Apellis Pharmaceuticals (APLS) AI Stock Analysis

• Market Cap: $2.49B
• Dividend Yield: N/A
• Average Volume (3M): 2.93M
• Price to Earnings (P/E): 64.9
• Beta (1Y): 0.88
• Revenue Growth: 42.11%
• EPS Growth: N/A
• Country: US
• Employees: 705
• Sector: Healthcare
• Sector Strength: 45
• Industry: Biotechnology
• EPS (TTM): 1.67
• Shares Outstanding: 126,525,215
• 10 Day Avg. Volume: 3,876,501
• 30 Day Avg. Volume: 2,931,082
• PEG Ratio: 0.31
• Price to Book (P/B): 17.30
• Price to Sales (P/S): 5.06
• P/FCF Ratio: -44.79
• Enterprise Value/Market Cap: 1.18
• Enterprise Value/Revenue: 2.89
• Enterprise Value/Gross Profit: 3.26
• Enterprise Value/Ebitda: 31.47
• 1Y Price Target: $33.07
• Price Target Upside: 71.70% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 16
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 51 Neutral
• Price Target: $19.50 ▲(1.25% Upside)

The overall stock score of 51 reflects a mixed outlook for Apellis Pharmaceuticals. The most significant factor is the company's financial performance, showing improvement in cash flow and leverage but facing challenges in revenue growth. Technical analysis indicates bearish momentum, while valuation suggests the stock may be overvalued. The earnings call provided positive insights into strategic initiatives and FDA approvals, but revenue challenges remain a concern.

Positive Factors

FDA Approval of EMPAVELI

The FDA approval of EMPAVELI expands Apellis's market, potentially increasing revenue and strengthening its position in the nephrology sector.

Strong Financial Position

A robust cash position allows Apellis to invest in R&D and strategic initiatives, supporting sustainable growth and innovation.

SYFOVRE Market Leadership

SYFOVRE's market leadership in geographic atrophy provides a stable revenue stream and reinforces Apellis's competitive advantage.

Negative Factors

Challenges with SYFOVRE Revenue

Revenue challenges from free drug programs could impact profitability and hinder the ability to reinvest in growth opportunities.

Low Treatment Rate for Geographic Atrophy

The low treatment rate for geographic atrophy limits market penetration and revenue potential for Apellis's therapies.

Operational Challenges in Patient Access

Patient access issues could limit therapy adoption, affecting revenue growth and market expansion efforts for Apellis.

Apellis Pharmaceuticals Business Overview & Revenue Model

Company Description

Apellis Pharmaceuticals, Inc. is a biopharmaceutical company focused on developing innovative therapies to treat serious diseases. The company specializes in complement immunotherapy, targeting the complement system to provide solutions for conditions such as geographic atrophy and other rare diseases. Apellis is primarily engaged in the research, development, and commercialization of its core product, pegcetacoplan, which is designed to address unmet medical needs in the ophthalmology and hematology sectors.

How the Company Makes Money

Apellis Pharmaceuticals generates revenue primarily through the sale of its approved therapies, notably pegcetacoplan, which is marketed for the treatment of geographic atrophy, a complication of age-related macular degeneration. The company's revenue model is based on a combination of product sales, potential royalties from partnerships, and collaborations with other pharmaceutical companies. Significant partnerships with larger pharmaceutical firms enhance its research capabilities and market reach, contributing to Apellis's earnings. Additionally, the company may receive milestone payments from partners based on the achievement of specific development and commercial milestones.

Apellis Pharmaceuticals Financial Statement Overview

Summary

Apellis Pharmaceuticals shows improvement in cash flow and leverage, with a strong recovery in free cash flow and reduced debt-to-equity ratio. However, challenges remain in maintaining consistent revenue growth and profitability, as evidenced by historical volatility and a slight decline in revenue.

