Biofrontera (BFRI)
NASDAQ:BFRI
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Biofrontera
(NASDAQ:BFRI)
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Rating:50Neutral
Price Target:
$0.98
▲(32.43% Upside)
Action:ReiteratedDate:03/20/26
The score is held back primarily by continued GAAP losses and sustained cash burn despite improving gross margins and a healthier balance sheet. Earnings-call guidance and recent clinical/legal wins support the outlook, but technical signals are neutral and valuation support is limited, while the Nasdaq bid-price compliance risk remains a notable near-term concern.
Positive Factors
Gross margin improvement
Acquiring U.S. commercial and regulatory assets plus the new 12%/15% earn-out replaces prior 25–35% transfer pricing, materially lowering unit COGS. This structural cost change improves long-term unit economics, enabling durable margin expansion and a clearer path to operating profitability and cash generation once fully realized.
Negative Factors
Persistent cash burn
Negative operating and free cash flow is a structural risk: the company consumed roughly $13.4M in 2025 and has shown multi-year cash deficits. Until operating cash flow turns sustainably positive, Biofrontera will rely on external financing, which can dilute shareholders and constrain strategic flexibility over the medium term.
Read all positive and negative factors
Positive Factors
Negative Factors
Gross margin improvement
Acquiring U.S. commercial and regulatory assets plus the new 12%/15% earn-out replaces prior 25–35% transfer pricing, materially lowering unit COGS. This structural cost change improves long-term unit economics, enabling durable margin expansion and a clearer path to operating profitability and cash generation once fully realized.
Read all positive factors
Biofrontera (BFRI) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$11.18M
Dividend YieldN/A
Average Volume (3M)120.49K
Price to Earnings (P/E)―
Beta (1Y)0.71
Revenue Growth5.11%
EPS Growth19.78%
CountryUS
Employees92
SectorHealthcare
Sector Strength45
IndustryDrug Manufacturers - Specialty & Generic
Share Statistics
EPS (TTM)0.48
Shares Outstanding11,648,323
10 Day Avg. Volume72,915
30 Day Avg. Volume120,486
Financial Highlights & Ratios
PEG Ratio<0.01
Price to Book (P/B)0.55
Price to Sales (P/S)0.14
P/FCF Ratio-0.43
Enterprise Value/Market Cap0.98
Enterprise Value/Revenue0.26
Enterprise Value/Gross Profit0.35
Enterprise Value/Ebitda-1.05
Forecast
1Y Price Target
$9.00Price Target Upside1116.22% Upside
Rating ConsensusModerate Buy
Number of Analyst Covering1
EPS Forecast (FY)-0.12
Revenue Forecast (FY)$45.65M
Biofrontera Business Overview & Revenue Model
Company Description
Biofrontera Inc., a biopharmaceutical company, engages in the commercialization of pharmaceutical products for the treatment of dermatological conditions in the United States. The company offers Ameluz, which is a prescription drug approved for us...
How the Company Makes Money
Biofrontera makes money primarily by selling its dermatology products and related medical devices. A key revenue stream is net product revenue from Ameluz, a prescription drug used with photodynamic therapy, and associated sales of the RhodoLED la...
Biofrontera Earnings Call Summary
Earnings Call Date:Mar 19, 2026
(Q4-2025)
| % Change Since: |
Next Earnings Date:May 08, 2026
Earnings Call Sentiment Positive
The call conveyed strong positive operational and strategic progress: record revenues, a highly profitable Q4 driven by a materially improved cost structure from the acquisition of U.S. assets, clear commercial execution with unit and lamp placement growth, and multiple positive clinical readouts with an imminent PDUFA for sBCC. Key near-term challenges remain — full-year GAAP losses and negative adjusted EBITDA, continued cash burn with modest year-end liquidity, elevated legal costs, and dependence on upcoming regulatory approvals. Management expects the full financial benefit of the new earn-out/cost structure to be realized in 2026, which, combined with the clinical pipeline and financing activity, supports a constructive outlook despite remaining execution and regulatory risks.Positive Updates
Record Revenue Performance
Record full-year revenues of $41.7M, up ~12% YoY, and record Q4 revenue of $17.1M, up ~36% YoY — the highest quarterly revenue in company history.
Negative Updates
Full-Year Losses and Negative Adjusted EBITDA
Full-year operating loss of $11.3M and GAAP net loss of $10.5M (improvements vs 2024 but still a loss); full-year adjusted EBITDA negative $10.6M (improved from -$15.3M), adjusted EBITDA margin -25.4%.
Read all updates
Q4-2025 Updates
Positive
Negative
Record Revenue Performance
Record full-year revenues of $41.7M, up ~12% YoY, and record Q4 revenue of $17.1M, up ~36% YoY — the highest quarterly revenue in company history.
