Cumberland Pharmaceuticals (CPIX) AI Stock Analysis

• Market Cap: $58.93M
• Dividend Yield: N/A
• Average Volume (3M): 27.29K
• Price to Earnings (P/E): ―
• Beta (1Y): -0.06
• Revenue Growth: 12.21%
• EPS Growth: 69.91%
• Country: US
• Employees: 91
• Sector: Healthcare
• Sector Strength: 45
• Industry: Drug Manufacturers - Specialty & Generic
• EPS (TTM): -0.13
• Shares Outstanding: 14,956,627
• 10 Day Avg. Volume: 30,352
• 30 Day Avg. Volume: 27,288
• PEG Ratio: -1.13
• Price to Book (P/B): 1.46
• Price to Sales (P/S): 0.88
• P/FCF Ratio: -42.08
• Enterprise Value/Market Cap: 0.83
• Enterprise Value/Revenue: 1.18
• Enterprise Value/Gross Profit: 1.40
• Enterprise Value/Ebitda: 18.16
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 51 Neutral
• Price Target: $4.00 ▼(-15.25% Downside)

The score is held back primarily by weak financial performance (loss-making margins and slightly declining TTM revenue) and soft technical signals (below the 20-day average with negative MACD). A more constructive earnings-call outlook—driven by year-to-date revenue growth, partnerships, and pipeline progress—partially offsets these risks, while valuation is not supportive given the negative P/E and no dividend yield provided.

Positive Factors

High Gross Margin

An 84.49% gross margin indicates very strong unit economics for Cumberland's product portfolio, providing durable buffer to absorb SG&A or R&D spending. High gross margins support reinvestment in commercialization and clinical programs even if operating margins are currently negative.

Improved Leverage

Reduction in leverage to a 0.39 debt/equity ratio materially improves financial flexibility and lowers refinancing risk. With lower debt burden, the company can allocate cash to R&D, international launches, or partnerships without as much strain from interest obligations.

Regulatory/Clinical Progress

Fast Track designation for ifetroban, on top of prior Orphan and Rare Pediatric statuses and positive Phase 2 data, accelerates regulatory engagement and review timelines. This structurally strengthens the pipeline and could create a durable revenue stream in an underserved rare-disease cardiology niche.

Negative Factors

Negative Profitability

Persistent negative net margins and a negative ROE signal the company is not yet converting high gross margins into sustainable bottom-line returns. Continued losses constrain retained earnings, limit shareholder returns, and require ongoing cash or financing to support growth initiatives.

Declining TTM Revenue

Slight TTM revenue decline undermines scale benefits and raises questions about product demand stability. Without consistent top-line growth, fixed costs and R&D investments erode margins and make it harder to fund commercialization of new assets like ifetroban sustainably.

Product Competition & Supply Disruption

Increased generic substitution for Kristalose and reported shipment delays are structural risks to revenue durability. Competitive erosion and operational supply issues can permanently reduce market share for legacy products and force higher marketing or discounting to defend volumes.

Cumberland Pharmaceuticals Business Overview & Revenue Model

Company Description

Cumberland Pharmaceuticals Inc., a specialty pharmaceutical company, focuses on the acquisition, development, and commercialization of prescription products for hospital acute care, gastroenterology, rheumatology, and oncology in the United States and internationally. The company offers Acetadote, an injection for the treatment of acetaminophen poisoning; Caldolor, an injection for the treatment of pain and fever; Kristalose, a prescription laxative oral solution for the treatment of chronic and acute constipation; Omeclamox-Pak for the treatment of Helicobacter pylori infection and duodenal ulcer disease; Vaprisol, an injection for treating euvolemic and hypervolemic hyponatremia; and Vibativ, an injection for the treatment of certain serious bacterial infections, including hospital-acquired and ventilator-associated bacterial pneumonia, as well as complicated skin and skin structure infections. It also develops RediTrex injection for the treatment of active rheumatoid, juvenile idiopathic, and severe psoriatic arthritis, as well as disabling psoriasis. In addition, the company is developing ifetroban, a product candidate that is in phase II clinical trial for the treatment of aspirin-exacerbated respiratory disease, systemic sclerosis, and duchenne muscular dystrophy; and has completed phase II clinical trial for the treatment of hepatorenal syndrome and portal hypertension. Further, it develops a clinical program for the use of ifetroban to treat progressive fibrosing interstitial lung diseases; and a product candidate that is in Phase II clinical trial for cholesterol reducing agent to use in the hospital setting. The company was incorporated in 1999 and is headquartered in Nashville, Tennessee.

How the Company Makes Money

Cumberland Pharmaceuticals generates revenue primarily through the sale of its pharmaceutical products to hospitals, clinics, and healthcare providers. The company's revenue model is based on direct product sales, as well as collaborations and partnerships with other pharmaceutical companies for distribution and marketing of its products. Key revenue streams include sales from its flagship drugs like Acetadote and Vaprisol, along with royalties and licensing fees from its partnered products. Additionally, strategic partnerships with healthcare institutions and distributors help expand its market reach and enhance its sales capabilities, contributing to its overall earnings.

