Eton Pharmaceuticals (ETON) AI Stock Analysis

• Market Cap: $387.51M
• Dividend Yield: N/A
• Average Volume (3M): 569.65K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.02
• Revenue Growth: 40.88%
• EPS Growth: -579.73%
• Country: US
• Employees: 31
• Sector: Healthcare
• Sector Strength: 39
• Industry: Biotechnology
• EPS (TTM): -0.06
• Shares Outstanding: 26,817,535
• 10 Day Avg. Volume: 805,633
• 30 Day Avg. Volume: 569,649
• PEG Ratio: -0.03
• Price to Book (P/B): 5.42
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 34.88
• Enterprise Value/Market Cap: 0.16
• Enterprise Value/Revenue: 0.40
• Enterprise Value/Gross Profit: 2.16
• Enterprise Value/Ebitda: -5.01
• 1Y Price Target: $29.67
• Price Target Upside: 105.33% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 3

• Rating: 58 Neutral
• Price Target: $14.50 ▲(0.35%Upside)

Eton Pharmaceuticals' overall stock score is driven by a mixed financial performance with strong revenue growth but profitability challenges. Technical analysis indicates bearish momentum, while valuation metrics reflect a lack of profitability. Earnings call insights and recent corporate events provide a positive outlook, contributing to the overall score.

Positive Factors

Market Expansion

Increlex has seen a significant increase in patient adoption since its relaunch, with potential for substantial market growth through label expansion.

Product Launch

Khindivi received FDA approval as replacement therapy in pediatric patients with adrenal insufficiency, paving the way for rapid adoption.

Revenue Growth

The relaunch of two acquired products, Increlex and GALZIN, has exceeded management's expectations, indicating strong potential for future revenue growth.

Negative Factors

Financial Guidance

Management provided conservative financial guidance of $80M in annual revenue run-rate by year-end 2025, suggesting potential for exceeding current expectations but indicating cautious optimism.

Pipeline Development

Eton Pharmaceuticals is on track to launch ET-400 in mid-2025, which could face adoption challenges due to existing market preferences.

Eton Pharmaceuticals Business Overview & Revenue Model

Company Description

Eton Pharmaceuticals, Inc., a specialty pharmaceutical company, focuses on developing and commercializing pharmaceutical products for rare diseases. The company offers Biorphen, a phenylephrine injection for the treatment of clinically important hypotension resulting primarily from vasodilation in the setting of anesthesia; Carglumic Acid for the treatment of acute and chronic hyperammonemia due to N-acetylglutamate Synthase deficiency; and Rezipres, a ready-to-use formulation of a molecule that is indicated for the treatment of clinically important hypotension occurring in the setting of anesthesia. It also offers Alkindi Sprinkle, a replacement therapy for adrenocortical insufficiency in children under 17 years of age; EPRONTIA, a liquid formulation of topiramate; and Alaway Preservative Free, a preservative-free ophthalmic product to treat allergic conjunctivitis. In addition, the company develops Zonisamide Oral Suspension for the treatment of partial on-set seizures; Lamotrigine for Oral Suspension for the treatment of partial on-set seizures; cysteine injection; dehydrated alcohol injection; and Zeneo hydrocortisone autoinjector. Eton Pharmaceuticals, Inc. was incorporated in 2017 and is based in Deer Park, Illinois.

How the Company Makes Money

Eton Pharmaceuticals generates revenue through the sale of its pharmaceutical products, which are distributed to hospitals, clinics, and healthcare providers. Key revenue streams include sales from its portfolio of FDA-approved drugs, licensing agreements with other pharmaceutical companies, and collaborative partnerships that may include milestone payments and royalties from marketed products. The company strategically focuses on niche markets with limited competition, allowing it to establish a strong presence and command premium pricing for its unique therapies. Significant partnerships with research institutions and biotech firms also contribute to its earnings by expanding its product pipeline and enhancing development capabilities.

Eton Pharmaceuticals Financial Statement Overview

Summary

Eton Pharmaceuticals exhibits strong revenue growth, but profitability remains a concern with negative EBIT and net income. The balance sheet is stable with low leverage, but high liabilities pose a risk to financial flexibility. Improved cash flow management is noted, though conversion of earnings into cash needs enhancement.

Income Statement

Eton Pharmaceuticals has shown significant revenue growth, with a notable increase from $21.3 million in 2022 to $39 million in 2024. However, profitability remains a concern as indicated by negative EBIT and net income, which suggests challenges in cost management or market competition.

Balance Sheet

The balance sheet reveals a relatively stable equity base, with stockholders' equity increasing to $24.4 million in 2024. The debt-to-equity ratio is low, indicating low leverage, but the company faces high liabilities compared to assets, which may impact future financial flexibility.

