Amarin (AMRN) AI Stock Analysis

• Market Cap: $227.39M
• Dividend Yield: N/A
• Average Volume (3M): 98.98K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.58
• Revenue Growth: -25.86%
• EPS Growth: -37.19%
• Country: US
• Employees: 275
• Sector: Healthcare
• Sector Strength: 74
• Industry: Biotechnology
• EPS (TTM): -3.99
• Shares Outstanding: 20,709,465
• 10 Day Avg. Volume: 100,354
• 30 Day Avg. Volume: 98,976
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): 0.00
• Price to Cash Flow (P/CF): 0.00
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: -0.38
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: -1.07
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: $4.00
• Price Target Upside: -63.57% Downside
• Rating Consensus: Moderate Sell
• Number of Analyst Covering: 2

Amarin's overall stock score is weighed down by declining revenues and profitability issues, especially in the U.S. market due to generic competition. The stock benefits from a strong cash position and global expansion efforts. However, negative valuation metrics and financial performance issues limit its attractiveness. Technical analysis provides some positive signals, but they are not strong enough to offset the fundamental challenges.

Positive Factors

Financial Stability

Amarin maintained a stable cash position of $294 million with no debt, indicating financial resilience.

Geographic Expansion

Amarin secured additional pricing and reimbursement agreements in Europe, with Italy showing progress with access being secured in 9 regions, covering more than 50% of the eligible market.

Global Market Opportunities

Commercial launch progress for Vascepa in China in the cardiovascular risk reduction indication via partner Eddingpharm could drive future growth.

Negative Factors

Competitive Pressure

The US Vascepa franchise continues to face significant competitive pressure from at least 8 generic competitors, leading to declining gross margins.

Market Access Challenges

Vazkepa's EU launch remains slower than expected due to continued market access challenges, which is an overhang on the stock.

Pricing Pressure

The business mix has shifted more toward Medicare Part D following CVS's decision to no longer cover Vascepa as the exclusive IPE product, creating additional net pricing pressure.

Amarin Business Overview & Revenue Model

Company Description

Amarin Corporation plc, a pharmaceutical company, engages in the development and commercialization of therapeutics for the treatment of cardiovascular diseases in the United States, Germany, Canada, Lebanon, and the United Arab Emirates. Its lead product is VASCEPA, a prescription-only omega-3 fatty acid product, used as an adjunct to diet for reducing triglyceride levels in adult patients with severe hypertriglyceridemia. The company sells its products principally to wholesalers and specialty pharmacy providers. It has a collaboration with Mochida Pharmaceutical Co., Ltd. to develop and commercialize drug products and indications based on the active pharmaceutical ingredient in Vascepa, the omega-3 acid, and eicosapentaenoic acid. The company was formerly known as Ethical Holdings plc and changed its name to Amarin Corporation plc in 1999. Amarin Corporation plc was incorporated in 1989 and is headquartered in Dublin, Ireland.

How the Company Makes Money

Amarin Corporation generates revenue primarily through the sale of its pharmaceutical product, Vascepa. The company targets prescribing physicians, healthcare professionals, and healthcare facilities to promote and distribute Vascepa. Revenue is generated from direct sales to wholesalers, who then distribute the medication to pharmacies and healthcare providers. Amarin also seeks to expand its market reach through strategic partnerships and licensing agreements, which may include collaborations with other pharmaceutical companies to promote and distribute Vascepa in international markets. Additionally, the company's financial performance is influenced by regulatory approvals, market demand, pricing strategies, and its ability to protect its intellectual property through patents.

Amarin Financial Statement Overview

Summary

Amarin's financial health presents a mixed picture with significant challenges. The income statement reflects declining revenues and profitability issues. While the balance sheet shows good equity cushion, weakening asset and equity trends are notable. Cash flow volatility adds to the company's financial pressures, suggesting a need for strategic changes to enhance financial performance and stability.

Income Statement

The income statement reveals declining revenue over recent years, with a significant drop from $583.2M in 2021 to $204.6M in 2024. The gross profit margin has also decreased, indicating cost pressures. The company has faced persistent net losses, with net income declining from a small profit in 2021 to substantial losses in subsequent years. Negative EBIT and EBITDA margins highlight profitability challenges.

Balance Sheet

The balance sheet is relatively strong with a high equity ratio, signaling a solid capital position. However, declining stockholders' equity and increasing total liabilities over the years are concerning. The debt-to-equity ratio has remained low, indicating manageable leverage. Despite these strengths, the erosion of asset base and equity is a potential risk.

Cash Flow

Cash flow analysis shows inconsistent free cash flow with negative trends, especially after 2021. Operating cash flow has been volatile, with a significant reduction to zero in 2024 from positive figures in previous years. This instability in cash flow generation poses concerns for liquidity and operational sustainability.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
204.59M	306.91M	369.19M	583.19M	614.06M
	Gross Profit
81.38M	165.54M	242.48M	461.86M	482.62M
	EBIT
-91.80M	-67.59M	-92.34M	22.28M	-19.66M
	EBITDA
-74.18M	-50.90M	-100.65M	14.28M	-12.71M
	Net Income Common Stockholders
-82.18M	-59.11M	-105.80M	7.73M	-18.00M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
294.22M	320.66M	309.36M	454.13M	500.93M
	Total Assets
685.35M	831.68M	886.18M	1.07B	966.02M
	Total Debt
7.72M	8.74M	10.02M	8.58M	9.15M
	Net Debt
-113.31M	-190.51M	-207.65M	-210.88M	-177.81M
	Total Liabilities
199.17M	279.59M	290.85M	400.97M	338.52M
	Stockholders Equity
486.18M	552.10M	595.33M	667.10M	627.50M
Cash Flow		Free Cash Flow
-31.02M	6.35M	-180.69M	―	-22.00M
	Operating Cash Flow
-31.02M	6.88M	-180.09M	-66.54M	-21.75M
	Investing Cash Flow
-45.98M	-25.52M	175.29M	104.10M	-376.96M
	Financing Cash Flow
-1.40K	230.00K	-379.00K	-5.07M	-58.91M