Read all positive updates
Company Guidance
The company guided that the full annualized benefit of the new AG transaction and earn-out structure will be realized in 2026, with gross profit margins expected to be in the 80–85% range starting January 1, 2026 (with some mix-driven fluctuation), driven by a decline in cost of revenue per unit to ~15% versus the prior 25–35% transfer‑pricing range; the new royalty/earn‑out is 12% on U.S. Ameluz sales ≤ $65M and 15% above that threshold. For context, FY‑2025 net revenues were $41.7M (+12% YoY), Q4 revenues were $17.1M (+36% YoY) with Q4 adjusted EBITDA of $4.9M and net income of $5.6M; full‑year adjusted EBITDA improved to –$10.6M from –$15.3M and cash was $6.4M as of 12/31/25 (plus $11M Series C and $3M initial Xepi proceeds), and management expects lower cash consumption en route to cash‑flow breakeven.Biofrontera Financial Statement Overview
Summary
Income Statement
34
Negative
Balance Sheet
52
Neutral
Cash Flow
23
Negative
| Breakdown | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Mar 2022 |
|---|---|---|---|---|---|
Income Statement | |||||
| Total Revenue | 41.70M | 37.30M | 34.07M | 28.67M | 24.10M |
| Gross Profit | 31.59M | 18.70M | 16.63M | 13.49M | 11.36M |
| EBITDA | -10.48M | -14.44M | -18.45M | 934.00K | -36.76M |
| Net Income | -10.54M | -17.76M | -20.13M | -640.00K | -37.71M |
Balance Sheet | |||||
| Total Assets | 28.56M | 22.10M | 27.93M | 50.88M | 53.22M |
| Cash, Cash Equivalents and Short-Term Investments | 6.39M | 5.91M | 1.42M | 27.76M | 24.55M |
| Total Debt | 6.16M | 4.92M | 5.40M | 1.35M | 0.00 |
| Total Liabilities | 18.08M | 17.67M | 23.14M | 27.01M | 41.88M |
| Stockholders Equity | 10.48M | 4.43M | 4.79M | 23.88M | 11.34M |
Cash Flow | |||||
| Free Cash Flow | -13.36M | -10.33M | -24.90M | -16.24M | -26.73M |
| Operating Cash Flow | -13.36M | -10.27M | -24.89M | -16.20M | -26.71M |
| Investing Cash Flow | 3.00M | -3.00K | 619.00K | -5.16M | -11.00K |
| Financing Cash Flow | 10.85M | 14.84M | 8.41M | 14.02M | 43.19M |
Biofrontera Technical Analysis
Positive
0.74
Price Trends
0.87
Positive
0.84
Positive
0.88
Positive
Market Momentum
0.02
Negative
64.46
Neutral
94.25
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For BFRI, the sentiment is Positive. The current price of 0.74 is below the 20-day moving average (MA) of 0.87, below the 50-day MA of 0.87, and below the 200-day MA of 0.88, indicating a bullish trend. The MACD of 0.02 indicates Negative momentum. The RSI at 64.46 is Neutral, neither overbought nor oversold. The STOCH value of 94.25 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for BFRI.
Biofrontera Peers Comparison
UnderperformOutperform
Sector (51)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
51 Neutral | $7.86B | -0.30 | -43.30% | 2.27% | 22.53% | -2.21% | |
50 Neutral | $11.18M | -0.55 | 2994.80% | ― | 5.11% | 19.78% | |
47 Neutral | $4.07M | -0.42 | ― | ― | ― | ― | |
46 Neutral | $23.73M | -33.14 | 0.27% | ― | 75.19% | ― | |
42 Neutral | $767.06K | -0.70 | -404.42% | ― | ― | ― | |
40 Underperform | $11.23M | -1.59 | -63.82% | ― | ― | ― |
* Healthcare Sector Average
BFRI
Biofrontera
0.96
0.22
29.03%
PRPH
Prophase Labs
0.08
-2.84
-97.26%
TXMD
TherapeuticsMD
2.05
1.16
130.34%
RDHL
RedHill Biopharma
0.80
-1.90
-70.41%
COSM
Cosmos Holdings
0.30
-0.05
-13.29%
GELS
Gelteq Limited
0.66
-0.24
-26.50%
Biofrontera Corporate Events
Business Operations and StrategyProduct-Related Announcements
Biofrontera Reports Positive Phase 2b Acne Trial Results
Positive
Mar 9, 2026
On March 9, 2026, Biofrontera Inc. announced positive Phase 2b trial results for its Ameluz® photodynamic therapy in moderate to severe acne vulgaris, showing greater reductions in inflammatory lesions and better mIGA scores than vehicle, par...
Legal Proceedings
Biofrontera Wins Key PTAB Ruling in Sun Patent Dispute
Positive
Feb 26, 2026
On February 23, 2026, the U.S. Patent Trial and Appeal Board issued a Final Written Decision finding all challenged claims of Sun Pharmaceutical Industries’ U.S. Patent No. 11,697,028 unpatentable, siding with Biofrontera in an inter partes ...
Business Operations and StrategyProduct-Related Announcements
Biofrontera Reports Positive Phase 3 Ameluz PDT Results
Positive
Feb 9, 2026
On February 9, 2026, Biofrontera announced positive top-line Phase 3 results for its Ameluz photodynamic therapy with the red-light RhodoLED platform in treating mild to moderate actinic keratoses on the extremities, neck and trunk. The multicente...
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.