Halozyme Therapeutics (HALO)
NASDAQ:HALO
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Halozyme
(NASDAQ:HALO)
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Rating:71Outperform
Price Target:
$70.00
▲(7.03% Upside)
Action:ReiteratedDate:03/13/26
The score is driven primarily by strong financial performance—especially excellent free-cash-flow generation and high-margin, growing royalties—supported by upbeat 2026 guidance. This is meaningfully tempered by weak technicals (below major moving averages with negative MACD) and balance-sheet/capital-structure concerns (thin equity base and prior leverage), while valuation appears reasonable but not clearly discounted.
Positive Factors
Strong free cash flow generation
Halozyme's very strong operating cash flow and FCF in 2025, with cash conversion roughly matching net income, provide durable internal funding for R&D, business development, and deleveraging. High cash generation reduces reliance on external capital and supports multi-year licensing and commercialization activities.
Negative Factors
Thin equity base despite de‑leveraging
Equity is extremely small relative to total assets, leaving a limited capital cushion against adverse events. Even with recent debt reduction, the thin equity base constrains financial flexibility, increases vulnerability to large one-time charges, and could pressure funding options if cash flow weakens.
Read all positive and negative factors
Positive Factors
Negative Factors
Strong free cash flow generation
Halozyme's very strong operating cash flow and FCF in 2025, with cash conversion roughly matching net income, provide durable internal funding for R&D, business development, and deleveraging. High cash generation reduces reliance on external capital and supports multi-year licensing and commercialization activities.
Read all positive factors
Halozyme (HALO) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$7.72B
Dividend YieldN/A
Average Volume (3M)1.78M
Price to Earnings (P/E)25.5
Beta (1Y)0.43
Revenue Growth31.19%
EPS Growth59.01%
CountryUS
Employees350
SectorHealthcare
Sector Strength45
IndustryBiotechnology
Share Statistics
EPS (TTM)-0.24
Shares Outstanding118,017,000
10 Day Avg. Volume1,567,529
30 Day Avg. Volume1,781,284
Financial Highlights & Ratios
PEG Ratio-1.04
Price to Book (P/B)165.22
Price to Sales (P/S)5.77
P/FCF Ratio12.51
Enterprise Value/Market Cap0.97
Enterprise Value/Revenue5.35
Enterprise Value/Gross Profit6.53
Enterprise Value/Ebitda7.75
Forecast
1Y Price Target
$89.00Price Target Upside36.09% Upside
Rating ConsensusModerate Buy
Number of Analyst Covering6
EPS Forecast (FY)8.18
Revenue Forecast (FY)$1.76B
Halozyme Business Overview & Revenue Model
Company Description
Halozyme Therapeutics, Inc. operates as a biopharma technology platform company in the United States, Switzerland, Ireland, Belgium, Japan, and internationally. The company's products are based on the ENHANZE drug delivery technology, a patented r...
How the Company Makes Money
Halozyme primarily makes money by licensing its ENHANZE® drug delivery technology to pharmaceutical partners and earning payments tied to partnered products and development programs. Key revenue streams include: (1) Royalties on net sales of partn...
Halozyme Key Performance Indicators (KPIs)
Any
Revenue by Segment
Analyzes income from different business areas, highlighting which segments drive growth and profitability, and revealing strategic focus areas.
Analyzes income from different business areas, highlighting which segments drive growth and profitability, and revealing strategic focus areas.
Data provided by:
The Fly
The FlyHalozyme Earnings Call Summary
Earnings Call Date:Feb 17, 2026
(Q4-2025)
| % Change Since: |
Next Earnings Date:May 12, 2026
Earnings Call Sentiment Positive
The call presented strong operational and commercial momentum driven by ENHANZE-enabled blockbusters (DARZALEX SC, PHESGO, VYVGART Hytrulo), significant year-over-year revenue and royalty growth, strategic acquisitions (Hypercon, Surf Bio) that broaden the drug-delivery portfolio and a concrete multi-year growth outlook with robust 2026 guidance. Key near-term headwinds are mostly acquisition-related and one-time (notably a $285M acquired IPR&D charge), higher cost and SG&A items tied to transactions and litigation, and ongoing IP/legal proceedings that add uncertainty. Management highlighted a clear strategic roadmap (ENHANZE expansion, Hypercon pipeline, auto-injectors, ADC opportunity) and expects deleveraging and continued expansion of the product portfolio into the late 2020s and 2030s.Positive Updates
Record Full-Year Revenue Growth
Total revenue grew 38% year-over-year to $1.4 billion for FY2025, driven primarily by ENHANZE momentum and product sales.
Negative Updates
One-Time Acquired IPR&D Charge Impact
A $285 million acquired IPR&D expense related to the Surf Bio acquisition in Q4 2025 materially reduced GAAP net income and EPS, contributing to FY2025 net income of $316.9 million versus $444.1 million in 2024. The IPR&D charge also unfavorably impacted both GAAP and non-GAAP diluted EPS by roughly $2.30 per share.
Read all updates
Q4-2025 Updates
Positive
Negative
Record Full-Year Revenue Growth
Total revenue grew 38% year-over-year to $1.4 billion for FY2025, driven primarily by ENHANZE momentum and product sales.
