Emergent Biosolutions (EBS) AI Stock Analysis

• Market Cap: $376.15M
• Dividend Yield: N/A
• Average Volume (3M): 1.25M
• Price to Earnings (P/E): ―
• Beta (1Y): 2.89
• Revenue Growth: -18.56%
• EPS Growth: 76.88%
• Country: US
• Employees: 900
• Sector: Healthcare
• Sector Strength: 40
• Industry: Drug Manufacturers - Specialty & Generic
• EPS (TTM): 0.71
• Shares Outstanding: 54,277,830
• 10 Day Avg. Volume: 1,067,071
• 30 Day Avg. Volume: 1,251,743
• PEG Ratio: -0.10
• Price to Book (P/B): 0.72
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 4.20
• Enterprise Value/Market Cap: 2.43
• Enterprise Value/Revenue: 0.22
• Enterprise Value/Gross Profit: 3.01
• Enterprise Value/Ebitda: -4.59
• 1Y Price Target: $13.50
• Price Target Upside: 94.52% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2

• Rating: 56 Neutral
• Price Target: $7.00 ▲(0.86%Upside)

Emergent BioSolutions is navigating financial difficulties with declining revenue and profitability, offset by a strong earnings call highlighting net income growth. Technical analysis suggests mixed signals, and valuation concerns persist due to a negative P/E ratio. Recent corporate events show strategic improvements but are marred by legal challenges.

Positive Factors

Contract Awards

Emergent BioSolutions secured a $51.9M contract modification to deliver CNJ-016 to the U.S. Department of Health and Human Services for smallpox preparedness.

Financial Performance

Emergent BioSolutions reported solid financial results for their 1Q25, including revenues of $222.2 million and adjusted earnings of $0.71 per share.

Product Expansion

The expansion of Emergent's NARCANDirect online distribution network to include KLOXXADO Nasal Spray 8mg increases access to opioid overdose response products.

Negative Factors

Market Conditions

The availability of the share repurchase program should enable the company to make targeted repurchases if the share price continues to come under pressure.

Revenue Forecast

Revenue moderately below forecast, but guidance reaffirmed; bottom-line beat demonstrates operational efficiency.

Emergent Biosolutions Business Overview & Revenue Model

Company Description

Emergent BioSolutions Inc., a life sciences company, focuses on the provision of preparedness and response solutions that address accidental, deliberate, and naturally occurring public health threats (PHTs) in the United States. The company's products address PHTs, which include chemical, biological, radiological, nuclear, and explosives; emerging infectious diseases; travel health; and emerging health crises and acute/emergency care. It offers BioThrax, an anthrax vaccine; ACAM2000, a smallpox vaccine; Botulism Antitoxin Heptavalent to treat botulinum disease; vaccinia immune globulin intravenous that addresses complications from smallpox vaccine; raxibacumab for the treatment and prophylaxis of inhalational anthrax; Anthrasil to for inhalational anthrax; reactive skin decontamination lotion kits; and Trobigard, a combination drug-device auto injector product candidate; and Trobigard, a combination drug-device auto injector product candidate. The company also provides NARCAN, a nasal spray for the emergency treatment of known or suspected opioid overdose; Vivotif, an oral vaccine for typhoid fever; and Vaxchora, a single-dose oral vaccine to treat cholera. In addition, it is developing AP003, a Naloxone multidose nasal spray; AP007, a sustained release Nalmefene injection for treatment of opioid use disorder; AV7909, an anthrax vaccine; CGRD-001, a pralidoxime chloride/atropine auto-injector; CHIKV VLP, a chikungunya virus VLP vaccine; COVID-HIG for the treatment of SARS-CoV2; EGRD-001, a diazepam auto-injector; SIAN, an antidote for the initial treatment of acute poisoning of cyanide; and UniFlu, a universal influenza vaccine. Further, the company provides contract development and manufacturing services comprising drug substance and product manufacturing, and packaging, as well as technology transfer, process, and analytical development services. The company was incorporated in 1998 and is headquartered in Gaithersburg, Maryland.

How the Company Makes Money

Emergent BioSolutions generates revenue through the sale of its medical countermeasures, which are primarily purchased by government agencies as part of national defense and public health preparedness strategies. Key revenue streams include contracts with the U.S. government for the procurement of anthrax and smallpox vaccines, as well as agreements for the supply of Narcan, an opioid overdose reversal drug. The company also engages in partnerships and collaborations with other pharmaceutical companies and government entities to develop and manufacture new products, further enhancing its revenue potential. Additionally, Emergent earns income from contract development and manufacturing services offered to other biopharmaceutical companies.

Emergent Biosolutions Financial Statement Overview

Summary

Emergent BioSolutions is facing financial challenges with declining revenue and profitability, negative net income, and shrinking margins. The balance sheet shows moderate leverage but declining equity, while cash flow is volatile despite some recovery.

Income Statement

Emergent Biosolutions has experienced a decline in revenue from 2021 to TTM 2025, coupled with negative net income over the past few periods, indicating profitability issues. The gross profit margin for TTM 2025 is approximately 31.6%, showing a decrease compared to historical figures. The company also faces challenges with negative EBIT and EBITDA margins, signaling operational inefficiencies.