Income Statement

Apellis Pharmaceuticals shows a mixed performance in its income statement. The TTM data indicates a gross profit margin of 84.53%, which is strong, but the net profit margin is relatively low at 6.12%. Revenue has slightly declined by 2.53% in the TTM period, indicating potential challenges in maintaining growth. EBIT and EBITDA margins are positive in the TTM, showing improvement from previous years, but historical data shows significant losses, highlighting volatility in profitability.

Balance Sheet

The balance sheet reflects a moderate financial position. The debt-to-equity ratio has improved significantly to 0.28 in the TTM, indicating reduced leverage compared to previous years. Return on equity is positive at 18.94%, showing effective use of equity to generate profits. However, historical high leverage and negative ROE in previous years suggest past financial instability.

Cash Flow

Cash flow analysis reveals a strong recovery in free cash flow, with a growth rate of 1681.56% in the TTM. The operating cash flow to net income ratio is 0.28, indicating some efficiency in converting income to cash. The free cash flow to net income ratio is nearly 1, suggesting that the company is generating cash flow in line with its net income, a positive sign for liquidity.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.02B	781.37M	396.59M	75.42M	66.56M	250.65M
Gross Profit	902.24M	663.64M	338.08M	69.79M	61.36M	225.60M
EBITDA	93.37M	-154.53M	-495.21M	-617.39M	-731.27M	-312.23M
Net Income	44.99M	-197.88M	-528.63M	-652.17M	-746.35M	-344.87M
Balance Sheet
Total Assets	1.06B	885.05M	788.73M	760.22M	881.76M	960.57M
Cash, Cash Equivalents and Short-Term Investments	479.17M	411.29M	352.30M	551.80M	700.55M	877.65M
Total Debt	114.28M	469.78M	110.93M	112.71M	210.22M	377.73M
Total Liabilities	657.55M	656.51M	594.21M	590.35M	683.10M	756.01M
Stockholders Equity	401.17M	228.54M	194.52M	169.87M	198.66M	204.56M
Cash Flow
Free Cash Flow	78.64M	-88.27M	-595.51M	-515.27M	-564.23M	-165.91M
Operating Cash Flow	78.86M	-87.87M	-594.74M	-513.75M	-563.13M	-160.49M
Investing Cash Flow	-225.00K	-403.00K	-674.00K	59.89M	247.62M	-316.99M
Financing Cash Flow	3.63M	149.24M	394.50M	365.66M	392.24M	692.18M

Apellis Pharmaceuticals Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 19.26
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

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 19.26 is below the 20-day moving average (MA) of 24.68, below the 50-day MA of 24.73, and below the 200-day MA of 22.77, indicating a bearish trend. The MACD of -1.34 indicates Positive momentum. The RSI at 32.55 is Neutral, neither overbought nor oversold. The STOCH value of 4.88 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for APLS.

Apellis Pharmaceuticals Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
AKRO	60 Neutral	$4.36B	―	-31.14%	―	―	-11.39%
CRNX	58 Neutral	$4.01B	―	-36.94%	―	―	-9.10%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
APLS	51 Neutral	$2.49B	64.87	14.10%	―	42.11%	―
MIRM	51 Neutral	$3.60B	―	-15.81%	―	53.66%	58.63%
ZLAB	45 Neutral	$2.86B	―	-28.39%	―	32.38%	33.47%
MLTX	41 Neutral	$678.05M	―	-54.17%	―	―	-157.74%

Apellis Pharmaceuticals Corporate Events

Apellis Pharmaceuticals’ Earnings Call Highlights FDA Approval and Market Challenges

The recent earnings call of Apellis Pharmaceuticals highlighted a blend of significant achievements and notable challenges. The company celebrated the FDA approval of EMPAVELI and the strong market leadership of SYFOVRE. However, there were concerns regarding SYFOVRE’s revenue, which was impacted by free drug programs and operational challenges in patient access.

Apellis Pharmaceuticals Reports Strong Q3 2025 Earnings

Apellis Pharmaceuticals, Inc. is a commercial-stage biopharmaceutical company focused on developing novel therapeutic compounds that target the complement system, particularly at the C3 protein level, to treat diseases with high unmet needs. The company is headquartered in Waltham, Massachusetts, and is known for its products EMPAVELI and SYFOVRE, which are used to treat conditions such as paroxysmal nocturnal hemoglobinuria and geographic atrophy secondary to age-related macular degeneration, respectively.

