Collegium Pharmaceutical (COLL) AI Stock Analysis

• Market Cap: $1.22B
• Dividend Yield: N/A
• Average Volume (3M): 386.63K
• Price to Earnings (P/E): 37.5
• Beta (1Y): 0.42
• Revenue Growth: 22.61%
• EPS Growth: -63.00%
• Country: US
• Employees: 357
• Sector: Healthcare
• Sector Strength: 51
• Industry: Drug Manufacturers - Specialty & Generic
• EPS (TTM): 1.68
• Shares Outstanding: 31,502,127
• 10 Day Avg. Volume: 385,258
• 30 Day Avg. Volume: 386,633
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 1.53
• Enterprise Value/Revenue: 2.64
• Enterprise Value/Gross Profit: 4.65
• Enterprise Value/Ebitda: 5.38
• 1Y Price Target: $43.40
• Price Target Upside: 11.86% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 5

• Rating: 73 Outperform
• Price Target: $42.00 ▲(8.25% Upside)

Collegium Pharmaceutical's strong earnings call performance and technical analysis are the primary drivers of its stock score. The company's robust revenue growth and strategic investments are positive indicators. However, high leverage and valuation concerns slightly temper the overall score.

Positive Factors

Financial Performance

COLL reported a 2Q25 top-line of $188MM, ahead of Street's $180.9MM, mostly driven by Xtampza sales.

Growth Potential

Jornay, acquired through the Ironshore Therapeutics transaction, has rapidly emerged as the company’s lead growth driver, with prescriptions growing 42% year-over-year and 15% sequentially.

Valuation

Collegium Pharmaceutical Inc. trades at a low valuation of only 3.7 times the midpoint of its 2025 EV/EBITDA guidance, which is attractive given its history of exceeding EBITDA guidance for the past three years.

Negative Factors

Generic Competition

Despite the portfolio being mature, there is a valuation disconnect in COLL's business driven largely by uncertainty around the potential for generic competition on these products.

Seasonal Slowdown

A small adjustment is made to reflect the expected seasonal slowdown in sales due to Rx re-authorizations and insurance deductible resets.

Collegium Pharmaceutical Business Overview & Revenue Model

Company Description

Collegium Pharmaceutical, Inc., a specialty pharmaceutical company, develops and commercializes medicines for pain management. Its portfolio includes Xtampza ER, an abuse-deterrent, extended-release, oral formulation of oxycodone; Nucynta ER and Nucynta IR, which are extended-release and immediate-release formulations of tapentadol; and Xtampza ER for the management of pain severe enough to require daily, around-the-clock, long-term opioid treatment. The company was formerly known as Collegium Pharmaceuticals, Inc. and changed its name to Collegium Pharmaceutical, Inc. in October 2003. Collegium Pharmaceutical, Inc. was incorporated in 2002 and is headquartered in Stoughton, Massachusetts.

How the Company Makes Money

Collegium Pharmaceutical generates revenue primarily through the sale of its prescription drugs, particularly Xtampza ER. The company employs a revenue model based on direct sales to healthcare providers and pharmacies, as well as through partnerships with other pharmaceutical companies for the distribution of its products. Additionally, Collegium may receive royalty payments from licensing agreements or collaborations, enhancing its revenue streams. The ongoing demand for pain management solutions, particularly those that are abuse-deterrent, positions the company to capitalize on market needs, thereby contributing to its overall earnings.

Collegium Pharmaceutical Financial Statement Overview

Summary

Collegium Pharmaceutical shows strong revenue growth and operational efficiency with robust EBITDA margins. However, increased leverage and declining net profitability pose risks. Cash generation remains strong, supporting operations despite challenges.

Income Statement

Collegium Pharmaceutical's income statement shows strong revenue growth, increasing from $566.8M in 2023 to $664.3M in TTM (Trailing-Twelve-Months), representing a growth rate of approximately 15.2%. The gross profit margin is healthy at 57.7% in TTM. However, the net profit margin has decreased from 12.2% in 2024 to 6.6% in TTM, indicating increased expenses or cost pressures. EBIT margin is stable at 21.4% in TTM, and EBITDA margin remains robust at 50.1%, demonstrating good operational efficiency.

