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Apellis Pharmaceuticals Inc (APLS)
NASDAQ:APLS
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Apellis Pharmaceuticals
(NASDAQ:APLS)
50Neutral
Positive Factors
Market Leadership
Syfovre remains the total market leader, with over 60% share, and new patient share near 50%.
Medicare Advantage Plans
Certain Medicare Advantage plans have made Syfovre the preferred drug, which could lead to increased sales.
Negative Factors
Growth Challenges
Near-term Syfovre growth issues persist, which won't help investor sentiment on the name.
Apellis Pharmaceuticals (APLS) vs. S&P 500 (SPY)
Market Cap
$3.16B
Dividend YieldN/A
Average Volume (3M)1.57M
Price to Earnings (P/E)―
Beta (1Y)0.90
Revenue Growth97.02%
EPS Growth64.32%
CountryUS
Employees706
SectorHealthcare
Sector Strength78
IndustryBiotechnology
Share Statistics
EPS (TTM)-1.60
Shares Outstanding125,515,816
10 Day Avg. Volume1,767,656
30 Day Avg. Volume1,574,527
Financial Highlights & Ratios
PEG RatioN/A
Price to Book (P/B)N/A
Price to Sales (P/S)4.04
Price to Cash Flow (P/CF)40.80
P/FCF Ratio40.80
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price Target
$42.78Price Target Upside67.63% Upside
Rating ConsensusModerate Buy
Number of Analyst Covering19
Apellis Pharmaceuticals Business Overview & Revenue Model
Company DescriptionApellis Pharmaceuticals, Inc. is a clinical-stage biopharmaceutical company, which develops novel therapeutic compounds. It develops complement immunotherapies for the treatment of complement-dependent autoimmune and inflammatory diseases through APL-2 product. The company was founded by Candace Rose Depp, Pascal Deschatelets, Cedric Francois, Alec Machiels on September 25, 2009 and is headquartered in Waltham, MA.
How the Company Makes MoneyApellis Pharmaceuticals generates revenue primarily through the sale of its pharmaceutical products. The company's flagship product, EMPAVELI (pegcetacoplan), is a targeted C3 therapy used for the treatment of paroxysmal nocturnal hemoglobinuria (PNH), a rare blood disorder. Revenue is derived from the direct sales of EMPAVELI to healthcare providers and pharmaceutical distributors. Additionally, Apellis may receive milestone payments, royalties, and licensing fees from strategic partnerships and collaborations with other pharmaceutical companies. These collaborations often involve joint development and commercialization efforts, allowing Apellis to expand the reach of its therapies and tap into new markets.
Apellis Pharmaceuticals Financial Statement Overview
Summary
Apellis Pharmaceuticals exhibits strong revenue growth but continues to face profitability challenges, with negative EBIT and EBITDA margins. The balance sheet shows solid liquidity, yet operational cash flows remain negative, reflecting ongoing cash consumption and reliance on external financing.Income Statement
Apellis Pharmaceuticals has shown significant revenue growth from $75 million in 2022 to $709 million in 2024, indicating a strong upward trajectory. However, the company continues to operate at a net loss, with negative EBIT and EBITDA margins, highlighting challenges in achieving profitability. The gross profit margin is robust, but the high net loss reflects ongoing operational inefficiencies.55
Neutral
Balance Sheet
The company maintains a healthy equity ratio, with stockholders' equity increasing over the years, indicating a solid asset base relative to liabilities. However, the debt-to-equity ratio is moderately high, suggesting reliance on debt financing. The negative net debt indicates strong liquidity, driven by substantial cash reserves.60
Neutral
Cash Flow
Operating cash flow remains negative, pointing to cash consumption in operations without generating positive free cash flow. The free cash flow has improved over the years but remains negative, indicating challenges in cash generation. The company relies heavily on financing activities to support its cash needs.45
