics is facing financial challenges across all aspects of its financial statements. Revenue and profitability are declining, leverage is high, and cash flow is negative, posing risks to financial stability. The company needs to address these issues to improve its financial health.Income Statement
Akebia Therapeutics shows a declining revenue trend with a significant reduction from previous years. Gross Profit Margin has improved, but the company remains unprofitable with negative Net Profit Margin and EBIT Margin. Overall, the income statement highlights ongoing challenges in achieving profitability.40
Negative
Balance Sheet
The balance sheet reveals high leverage with negative stockholders' equity, indicating financial instability. The Debt-to-Equity Ratio is not calculable due to negative equity, and the company has been unable to maintain a positive Return on Equity. Equity Ratio is negative, suggesting more liabilities than assets.35
Negative
Cash Flow
Operating cash flow remains negative, reflecting ongoing operational cash burn. Free Cash Flow is also negative, although there is some improvement in reducing cash outflows. However, the company's ability to generate cash remains a concern, affecting overall financial health.45
Neutral
| Breakdown | TTM | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 | Dec 2020 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 203.73M | 160.18M | 194.62M | 292.60M | 213.58M | 295.31M |
| Gross Profit | 151.66M | 97.00M | 120.47M | 207.81M | 60.18M | -601.00K |
| EBITDA | 11.01M | -13.72M | -6.87M | -43.26M | -225.96M | -341.00M |
| Net Income | -36.48M | -69.41M | -51.92M | -106.01M | -244.87M | -349.87M |
Balance Sheet | ||||||
| Total Assets | 345.60M | 220.67M | 241.70M | 351.83M | 525.55M | 644.14M |
| Cash, Cash Equivalents and Short-Term Investments | 137.31M | 51.87M | 42.92M | 90.47M | 149.80M | 268.69M |
| Total Debt | 53.36M | 47.64M | 104.18M | 99.78M | 136.05M | 126.28M |
| Total Liabilities | 316.37M | 269.86M | 272.29M | 342.49M | 449.09M | 396.52M |
| Stockholders Equity | 29.22M | -49.19M | -30.58M | 9.34M | 76.46M | 247.62M |
Cash Flow | ||||||
| Free Cash Flow | -2.52M | -40.69M | -23.38M | -73.27M | -253.02M | -110.70M |
| Operating Cash Flow | -2.40M | -40.66M | -23.38M | -73.15M | -252.97M | -110.39M |
| Investing Cash Flow | 24.00K | -33.00K | 0.00 | -114.00K | 39.94M | -40.00M |
| Financing Cash Flow | 100.21M | 49.66M | -25.21M | 14.60M | 133.73M | 231.72M |
Akebia Therapeutics Technical Analysis
Negative
2.74
Price Trends
3.24
Negative
3.29
Negative
2.65
Positive
Market Momentum
-0.13
Positive
37.67
Neutral
12.70
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AKBA, the sentiment is Negative. The current price of 2.74 is below the 20-day moving average (MA) of 2.93, below the 50-day MA of 3.24, and above the 200-day MA of 2.65, indicating a neutral trend. The MACD of -0.13 indicates Positive momentum. The RSI at 37.67 is Neutral, neither overbought nor oversold. The STOCH value of 12.70 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for AKBA.
Akebia Therapeutics Risk Analysis
Akebia Therapeutics disclosed 58 risk factors in its most recent earnings report. Akebia Therapeutics reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Akebia Therapeutics Peers Comparison
Overall Rating
UnderperformOutperform
Sector (51)
Financial Indicators
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
66 Neutral | 708.58M | 60.15 | 5.80% | ― | 24.49% | ― | |
55 Neutral | 891.37M | -2.65 | -43.42% | ― | -76.27% | 22.77% | |
54 Neutral | 543.61M | -1.77 | -81.68% | ― | -27.59% | 34.00% | |
49 Neutral | $726.50M | ― | 91.25% | ― | 16.75% | 14.72% | |
39 Underperform | 483.16M | -3.01 | ― | ― | -80.09% | 60.14% | |
37 Underperform | 1.98B | -5.84 | ― | ― | ― | 2.25% | |
51 Neutral | $7.86B | -0.30 | -43.30% | 2.27% | 22.53% | -2.21% |
* Healthcare Sector Average
Performance Comparison
AKBA
Akebia Therapeutics
2.74
1.42
107.58%
TBPH
Theravance Biopharma
14.07
6.01
74.57%
SAGE
SAGE Therapeutics
8.68
1.46
20.22%
COGT
Cogent Biosciences
14.16
3.36
31.11%
RLAY
Relay Therapeutics
5.17
-1.91
-26.98%
OPT
Opthea Limited Sponsored ADR
3.20
-0.87
-21.38%
Akebia Therapeutics Corporate Events
Private Placements and Financing
Akebia Therapeutics Announces Public Offering Pricing
Neutral
Mar 20, 2025
On March 19, 2025, Akebia Therapeutics announced the pricing of its public offering of 25 million shares of common stock at $2.00 per share, aiming to raise approximately $50 million before expenses. The offering, managed by Leerink Partners and Piper Sandler, is expected to close on March 21, 2025, and includes an option for underwriters to purchase an additional 3.75 million shares. Akebia anticipates net proceeds of $46.5 million, which could increase to $53.6 million if the additional shares are fully purchased, supporting its goal of achieving profitability.
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.