Ionis Pharmaceuticals (IONS) AI Stock Analysis

• Market Cap: $6.33B
• Dividend Yield: N/A
• Average Volume (3M): 1.52M
• Price to Earnings (P/E): ―
• Beta (1Y): 0.82
• Revenue Growth: -7.65%
• EPS Growth: -11.81%
• Country: US
• Employees: 1,069
• Sector: Healthcare
• Sector Strength: 42
• Industry: Biotechnology
• EPS (TTM): -0.93
• Shares Outstanding: 159,159,100
• 10 Day Avg. Volume: 1,883,393
• 30 Day Avg. Volume: 1,520,449
• PEG Ratio: -7.88
• Price to Book (P/B): 12.48
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -10.46
• Enterprise Value/Market Cap: 1.12
• Enterprise Value/Revenue: 2.34
• Enterprise Value/Gross Profit: 10.12
• Enterprise Value/Ebitda: -5.75
• 1Y Price Target: $56.75
• Price Target Upside: 42.59% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 19

• Rating: 58 Neutral
• Price Target: $38.00 ▼(-4.52%Downside)

Ionis Pharmaceuticals' overall score is primarily impacted by its challenging financial performance, characterized by persistent losses and high leverage. Despite these financial concerns, the company exhibits strong technical momentum and positive earnings call outcomes, reflecting improved guidance and strategic product launches. The valuation remains weak due to negative earnings, but the positive corporate events provide some support for future growth prospects.

Positive Factors

Drug Development

Favorable Phase 1 salanersen spinal muscular atrophy data proves sufficient to advance the drug into pivotal trials.

Financial Performance

Success could represent an interesting opportunity for a new royalty stream and milestone payments.

Negative Factors

Market Impact

ESSENCE is an incremental positive for IONS, but it is not expected to be stock-moving as olezarsen’s mechanism of action was de-risked through prior studies.

Study Comparisons

The readthrough to pivotal CORE/CORE2 studies is limited due to differences in patient characteristics compared to the ESSENCE study.

Ionis Pharmaceuticals Business Overview & Revenue Model

Company Description

Ionis Pharmaceuticals, Inc. discovers and develops RNA-targeted therapeutics in the United States. The company offers SPINRAZA for spinal muscular atrophy (SMA) in pediatric and adult patients; TEGSEDI, an injection for the treatment of polyneuropathy of hereditary transthyretin-mediated amyloidosis in adults; and WAYLIVRA, a treatment for familial chylomicronemia syndrome and familial partial lipodystrophy. It also develops medicines for various indications that are in phase 3 study, including Eplontersen as a monthly self-administered subcutaneous injection to treat all types of TTR amyloidosis; Olezarsen for patients with severe hypertriglyceridemia (SHTG); Donidalorsen for patients with hereditary angioedema; ION363 for patients with amyotrophic lateral sclerosis; Pelacarsen for patients with established cardiovascular disease and elevated lipoprotein(a); and Tofersen to inhibit the production of superoxide dismutase 1. In addition, the company develops medicines for metabolic diseases, infectious diseases, renal diseases, ophthalmic diseases, and cancer. It has a strategic collaboration with Biogen Inc.; and collaboration and license agreement with AstraZeneca, Bayer AG, GlaxoSmithKline plc, Novartis AG, Roche, Janssen Biotech, Inc., and Flamingo Therapeutics, Inc. Ionis Pharmaceuticals, Inc. was founded in 1989 and is based in Carlsbad, California.

How the Company Makes Money

Ionis Pharmaceuticals generates revenue through a combination of licensing agreements, collaborations, and royalties. The company partners with major pharmaceutical companies to develop and commercialize its drug candidates, receiving upfront payments, milestone payments, and royalties on sales of successfully marketed products. Ionis also earns revenue from its own drug sales and from providing research and development services to its partners. Key collaborations with companies like Biogen, Novartis, and AstraZeneca significantly contribute to its earnings.

Ionis Pharmaceuticals Financial Statement Overview

Summary

Ionis Pharmaceuticals faces significant financial challenges with declining revenues, persistent losses, high leverage, and negative cash flows. The high debt-to-equity ratio and decreasing stockholders' equity reflect financial strain, limiting flexibility. The inability to convert strong gross profit margins into net profitability is a major concern.

Income Statement

Ionis Pharmaceuticals has shown a trend of declining revenues and persistent losses. The TTM data shows a gross profit margin of 98.88%, indicating strong cost management relative to revenue. However, the company is experiencing significant operating losses, with a negative EBIT margin and net profit margin, highlighting profitability challenges. Revenue growth is inconsistent, with fluctuations year-on-year, and recent declines are concerning.

Balance Sheet

The company is heavily leveraged with a high debt-to-equity ratio of 2.96 in the TTM period. The stockholders' equity has been decreasing, indicating financial strain. Return on equity is negative due to net losses. Although cash and equivalents are substantial, the equity ratio of 16.90% indicates a weaker capital structure.