Balance Sheet

The balance sheet reveals a high debt-to-equity ratio of 3.60, suggesting significant leverage, which could pose financial risks. However, stockholders' equity has improved slightly to $234.4M in TTM. The equity ratio is 14.4%, indicating moderate reliance on equity financing. Return on Equity (ROE) has decreased from 30.2% in 2024 to 18.7% in TTM, reflecting reduced profitability relative to equity.

Cash Flow

The cash flow statement indicates strong cash generation with a free cash flow of $196.6M in TTM. The free cash flow to net income ratio is 4.48, highlighting effective cash conversion. Operating cash flow to net income ratio is 4.52, suggesting efficient operations. However, there is a decrease in free cash flow from $203.3M in 2024, equating to a negative growth rate, which requires monitoring.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	707.01M	631.45M	566.77M	463.93M	276.87M	310.02M
Gross Profit	400.79M	377.34M	326.17M	209.49M	150.62M	179.84M
EBITDA	346.73M	341.70M	308.33M	168.76M	86.58M	118.07M
Net Income	36.27M	69.19M	48.16M	-25.00M	71.52M	26.75M
Balance Sheet
Total Assets	1.59B	1.66B	1.14B	1.17B	692.08M	643.84M
Cash, Cash Equivalents and Short-Term Investments	222.15M	162.76M	310.55M	173.69M	186.43M	174.12M
Total Debt	829.11M	859.30M	674.28M	872.79M	258.75M	266.58M
Total Liabilities	1.36B	1.43B	947.88M	979.29M	489.15M	457.81M
Stockholders Equity	232.21M	228.84M	195.43M	194.84M	202.93M	186.03M
Cash Flow
Free Cash Flow	201.81M	203.33M	274.29M	122.61M	101.61M	-279.83M
Operating Cash Flow	203.48M	204.98M	274.75M	124.23M	103.56M	93.94M
Investing Cash Flow	-273.32M	-287.76M	-70.81M	-573.69M	-1.94M	-373.77M
Financing Cash Flow	34.15M	-60.60M	-140.18M	436.72M	-89.30M	286.47M

Collegium Pharmaceutical Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 38.80
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For COLL, the sentiment is Positive. The current price of 38.8 is above the 20-day moving average (MA) of 36.63, above the 50-day MA of 33.31, and above the 200-day MA of 30.57, indicating a bullish trend. The MACD of 1.80 indicates Positive momentum. The RSI at 66.72 is Neutral, neither overbought nor oversold. The STOCH value of 51.90 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for COLL.

Collegium Pharmaceutical Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SUPN	76 Outperform	$2.53B	39.43	6.38%	―	5.55%	1145.24%
COLL	73 Outperform	$1.22B	37.46	16.16%	―	22.61%	-63.00%
AMPH	68 Neutral	$1.42B	11.46	18.32%	―	1.37%	-18.10%
AVDL	66 Neutral	$1.43B	―	-3.63%	―	132.35%	97.34%
ANIP	66 Neutral	$2.03B	―	-2.82%	―	38.68%	-160.14%
PCRX	61 Neutral	$1.20B	―	-15.57%	―	2.25%	-301.59%
Sector *	51 Neutral	$7.84B	-0.18	-41.53%	2.28%	22.72%	-1.87%

Collegium Pharmaceutical Corporate Events

Collegium Pharmaceutical Reports Record Q2 2025 Revenue

On August 7, 2025, Collegium Pharmaceutical reported its financial results for the second quarter of 2025, showcasing a record quarterly net revenue of $188.0 million, a 29% increase year-over-year. The company raised its full-year 2025 revenue guidance to $745-$760 million and adjusted EBITDA guidance to $440-$455 million. Notably, Jornay PM net revenue reached $32.6 million, with prescriptions growing by 23% year-over-year. The pain portfolio also saw a 7% revenue increase. Collegium announced a $150 million share repurchase program and completed a $25 million accelerated share repurchase, emphasizing its focus on enhancing shareholder value.