Neutral
| Breakdown | ||||
| Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 | Dec 2020 |
|---|---|---|---|---|
| Income Statement | Total Revenue | |||
| 709.95M | 396.59M | 75.42M | 66.56M | 250.65M | Gross Profit |
| 592.23M | 338.08M | 69.79M | 61.36M | 225.60M | EBIT |
| -236.39M | -517.12M | -594.61M | -536.28M | -213.73M | EBITDA |
| -236.39M | -495.21M | -617.39M | -731.27M | -312.23M | Net Income Common Stockholders |
| -197.88M | -528.63M | -652.17M | -746.35M | -344.87M |
| Balance Sheet | Cash, Cash Equivalents and Short-Term Investments | |||
| 411.29M | 352.30M | 551.80M | 700.55M | 877.65M | Total Assets |
| 885.05M | 788.73M | 760.22M | 881.76M | 960.57M | Total Debt |
| 469.78M | 110.93M | 112.71M | 210.22M | 377.73M | Net Debt |
| 58.49M | -240.26M | -439.09M | -429.97M | -188.05M | Total Liabilities |
| 656.51M | 594.21M | 590.35M | 683.10M | 756.01M | Stockholders Equity |
| 228.54M | 194.52M | 169.87M | 198.66M | 204.56M |
| Cash Flow | Free Cash Flow | |||
| -88.27M | -595.51M | -515.27M | -564.23M | -165.91M | Operating Cash Flow |
| -87.87M | -594.74M | -513.75M | -563.13M | -160.49M | Investing Cash Flow |
| -403.00K | -674.00K | 59.89M | 247.62M | -316.99M | Financing Cash Flow |
| 149.24M | 394.50M | 365.66M | 392.24M | 692.18M |
Apellis Pharmaceuticals Technical Analysis
Negative
25.52
Price Trends
28.96
Negative
29.68
Negative
33.35
Negative
Market Momentum
-1.15
Positive
39.75
Neutral
35.61
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For APLS, the sentiment is Negative. The current price of 25.52 is below the 20-day moving average (MA) of 26.61, below the 50-day MA of 28.96, and below the 200-day MA of 33.35, indicating a bearish trend. The MACD of -1.15 indicates Positive momentum. The RSI at 39.75 is Neutral, neither overbought nor oversold. The STOCH value of 35.61 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for APLS.
Apellis Pharmaceuticals Risk Analysis
Apellis Pharmaceuticals disclosed 84 risk factors in its most recent earnings report. Apellis Pharmaceuticals 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
Apellis Pharmaceuticals Peers Comparison
Overall Rating
UnderperformOutperform
Sector (49)
Financial Indicators
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
78 Outperform | $78.51B | 19.43 | 15.95% | 0.12% | 8.27% | 10.35% | |
69 Neutral | $9.77B | 42.25 | 19.71% | ― | 52.97% | ― | |
68 Neutral | $11.05B | 33.69 | 14.16% | ― | 24.81% | 33.67% | |
64 Neutral | $128.40B | ― | -3.15% | ― | 11.64% | -114.72% | |
50 Neutral | $3.16B | ― | -93.55% | ― | 97.02% | 64.32% | |
49 Neutral | $6.90B | -0.08 | -53.01% | 2.43% | 24.84% | -3.06% | |
49 Neutral | $30.91B | ― | -414.62% | ― | 22.97% | 38.54% |
* Healthcare Sector Average
Performance Comparison
APLS
Apellis Pharmaceuticals
25.52
-31.84
-55.51%
ALNY
Alnylam Pharma
238.74
90.32
60.85%
NBIX
Neurocrine
107.22
-34.58
-24.39%
REGN
Regeneron
718.16
-246.07
-25.52%
VRTX
Vertex Pharmaceuticals
488.34
75.14
18.18%
SRPT
Sarepta Therapeutics
100.71
-21.25
-17.42%
Apellis Pharmaceuticals Earnings Call Summary
Earnings Call Date: Feb 28, 2025 | % Change Since: -1.85% | Next Earnings Date: May 1, 2025
Earnings Call Sentiment Positive
The earnings call highlights significant achievements in revenue growth, successful product launches, and pipeline advancements. However, there are challenges with temporary revenue impacts due to external factors and competitive pressures. Despite a net loss reported for the quarter, the company's strong financial position and strategic initiatives provide a positive outlook.Highlights
Record Year-Over-Year Revenue Growth
Cipher generated over 120% year-over-year US net revenue growth, contributing to total annual revenue of $781 million, nearly doubling from the previous year.