Cash Flow

Negative operating and free cash flows signal challenges in generating sufficient cash from operations. The operating cash flow to net income ratio is negative, reflecting cash flow issues. Free cash flow has been consistently negative, indicating ongoing capital expenditure and funding requirements, which could pose liquidity risks.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	717.44M	705.14M	787.65M	587.00M	810.00M	729.00M
Gross Profit	701.33M	693.92M	778.51M	573.00M	799.00M	717.00M
EBITDA	-385.60M	-475.08M	-230.01M	-227.76M	-239.00K	-107.88M
Net Income	-458.03M	-453.90M	-366.29M	-270.00M	-29.00M	-487.00M
Balance Sheet
Total Assets	2.81B	3.00B	2.99B	2.53B	2.61B	2.39B
Cash, Cash Equivalents and Short-Term Investments	2.15B	2.30B	2.33B	1.99B	2.12B	1.89B
Total Debt	1.41B	1.42B	1.45B	1.34B	1.16B	749.00M
Total Liabilities	2.34B	2.42B	2.60B	1.96B	1.84B	1.55B
Stockholders Equity	475.73M	588.35M	386.69M	573.00M	772.00M	843.00M
Cash Flow
Free Cash Flow	-569.17M	-546.23M	-335.52M	-294.47M	12.90M	-5.16M
Operating Cash Flow	-501.78M	-500.95M	-307.51M	-274.37M	30.80M	35.89M
Investing Cash Flow	-39.67M	-134.03M	-214.13M	-262.64M	194.91M	274.48M
Financing Cash Flow	456.69M	478.06M	644.08M	-55.30M	245.93M	-596.61M

Ionis Pharmaceuticals Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 39.80
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IONS, the sentiment is Positive. The current price of 39.8 is above the 20-day moving average (MA) of 36.59, above the 50-day MA of 33.71, and above the 200-day MA of 34.85, indicating a bullish trend. The MACD of 1.67 indicates Negative momentum. The RSI at 75.40 is Negative, neither overbought nor oversold. The STOCH value of 89.70 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IONS.

Ionis Pharmaceuticals Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ALKS	77 Outperform	$4.75B	13.72	25.71%	―	-12.31%	-17.53%
KRYS	71 Outperform	$4.01B	33.45	13.90%	―	247.53%	118.34%
Sector *	65 Neutral	¥345.58B	10.59	-2.88%	2.67%	11.80%	-6.84%
IONS	58 Neutral	$6.33B	―	-118.53%	―	-7.65%	-11.81%
AXSM	54 Neutral	$5.09B	―	-282.16%	―	72.16%	9.65%
SRPT	53 Neutral	$1.68B	19.61	-23.61%	―	59.15%	-1881.09%
CYTK	44 Neutral	$3.96B	―	435.49%	―	412.21%	1.75%

Ionis Pharmaceuticals Corporate Events

Ionis Pharmaceuticals Announces Leadership Transition

On June 12, 2025, Ionis Pharmaceuticals announced the retirement of Richard Geary, Ph.D., effective January 2026, after a 30-year tenure during which he led the development of several key medicines. Holly Kordasiewicz, Ph.D., will succeed him as executive vice president and chief development officer, bringing her extensive experience in neurology drug development to support Ionis’ growth and innovation in the biotechnology sector.

The most recent analyst rating on (IONS) stock is a Hold with a $55.00 price target. To see the full list of analyst forecasts on Ionis Pharmaceuticals stock, see the IONS Stock Forecast page.

Ionis Pharmaceuticals Holds Annual Stockholders Meeting

Ionis Pharmaceuticals held its virtual Annual Meeting of Stockholders on June 5, 2025, where four proposals were considered. The stockholders elected directors to serve until the 2028 Annual Meeting, approved executive compensation on an advisory basis, authorized an increase in shares under the 2011 Equity Incentive Plan, and ratified the selection of Ernst & Young LLP as independent auditors for the 2025 fiscal year. These approvals reflect continued support for the company’s strategic direction and governance structure.

The most recent analyst rating on (IONS) stock is a Hold with a $55.00 price target. To see the full list of analyst forecasts on Ionis Pharmaceuticals stock, see the IONS Stock Forecast page.

Ionis Pharmaceuticals Announces Positive Essence Study Results

On May 19, 2025, Ionis Pharmaceuticals announced positive results from the Essence study of olezarsen, showing significant reductions in triglyceride levels in people with moderate hypertriglyceridemia. The study met its primary and secondary endpoints, demonstrating a favorable safety profile, and supports olezarsen’s potential for broader use in treating severe hypertriglyceridemia, with further data expected in Q3 2025.

The most recent analyst rating on (IONS) stock is a Hold with a $50.00 price target. To see the full list of analyst forecasts on Ionis Pharmaceuticals stock, see the IONS Stock Forecast page.