Read all positive updates
Company Guidance
Halozyme reiterated 2026 guidance calling for total revenue of $1.71–$1.81 billion (up 22%–30% YoY), royalty revenues of $1.13–$1.17 billion (up 30%–35% YoY), adjusted EBITDA of $1.125–$1.205 billion (which includes ~ $60 million of Hypercon/Surf Bio investment), and non‑GAAP diluted EPS of $7.75–$8.25 (does not assume future share repurchases). They expect Q1 royalty revenue to be ~5%–10% below Q4 2025 with quarterly sequential growth thereafter, and total revenue to decline Q4→Q1 due to no planned Q1 milestones (milestones weighted to H2). Operationally, Halozyme plans to support six new ENHANZE and two Hypercon programs entering Phase I in 2026 (bringing the development portfolio to 15 products, 13 with ENHANZE), intends to deliver at least three new licensing deals (1–3 ENHANZE, 1–2 Hypercon), and expects to deleverage from 2.1x net debt/EBITDA at year‑end 2025 (ex‑IPR&D) to below 1x by end‑2026.Halozyme Financial Statement Overview
Summary
Income Statement
84
Very Positive
Balance Sheet
58
Neutral
Cash Flow
92
Very Positive
| Breakdown | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|
Income Statement | |||||
| Total Revenue | 1.40B | 1.02B | 829.25M | 660.12M | 443.31M |
| Gross Profit | 1.09B | 855.91M | 636.89M | 520.81M | 361.90M |
| EBITDA | 904.34M | 656.54M | 451.95M | 315.51M | 259.04M |
| Net Income | 316.89M | 444.09M | 281.59M | 202.13M | 402.71M |
Balance Sheet | |||||
| Total Assets | 2.53B | 2.06B | 1.73B | 1.84B | 1.10B |
| Cash, Cash Equivalents and Short-Term Investments | 142.82M | 596.07M | 336.00M | 362.79M | 740.92M |
| Total Debt | 0.00 | 1.51B | 1.50B | 1.51B | 876.67M |
| Total Liabilities | 2.48B | 1.70B | 1.65B | 1.67B | 907.48M |
| Stockholders Equity | 48.81M | 363.82M | 83.81M | 169.80M | 196.95M |
Cash Flow | |||||
| Free Cash Flow | 644.59M | 468.37M | 373.28M | 235.30M | 297.98M |
| Operating Cash Flow | 651.56M | 479.06M | 388.57M | 240.11M | 299.44M |
| Investing Cash Flow | -545.81M | -262.72M | -96.91M | -487.00M | -406.29M |
| Financing Cash Flow | -85.17M | -218.86M | -407.99M | 362.37M | 77.86M |
Halozyme Technical Analysis
Neutral
65.40
Price Trends
70.01
Negative
69.34
Negative
67.25
Negative
Market Momentum
-1.82
Negative
48.06
Neutral
65.30
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HALO, the sentiment is Neutral. The current price of 65.4 is above the 20-day moving average (MA) of 64.47, below the 50-day MA of 70.01, and below the 200-day MA of 67.25, indicating a neutral trend. The MACD of -1.82 indicates Negative momentum. The RSI at 48.06 is Neutral, neither overbought nor oversold. The STOCH value of 65.30 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for HALO.
Halozyme Risk Analysis
Halozyme disclosed 40 risk factors in its most recent earnings report. Halozyme reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Halozyme Peers Comparison
UnderperformOutperform
Sector (51)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
71 Outperform | $7.72B | 25.45 | 92.67% | ― | 31.19% | 59.01% | |
70 Outperform | $4.47B | 36.27 | 15.25% | ― | 17.92% | -26.13% | |
65 Neutral | $8.37B | 60.28 | 4.10% | 0.54% | 3.85% | -48.17% | |
61 Neutral | $19.93B | ― | -18.32% | ― | -83.82% | -109.22% | |
58 Neutral | $19.76B | -4.07 | -30.15% | ― | -56.00% | -38.95% | |
51 Neutral | $7.86B | -0.30 | -43.30% | 2.27% | 22.53% | -2.21% | |
50 Neutral | $12.41B | -33.22 | -68.82% | ― | 20.39% | 34.00% |
* Healthcare Sector Average
HALO
Halozyme
65.40
3.48
5.62%
CORT
Corcept Therapeutics
41.98
-37.39
-47.11%
IONS
Ionis Pharmaceuticals
75.13
46.61
163.43%
TECH
Bio-Techne
53.48
-1.06
-1.95%
MRNA
Moderna
50.03
24.30
94.44%
ROIV
Roivant Sciences
27.84
17.83
178.12%
Halozyme Corporate Events
Executive/Board Changes
Halozyme Names David Ramsay Interim Chief Financial Officer
Positive
Mar 12, 2026
On March 12, 2026, Halozyme Therapeutics announced the appointment of David Ramsay as Interim Chief Financial Officer, effective March 23, 2026, tasking the veteran finance executive with overseeing all financial operations while the company compl...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.