Successful Launch of XIFAVI
XIFAVI achieved nearly $900 million in sales in less than two years with 510,000 injections administered through December, maintaining over 60% market share.
Expansion and Regulatory Approvals
Received approval from the Therapeutic Goods Administration in Australia for XIFAVI and ongoing regulatory review in Switzerland.
Robust Pipeline Advancements
Presented positive Phase 3 VALION data for EMPHEREZ in C3G and ICF TGF, and initiated plans for a Phase 2 trial with a new combination treatment for GA.
Strong Financial Position
Ended the year with $411 million in cash and cash equivalents, with expectations to fund core business to profitability with existing cash and future product sales.
Lowlights
Temporary Revenue Impact
First quarter revenue expected to be lower than the fourth quarter due to typical Q1 dynamics and spike in sample usage because of a reported funding gap at non-profit co-pay assistant organizations.
Challenges with Competitive Landscape
Facing competitive pressure from a competitor's label expansion and challenges with maintaining new patient share at around 50% despite market leadership.
Operational Losses
Reported a net loss of $36.4 million for the fourth quarter.
Company Guidance
During the call, Apellis Pharmaceuticals, Inc. provided guidance for 2025, focusing on three strategic pillars: transforming the treatment of geographic atrophy (GA), maximizing the impact of EMPAVELLI in rare diseases, and advancing their innovative pipeline. The company reported significant milestones in 2024, including over 120% year-over-year US net revenue growth for Cipher and nearly $900 million in sales from XIFAV. Apellis plans to initiate a Phase 2 trial for a next-generation treatment for GA in the second quarter of 2025. They aim to secure leadership in the GA market, which is still in early growth stages, with an estimated less than 10% of patients receiving treatment. Additionally, the launch of EMPAVELLI in C3G and ICMPGN is anticipated in the second half of 2025, with plans to initiate Phase 3 trials for two new nephrology indications. Financially, Apellis reported total revenue of $781 million for 2024 and a net loss of $36.4 million for the fourth quarter, with $411 million in cash and cash equivalents at year-end. The company expects operating expenses in 2025 to remain stable compared to 2024.Apellis Pharmaceuticals Corporate Events
Executive/Board ChangesBusiness Operations and StrategyFinancial Disclosures
Apellis Pharmaceuticals Reports Strong Growth and Leadership Changes
Positive
Jan 13, 2025
Apellis Pharmaceuticals announced the election of Keli Walbert to its Board of Directors and the resignation of COO Adam Townsend. The company reported significant growth in U.S. net product revenues for 2024, driven by its products SYFOVRE and EMPAVELI. Apellis plans to submit a supplemental new drug application for EMPAVELI for additional indications and initiate new studies, positioning itself for long-term growth. The strategic changes reflect its focus on enhancing commercial operations and expanding therapeutic applications, potentially impacting market positioning and stakeholder interests.
Glossary
OutperformA stock rated as "Outperform" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock is likely to deliver higher returns compared to the average returns of other stocks in the same sector or market index. Investors might consider this stock a good buying opportunity.
NeutralA stock rated as "Neutral" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly attractive nor unattractive for investment. Investors may consider holding onto the stock, as it is not expected to either significantly outperform or underperform the market.
UnderperformA stock rated as "Underperform" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock may deliver lower returns compared to the average returns of other stocks in the same sector or market index. Investors might consider selling the stock or avoiding it as an investment.
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.