Balance Sheet

The company's debt-to-equity ratio for TTM 2025 stands at approximately 1.20, indicating a moderate level of leverage. While the equity ratio is around 38.8%, showing a reasonable balance between equity and assets, the declining stockholders' equity over the years raises concerns about financial stability. The negative ROE underscores ongoing profitability challenges.

Cash Flow

Emergent Biosolutions shows a positive trend in operating cash flow for TTM 2025, with an operating cash flow to net income ratio of approximately -0.84, reflecting cash flow generation despite losses. The free cash flow has improved compared to previous years, suggesting some recovery in cash management. However, the significant fluctuations in cash flow metrics highlight potential volatility.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	960.00M	1.01B	1.05B	1.12B	1.79B	1.56B
Gross Profit	303.40M	305.20M	343.90M	427.20M	1.04B	1.03B
EBITDA	106.30M	36.90M	-505.30M	-32.90M	458.20M	549.00M
Net Income	-131.60M	-190.60M	-760.50M	-223.80M	219.50M	305.80M
Balance Sheet
Total Assets	1.43B	1.39B	1.82B	3.17B	2.96B	2.88B
Cash, Cash Equivalents and Short-Term Investments	149.10M	99.50M	111.70M	642.60M	576.10M	621.30M
Total Debt	665.70M	663.70M	860.20M	1.41B	841.00M	874.80M
Total Liabilities	873.40M	906.90M	1.17B	1.78B	1.34B	1.44B
Stockholders Equity	552.70M	482.80M	649.30M	1.38B	1.62B	1.45B
Cash Flow
Free Cash Flow	94.40M	35.80M	-257.90M	-149.90M	96.10M	395.00M
Operating Cash Flow	110.10M	58.70M	-206.30M	-34.10M	321.10M	536.00M
Investing Cash Flow	195.50M	125.20M	212.30M	-381.30M	-225.00M	-151.00M
Financing Cash Flow	-231.10M	-190.00M	-535.70M	481.20M	-141.00M	69.50M

Emergent Biosolutions Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 6.94
• 50DMA: Positive
• 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 EBS, the sentiment is Positive. The current price of 6.94 is above the 20-day moving average (MA) of 6.91, above the 50-day MA of 6.55, and below the 200-day MA of 7.69, indicating a neutral trend. The MACD of 0.18 indicates Positive momentum. The RSI at 52.54 is Neutral, neither overbought nor oversold. The STOCH value of 38.36 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for EBS.

Emergent Biosolutions Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SIGA	80 Outperform	$472.23M	10.08	25.47%	10.13%	-23.37%	-39.03%
ANIP	71 Outperform	$1.44B	―	-5.19%	―	30.26%	-173.36%
Sector *	65 Neutral	¥347.74B	11.06	-2.99%	2.55%	11.77%	-10.16%
EBS	56 Neutral	$376.15M	―	-21.63%	―	-18.56%	76.88%
DVAX	53 Neutral	$1.29B	64.45	-10.45%	―	24.76%	-783.38%
LFCR	51 Neutral	$277.32M	―	-83.58%	―	6.88%	-17.54%
AQST	48 Neutral	$417.18M	―	77.48%	―	5.29%	-37.31%

Emergent Biosolutions Corporate Events

Emergent BioSolutions Secures $62.4M ASPR Contract Modification

On June 23, 2025, Emergent BioSolutions announced a $62.4 million contract modification with the Administration for Strategic Preparedness and Response (ASPR) for the supply of BAT®, a botulism antitoxin. This contract modification underscores the U.S. government’s commitment to stockpiling medical countermeasures and highlights Emergent’s role in strengthening global emergency preparedness and public health protection.

The most recent analyst rating on (EBS) stock is a Buy with a $16.00 price target. To see the full list of analyst forecasts on Emergent Biosolutions stock, see the EBS Stock Forecast page.

Emergent Biosolutions Settlement Receives Preliminary Approval

On May 9, 2025, the United States District Court for the District of Maryland granted preliminary approval for a proposed settlement of shareholder derivative actions against Emergent BioSolutions Inc. The settlement, which includes no admission of fault by the defendants, addresses allegations of fiduciary breaches related to the company’s Bayview facility and its role in manufacturing COVID-19 vaccines. The court has scheduled a hearing for August 6, 2025, to determine final approval. The allegations claimed that Emergent’s management failed to ensure regulatory compliance, leading to significant financial losses and legal challenges.

The most recent analyst rating on (EBS) stock is a Buy with a $16.00 price target. To see the full list of analyst forecasts on Emergent Biosolutions stock, see the EBS Stock Forecast page.

Emergent BioSolutions Reports 656% Net Income Surge

Emergent BioSolutions reported a significant financial turnaround in the first quarter of 2025, with a net income increase of 656% despite a 26% drop in total revenues compared to the previous year. The company attributes this improvement to its strategic plan aimed at stabilizing operations and enhancing profitability, as evidenced by increased gross and EBITDA margins. Recent business developments include securing contracts with the U.S. Department of Defense and other international orders, as well as strategic partnerships and asset sales, all of which are expected to support future growth and stability.

Emergent BioSolutions Stockholders Elect Directors at Meeting

On April 30, 2025, Emergent BioSolutions Inc. held its annual meeting of stockholders, where approximately 67% of the company’s shares were represented. During the meeting, stockholders elected three Class I directors, ratified the appointment of Ernst & Young LLP as the company’s independent auditor for 2025, and approved the 2024 compensation for the company’s named executive officers.