Cash Flow

Positive free cash flow in 2024, at $943,000, marks an improvement compared to previous years, suggesting better cash management. However, the operating cash flow to net income ratio is low, indicating that net income is not translating effectively into cash flow.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	48.33M	39.01M	31.64M	21.25M	21.83M	39.00K
Gross Profit	28.27M	23.41M	21.06M	14.32M	19.21M	-247.00K
EBITDA	-1.35M	-1.45M	-291.00K	-6.49M	-1.12M	-26.46M
Net Income	-4.58M	-3.82M	-936.00K	-9.78M	-2.96M	-28.83M
Balance Sheet
Total Assets	84.03M	76.12M	31.74M	25.03M	27.46M	26.32M
Cash, Cash Equivalents and Short-Term Investments	17.42M	14.94M	21.39M	16.30M	14.41M	21.30M
Total Debt	87.00K	29.92M	5.40M	6.52M	6.70M	7.14M
Total Liabilities	59.58M	51.70M	16.26M	11.95M	9.84M	10.66M
Stockholders Equity	24.45M	24.43M	15.48M	13.08M	17.63M	15.66M
Cash Flow
Free Cash Flow	-732.00K	943.00K	6.04M	2.03M	-7.98M	-22.40M
Operating Cash Flow	5.53M	969.00K	6.82M	4.82M	-4.72M	-22.35M
Investing Cash Flow	-36.26M	-40.01M	-775.00K	-2.79M	-2.56M	-50.00K
Financing Cash Flow	33.37M	32.59M	-957.00K	-134.00K	391.00K	31.63M

Eton Pharmaceuticals Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 14.45
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ETON, the sentiment is Neutral. The current price of 14.45 is below the 20-day moving average (MA) of 14.52, below the 50-day MA of 16.53, and above the 200-day MA of 13.21, indicating a neutral trend. The MACD of -0.74 indicates Negative momentum. The RSI at 41.90 is Neutral, neither overbought nor oversold. The STOCH value of 77.18 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for ETON.

Eton Pharmaceuticals Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
HRTX	61 Neutral	$335.64M	―	40.36%	―	12.43%	91.67%
ETON	58 Neutral	$387.51M	―	-22.95%	―	40.88%	-579.73%
ABSI	52 Neutral	$353.34M	―	-48.98%	―	-9.95%	20.78%
Sector *	52 Neutral	$7.50B	0.31	-61.87%	2.27%	17.10%	1.59%
MREO	43 Neutral	$456.33M	―	-92.00%	―	―	―
TECX	42 Neutral	$398.47M	―	-30.10%	―	―	-343.40%
BNTC	42 Neutral	$345.72M	―	-48.57%	―	-100.00%	83.98%

Eton Pharmaceuticals Corporate Events

Eton Pharmaceuticals Joins Russell 3000 and 2000 Indexes

On June 27, 2025, Eton Pharmaceuticals announced its inclusion in the Russell 3000® and Russell 2000® Indexes, effective after the U.S. market close on the same day. This milestone highlights the company’s significant shareholder value generation over the past year and is expected to enhance its visibility among investors, potentially impacting its market positioning positively.

The most recent analyst rating on (ETON) stock is a Buy with a $24.00 price target. To see the full list of analyst forecasts on Eton Pharmaceuticals stock, see the ETON Stock Forecast page.

Eton Pharmaceuticals Holds Annual Stockholders Meeting

On June 10, 2025, Eton Pharmaceuticals, Inc. held its Annual Meeting of Stockholders virtually. During the meeting, stockholders elected Paul V. Maier as a director for a three-year term and ratified Crowe LLP as the independent registered public accounting firm for the year ending December 31, 2025. These decisions are expected to influence the company’s governance and financial oversight positively.

The most recent analyst rating on (ETON) stock is a Buy with a $24.00 price target. To see the full list of analyst forecasts on Eton Pharmaceuticals stock, see the ETON Stock Forecast page.

Eton Pharmaceuticals Gains FDA Approval for KHINDIVI

On May 28, 2025, Eton Pharmaceuticals announced the FDA approval of KHINDIVI, the first and only FDA-approved hydrocortisone oral solution for pediatric patients with adrenocortical insufficiency. This approval marks a significant advancement for patients and caregivers, offering a more precise and convenient dosing option. The commercial launch is expected in early June, with projected peak sales of KHINDIVI and ALKINDI SPRINKLE exceeding $50 million annually. The introduction of KHINDIVI is expected to enhance Eton’s market position in the rare disease treatment sector, providing a critical new tool for pediatric endocrinologists and improving treatment outcomes for patients.

The most recent analyst rating on (ETON) stock is a Buy with a $24.00 price target. To see the full list of analyst forecasts on Eton Pharmaceuticals stock, see the ETON Stock Forecast page.