Apellis Pharmaceuticals’ Promising Phase 2 Study on Geographic Atrophy Treatment

Apellis Pharmaceuticals is conducting a Phase 2 clinical study titled A Phase 2, Randomized, Placebo Controlled, Multicenter, Masked Study to Evaluate the Efficacy, Safety, Tolerability, and Pharmacodynamics of Multidose APL 3007 in Combination With Syfovre/Pegcetacoplan (APL-2) in Patients Diagnosed With Geographic Atrophy Secondary to Age Related Macular Degeneration. The study aims to assess the effectiveness and safety of APL-3007, in combination with Syfovre/Pegcetacoplan, for treating geographic atrophy due to age-related macular degeneration, a significant cause of vision loss.

Apellis Pharmaceuticals Launches Phase 3B Study for Pegcetacoplan in Geographic Atrophy

Apellis Pharmaceuticals is conducting a Phase 3B, single-arm, open-label study titled A Phase 3B, Single-Arm, Open-Label, Multicenter Study to Evaluate the Safety of Pegcetacoplan in a Prefilled Syringe in Participants With Geographic Atrophy Secondary to Age-Related Macular Degeneration. The study aims to assess the safety of pegcetacoplan, a complement C3 inhibitor, in a prefilled syringe for treating geographic atrophy secondary to age-related macular degeneration.

Apellis Pharmaceuticals Advances APL2 Study for Rare Kidney Disease

Apellis Pharmaceuticals is conducting a sequential Phase 2/3 study titled ‘A Sequential Phase 2/3 Study of APL2 in Patients With Focal Segmental Glomerulosclerosis.’ The study aims to evaluate the efficacy and safety of APL2, a complement (C3) inhibitor, in treating Focal Segmental Glomerulosclerosis (FSGS), a rare kidney disease. This study is significant as it could offer a new treatment option for patients with limited alternatives.

Apellis Pharmaceuticals Advances Pediatric PNH Treatment Study

Apellis Pharmaceuticals is conducting a study titled An Open Label, Single-Arm, Phase 2 Study to Evaluate the Safety, Pharmacokinetics, and Biologic Activity of Pegcetacoplan in Pediatric Patients With Paroxysmal Nocturnal Hemoglobinuria. The study aims to assess the safety and effectiveness of pegcetacoplan in adolescents aged 12-17 with paroxysmal nocturnal hemoglobinuria (PNH), a rare blood disorder. This research is significant as it targets a younger demographic, potentially expanding treatment options for this condition.

Apellis Pharmaceuticals’ Phase 3 Study on Pegcetacoplan: A Potential Game-Changer for Kidney Transplants

Apellis Pharmaceuticals is conducting a Phase 3 study titled ‘A Phase 3 Study to Evaluate the Efficacy and Safety of Pegcetacoplan in Adults at High Risk of Delayed Graft Function (DGF) Following Kidney Allograft Transplantation.’ The study aims to assess the effectiveness and safety of Pegcetacoplan, a complement (C3) inhibitor, in preventing delayed graft function in patients undergoing kidney transplants. This research is significant as it could improve outcomes for patients with end-stage renal disease receiving deceased donor kidney transplants.

Apellis Pharmaceuticals’ Phase 4 Study Update: Real-World Insights on Pegcetacoplan

Apellis Pharmaceuticals is conducting a phase 4 clinical study titled ‘A Prospective, Multicenter, Open-Label, Observational Phase 4 Study to Evaluate Real-World Safety, Tolerability, and Treatment Patterns of Pegcetacoplan (Syfovre) in Patients With Geographic Atrophy Secondary to Age-Related Macular Degeneration.’ The study aims to assess the real-world safety and treatment patterns of Pegcetacoplan in patients with geographic atrophy, a condition associated with age-related macular degeneration.