Eton Pharmaceuticals (ETON) AI Stock Analysis

• Market Cap: $460.99M
• Dividend Yield: N/A
• Average Volume (3M): 319.37K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.37
• Revenue Growth: 85.40%
• EPS Growth: 40.95%
• Country: US
• Employees: 31
• Sector: Healthcare
• Sector Strength: 49
• Industry: Biotechnology
• EPS (TTM): -0.10
• Shares Outstanding: 26,817,535
• 10 Day Avg. Volume: 215,772
• 30 Day Avg. Volume: 319,371
• 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: 0.84
• Enterprise Value/Revenue: 6.68
• Enterprise Value/Gross Profit: 11.24
• Enterprise Value/Ebitda: 20.45K
• 1Y Price Target: $30.00
• Price Target Upside: 67.88% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 3

• Rating: 66 Neutral
• Price Target: $18.50 ▲(3.53% Upside)

Eton Pharmaceuticals' overall score is driven by strong technical indicators and positive earnings call outcomes, indicating potential growth. However, financial performance and valuation concerns, particularly profitability issues and a negative P/E ratio, temper the outlook.

Positive Factors

Product Development

ET-600, if approved, will be the only FDA-approved oral liquid formulation of desmopressin, positioning the company for a unique market advantage.

Product Expansion

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

Revenue Growth

The company continues to maintain its quarterly revenue growth trajectory with $18.9M, driven by strong performance from Alinkdi Sprinkle and the relaunches of Increlex and Galzin.

Negative Factors

Market Competition

ET-600 faces potential competition risks which could impact its market entry and success despite being a unique formulation.

Risks and Challenges

Risks to the Buy rating include clinical, commercial, collaboration, dilution, legal and intellectual property, and competition.

Eton Pharmaceuticals Business Overview & Revenue Model

Company Description

Eton Pharmaceuticals, Inc. is a specialty pharmaceutical company focused on developing and commercializing innovative pharmaceutical products, primarily in the areas of pediatrics and rare diseases. The company's portfolio includes approved products, as well as a robust pipeline of product candidates that leverage its proprietary formulations and delivery technologies. Eton aims to address unmet medical needs by providing medications that are safer, more effective, and easier to administer for patients, particularly in underserved populations.

How the Company Makes Money

Eton Pharmaceuticals generates revenue primarily through the sale of its pharmaceutical products, which include both approved medications and those in various stages of development. The company earns revenue from product sales, including both direct sales and sales through partnerships with other pharmaceutical companies. Additionally, Eton may receive milestone payments and royalty income from its collaborations and licensing agreements. These partnerships often involve sharing development costs and risks, allowing Eton to leverage its resources effectively. The company also benefits from government programs and incentives aimed at promoting the development of treatments for rare diseases and pediatric conditions, which can further enhance its financial performance.

Eton Pharmaceuticals Financial Statement Overview

Summary

Eton Pharmaceuticals shows promising revenue growth but struggles with profitability. Balance sheet stability is supported by low leverage, yet the high liabilities are a risk. Cash flow management has improved, but further efforts are needed to convert earnings into cash.

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	58.18M	39.01M	31.64M	21.25M	21.83M	39.00K
Gross Profit	34.56M	23.41M	21.06M	14.32M	19.21M	-247.00K
EBITDA	19.00K	-1.45M	-291.00K	-6.49M	-1.12M	-26.46M
Net Income	-4.13M	-3.82M	-936.00K	-9.02M	-1.96M	-27.97M
Balance Sheet
Total Assets	101.68M	76.12M	31.74M	25.03M	27.46M	26.32M
Cash, Cash Equivalents and Short-Term Investments	25.38M	14.94M	21.39M	16.30M	14.41M	21.30M
Total Debt	3.26M	29.92M	5.40M	6.52M	6.70M	7.14M
Total Liabilities	77.72M	51.70M	16.26M	11.95M	9.84M	10.66M
Stockholders Equity	23.96M	24.43M	15.48M	13.08M	17.63M	15.66M
Cash Flow
Free Cash Flow	5.97M	943.00K	6.04M	2.03M	-7.98M	-22.40M
Operating Cash Flow	12.24M	969.00K	6.82M	4.82M	-4.72M	-22.35M
Investing Cash Flow	-38.13M	-40.01M	-775.00K	-2.79M	-2.56M	-50.00K
Financing Cash Flow	33.58M	32.59M	-957.00K	-134.00K	391.00K	31.63M

Eton Pharmaceuticals Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 17.87
• 50DMA: Positive
• 100DMA: Positive
• 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 Positive. The current price of 17.87 is above the 20-day moving average (MA) of 16.87, above the 50-day MA of 15.48, and above the 200-day MA of 14.94, indicating a bullish trend. The MACD of 0.53 indicates Negative momentum. The RSI at 62.34 is Neutral, neither overbought nor oversold. The STOCH value of 76.13 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for ETON.

Eton Pharmaceuticals Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ETON	66 Neutral	$460.99M	―	-22.06%	―	85.40%	40.95%
RGNX	59 Neutral	$460.69M	―	-62.49%	―	74.95%	34.25%
Sector *	51 Neutral	$7.91B	-0.36	-41.70%	2.23%	23.45%	-1.86%
ITOS	49 Neutral	$448.68M	―	-34.97%	―	-100.00%	-61.86%
ABSI	46 Neutral	$349.88M	―	-57.39%	―	27.32%	-1.34%
TECX	42 Neutral	$311.56M	―	-29.32%	―	―	71.85%
MBX	38 Underperform	$489.46M	―	-56.28%	―	―	―

Eton Pharmaceuticals Corporate Events

Eton Pharmaceuticals’ New Drug Application Accepted by FDA

On July 8, 2025, Eton Pharmaceuticals announced that its New Drug Application for ET-600, a patented desmopressin oral solution, was accepted for review by the FDA, with a target action date set for February 25, 2026. If approved, ET-600 will be the only oral liquid option for treating central diabetes insipidus in pediatric patients, addressing a significant unmet need and representing a potential high-value product launch for Eton in early 2026.

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 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.