Cumberland Pharmaceuticals Financial Statement Overview

Summary

Financial statement scores point to weak profitability and slightly declining revenue (TTM revenue growth -1.89% and TTM net margin -8.06%) despite strong gross margin (84.49%). Balance sheet leverage improved (debt-to-equity 0.39), and cash flow is positive with relatively strong free-cash-flow-to-net-income (0.98), but negative free cash flow growth and negative ROE keep the overall financial profile middling.

Income Statement

Cumberland Pharmaceuticals shows a declining revenue trend with a negative revenue growth rate of -1.89% in the TTM. The company has consistently reported negative net profit margins, with the TTM net profit margin at -8.06%. Despite a strong gross profit margin of 84.49% in the TTM, the negative EBIT and EBITDA margins indicate operational inefficiencies and challenges in managing operating expenses.

Balance Sheet

The company's debt-to-equity ratio improved to 0.39 in the TTM from 0.90 in the previous year, indicating a reduction in leverage. However, the return on equity remains negative, reflecting ongoing profitability challenges. The equity ratio is relatively stable, suggesting a balanced asset structure, but the negative ROE highlights the need for improved profitability.

Cash Flow

Cumberland Pharmaceuticals has shown improvement in cash flow metrics, with a positive operating cash flow and a high free cash flow to net income ratio of 0.98 in the TTM. However, the free cash flow growth rate is negative, indicating potential challenges in sustaining cash flow generation. The operating cash flow to net income ratio of 0.28 suggests moderate cash flow efficiency.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	41.28M	37.87M	39.55M	42.01M	35.99M	37.44M
Gross Profit	34.88M	31.28M	33.49M	32.89M	27.17M	28.79M
EBITDA	2.68M	182.42K	2.49M	332.92K	-857.83K	-1.56M
Net Income	-3.33M	-6.48M	-6.28M	-5.57M	-3.51M	-3.34M
Balance Sheet
Total Assets	65.90M	75.58M	81.78M	92.93M	84.46M	96.46M
Cash, Cash Equivalents and Short-Term Investments	15.20M	17.96M	18.32M	19.76M	27.04M	24.75M
Total Debt	10.24M	20.57M	18.43M	20.96M	16.06M	19.26M
Total Liabilities	40.10M	53.04M	52.52M	56.95M	41.86M	49.59M
Stockholders Equity	26.12M	22.85M	29.60M	36.27M	42.81M	46.99M
Cash Flow
Free Cash Flow	6.71M	-791.90K	5.64M	6.38M	5.99M	3.30M
Operating Cash Flow	6.83M	-612.19K	6.09M	8.45M	6.34M	5.42M
Investing Cash Flow	-1.66M	57.84K	-105.69K	-13.67M	-501.89K	-1.76M
Financing Cash Flow	-7.44M	196.90K	-7.42M	-2.06M	-3.55M	-7.12M

Cumberland Pharmaceuticals Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 4.72
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CPIX, the sentiment is Negative. The current price of 4.72 is above the 20-day moving average (MA) of 4.22, above the 50-day MA of 3.65, and above the 200-day MA of 3.69, indicating a bearish trend. The MACD of -0.06 indicates Positive momentum. The RSI at 41.07 is Neutral, neither overbought nor oversold. The STOCH value of 28.49 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for CPIX.

Cumberland Pharmaceuticals Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ASRT	53 Neutral	$76.04M	-2.47	-24.48%	―	9.21%	58.12%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
CPIX	51 Neutral	$58.93M	-15.40	-13.08%	―	12.21%	69.91%
IXHL	47 Neutral	$98.67M	-0.23	-114.52%	―	-86.05%	24.17%
SCYX	45 Neutral	$30.42M	-1.29	-53.29%	―	-65.77%	38.61%
RMTI	42 Neutral	$40.59M	-6.27	-16.67%	―	-23.60%	-179.33%
KALA	40 Underperform	$12.27M	-0.07	―	―	―	52.39%

Cumberland Pharmaceuticals Corporate Events

Cumberland Pharmaceuticals Wins Fast Track for Ifetroban

On February 4, 2026, Cumberland Pharmaceuticals announced that the U.S. Food and Drug Administration granted Fast Track Designation to its oral thromboxane receptor antagonist ifetroban, which targets a fatal form of heart disease in Duchenne muscular dystrophy patients. The designation, which follows prior Orphan Drug and Rare Pediatric Disease status for ifetroban and is supported by positive Phase 2 data showing a 5.4% improvement in left ventricular ejection fraction over 12 months, is expected to accelerate regulatory interactions and review, potentially strengthening Cumberland’s position in rare disease cardiology and offering new hope in an area where no approved therapies currently exist for DMD-related heart disease.

The most recent analyst rating on (CPIX) stock is a Hold with a $4.00 price target. To see the full list of analyst forecasts on Cumberland Pharmaceuticals stock, see the CPIX Stock Forecast page.