Amarin Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 10.98
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AMRN, the sentiment is Positive. The current price of 10.98 is above the 20-day moving average (MA) of 9.64, above the 50-day MA of 9.69, and below the 200-day MA of 11.17, indicating a neutral trend. The MACD of 0.38 indicates Negative momentum. The RSI at 62.43 is Neutral, neither overbought nor oversold. The STOCH value of 75.80 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for AMRN.

Amarin Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
BWAY	71 Outperform	$171.10M	52.64	5.62%	―	29.04%	―
AMRN	52 Neutral	$227.39M	―	-15.79%	―	-25.86%	-37.19%
Sector *	52 Neutral	$5.28B	3.75	-42.72%	2.86%	17.70%	2.03%
GNFT	48 Neutral	$201.13M	130.00	2.16%	―	243.10%	―
SGMO	45 Neutral	$166.56M	―	-187.83%	―	-67.20%	64.66%
FHTX	44 Neutral	$233.57M	―	322.49%	―	-33.83%	27.89%
FDMT	39 Underperform	$156.04M	―	-25.95%	―	―	―

Amarin Corporate Events

Amarin Regains Nasdaq Compliance with Share Adjustment

On April 29, 2025, Amarin Corporation announced it has regained compliance with Nasdaq’s minimum bid price requirement, ensuring its continued listing on the Nasdaq Capital Market. This compliance was achieved following an adjustment in the ratio of its American Depositary Shares to ordinary shares. The company remains committed to maximizing the global value of its primary product, VASCEPA/VAZKEPA, for cardiovascular disease management.

Spark’s Take on AMRN Stock

According to Spark, TipRanks’ AI Analyst, AMRN is a Neutral.

Amarin’s stock score reflects significant financial and market challenges, notably declining revenues and profitability issues. Technical analysis indicates bearish trends, and valuation metrics are unfavorable. While the company benefits from a strong cash position and global expansion efforts, the impact of U.S. generic competition and increasing net losses are critical concerns.

To see Spark’s full report on AMRN stock, click here.

Amarin Announces ADS Ratio Change to Maintain Nasdaq Listing

On April 9, 2025, Amarin announced a change in the ratio of its American Depositary Shares (ADS) to ordinary shares, effective April 11, 2025, to maintain its Nasdaq listing. This adjustment, resulting in a one-for-twenty reverse split of ADSs, aims to increase the per-share market price to meet Nasdaq’s minimum bid requirement, although the company cannot guarantee the expected price increase.

Spark’s Take on AMRN Stock

According to Spark, TipRanks’ AI Analyst, AMRN is a Neutral.

Amarin faces significant financial and market challenges. Declining revenues and profitability issues weigh heavily on the score. Technical analysis reflects a bearish trend, and negative valuation metrics further detract from the stock’s appeal. While the company demonstrates a strong cash position and global expansion efforts, the impact of U.S. generic competition and increasing net losses are critical concerns.

To see Spark’s full report on AMRN stock, click here.

Amarin Appoints Michael Torok to Board of Directors

On April 4, 2025, Amarin Corporation appointed Michael Torok to its Board of Directors. Torok, co-founder of JEC Capital Partners, brings financial expertise and a focus on maximizing shareholder value. His appointment is expected to strengthen Amarin’s strategic direction and shareholder engagement.

Spark’s Take on AMRN Stock

According to Spark, TipRanks’ AI Analyst, (AMRN) is a Neutral.

Amarin faces significant financial and market challenges. Declining revenues and profitability issues weigh heavily on the score. Technical analysis reflects a bearish trend, and negative valuation metrics further detract from the stock’s appeal. While the company demonstrates a strong cash position and global expansion efforts, the impact of U.S. generic competition and increasing net losses are critical concerns.

To see Spark’s full report on (AMRN) stock, click here.

Amarin Announces Board Member Departure Ahead of 2025 Meeting

On March 25, 2025, Amarin Corporation plc announced that Mr. Mark DiPaolo has decided not to stand for re-election at the 2025 Annual Meeting of Shareholders, scheduled for May 2025. Mr. DiPaolo’s departure from the Board of Directors is not due to any disagreements with the company’s operations, policies, or practices.

Amarin Announces 1-for-20 Reverse Stock Split

On March 12, 2025, Amarin announced a 1-for-20 reverse split of its American depositary shares (ADSs) to maintain its Nasdaq listing, effective around April 11, 2025. This move is expected to proportionally increase the trading price of its ADSs, although no assurance is given that the price will be 20 times higher post-split. In 2024, Amarin reported $62.3 million in fourth-quarter revenue, a 17% decrease from the previous year, primarily due to U.S. generic competition. Despite this, the company made significant progress in expanding its VASCEPA/VAZKEPA franchise globally, securing reimbursements in Italy and Austria, and advancing commercialization efforts in other markets.