Ionis Pharmaceuticals (IONS) AI Stock Analysis

• Market Cap: $12.89B
• Dividend Yield: N/A
• Average Volume (3M): 2.75M
• Price to Earnings (P/E): ―
• Beta (1Y): 0.77
• Revenue Growth: 20.39%
• EPS Growth: 34.00%
• Country: US
• Employees: 1,069
• Sector: Healthcare
• Sector Strength: 45
• Industry: Biotechnology
• EPS (TTM): -0.80
• Shares Outstanding: 161,974,400
• 10 Day Avg. Volume: 2,100,695
• 30 Day Avg. Volume: 2,751,269
• PEG Ratio: -0.61
• Price to Book (P/B): 8.88
• Price to Sales (P/S): 7.41
• P/FCF Ratio: -9.57
• Enterprise Value/Market Cap: 1.01
• Enterprise Value/Revenue: 13.42
• Enterprise Value/Gross Profit: 13.59
• Enterprise Value/Ebitda: -89.72
• 1Y Price Target: $87.40
• Price Target Upside: 9.84% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 17
• EPS Forecast (FY): -2.3
• Revenue Forecast (FY): $896.52M

• Rating: 61 Neutral
• Price Target: $86.00 ▲(8.08% Upside)

Ionis Pharmaceuticals' overall stock score is driven by strong technical momentum and positive corporate events, which are offset by financial performance challenges and valuation concerns. The company's strategic advancements and successful product launches provide a positive outlook, but profitability and cash flow issues remain significant risks.

Positive Factors

Breakthrough Therapy Designation

The FDA's designation for zilganersen as a Breakthrough Therapy can accelerate its development and approval process, enhancing Ionis's competitive edge in treating rare neurological diseases.

Revenue Growth

Strong revenue growth indicates successful product adoption and market expansion, supporting long-term financial health and investment in R&D.

Product Pipeline Advancements

Advancements in clinical trials for olezarsen and zilganersen enhance Ionis's pipeline, promising future revenue streams and market leadership in targeted therapies.

Negative Factors

High Leverage

Significant leverage can increase financial risk and limit flexibility, potentially impacting Ionis's ability to invest in growth and weather economic downturns.

Operating Loss

Persistent operating losses highlight challenges in achieving profitability, which could strain resources and delay strategic initiatives.

Cash Flow Challenges

Negative cash flow indicates liquidity issues, potentially limiting Ionis's ability to fund operations and invest in future growth opportunities.

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 primarily through the commercialization of its approved drugs and collaborations with other pharmaceutical companies. The company earns royalties from sales of its marketed products, such as Spinraza (nusinersen), which is licensed to Biogen for spinal muscular atrophy. Additionally, Ionis forms strategic partnerships with other biopharmaceutical companies to co-develop and co-commercialize new therapies, receiving upfront payments, milestone payments upon achieving certain development and regulatory goals, and royalties on future product sales. These partnerships significantly contribute to Ionis's revenue stream, allowing it to leverage its innovative drug development capabilities while sharing the financial risks associated with bringing new therapies to market.

Ionis Pharmaceuticals Financial Statement Overview

Summary

Ionis Pharmaceuticals exhibits strong gross profit margins but struggles with profitability and cash flow sustainability. High leverage and negative returns on equity pose financial risks. While revenue shows modest growth, the company needs to address its profitability and cash flow issues to improve its financial health.

Income Statement

Ionis Pharmaceuticals shows a strong gross profit margin of 98.78% in TTM, indicating efficient cost management. However, the company struggles with profitability, as evidenced by a negative net profit margin of -26.51% and EBIT margin of -19.71%. Revenue growth is modest at 2.43% TTM, but the consistent negative margins highlight ongoing challenges in achieving profitability.

Balance Sheet

The company's balance sheet reveals a high debt-to-equity ratio of 2.41 TTM, suggesting significant leverage and potential financial risk. Return on equity is negative at -44.32%, reflecting challenges in generating returns for shareholders. The equity ratio is not provided, but the high leverage indicates a need for improved capital structure.

Cash Flow

Ionis Pharmaceuticals faces cash flow challenges, with negative operating cash flow and free cash flow in TTM. The free cash flow to net income ratio is positive at 1.23, indicating some ability to cover net losses, but the overall negative cash flow growth and operating cash flow coverage ratio of -0.27 highlight liquidity concerns.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	966.96M	705.14M	787.65M	587.37M	810.46M	729.26M
Gross Profit	955.14M	693.92M	778.51M	573.25M	799.61M	717.32M
EBITDA	-144.65M	-353.72M	-235.87M	-227.76M	-5.19M	-111.19M
Net Income	-256.34M	-453.90M	-366.29M	-269.72M	-28.60M	-444.26M
Balance Sheet
Total Assets	3.03B	3.00B	2.99B	2.53B	2.61B	2.39B
Cash, Cash Equivalents and Short-Term Investments	2.24B	2.30B	2.33B	2.00B	2.13B	1.89B
Total Debt	1.49B	1.42B	1.45B	1.37B	1.25B	908.93M
Total Liabilities	2.42B	2.42B	2.60B	1.96B	1.84B	1.65B
Stockholders Equity	617.97M	588.35M	386.69M	572.89M	771.74M	743.28M
Cash Flow
Free Cash Flow	-302.66M	-546.23M	-335.52M	-294.47M	12.90M	-5.16M
Operating Cash Flow	-247.01M	-500.95M	-307.51M	-274.37M	30.80M	35.89M
Investing Cash Flow	209.94M	-134.03M	-214.13M	-262.64M	194.91M	274.48M
Financing Cash Flow	40.55M	478.06M	644.08M	-55.30M	245.93M	-596.61M

Ionis Pharmaceuticals Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 79.57
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

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 79.57 is below the 20-day moving average (MA) of 80.05, above the 50-day MA of 75.54, and above the 200-day MA of 49.84, indicating a neutral trend. The MACD of 1.04 indicates Positive momentum. The RSI at 55.65 is Neutral, neither overbought nor oversold. The STOCH value of 26.27 is Neutral, 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
IONS	61 Neutral	$12.89B	-46.50	-39.99%	―	20.39%	34.00%
BBIO	59 Neutral	$14.70B	-18.22	―	―	62.46%	-73.59%
ROIV	58 Neutral	$15.59B	-40.55	-14.73%	―	-83.82%	-109.22%
ARWR	57 Neutral	$9.26B	-1,014.29	-0.50%	―	23258.15%	99.12%
RVMD	52 Neutral	$15.23B	-15.21	-60.76%	―	-100.00%	-44.24%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
ASND	46 Neutral	$12.22B	-47.09	―	―	103.32%	47.55%

Ionis Pharmaceuticals Corporate Events

Ionis Pharmaceuticals Completes $770M Convertible Notes Offering

On November 17, 2025, Ionis Pharmaceuticals completed a private offering of $770 million in 0.00% Convertible Senior Notes due 2030. The proceeds, estimated at $751.2 million after expenses, are intended for repurchasing existing 2026 Notes and general corporate purposes. This strategic financial move is expected to strengthen Ionis’s market position by refinancing existing debt and potentially impacting its stock price through market activities related to the repurchase transactions.

Ionis Pharmaceuticals Reports Positive Phase 3 Study Results

On November 8, 2025, Ionis Pharmaceuticals announced positive results from the Phase 3 CORE and CORE2 studies of olezarsen for severe hypertriglyceridemia (sHTG). The studies showed a significant reduction in fasting triglyceride levels and acute pancreatitis events, with olezarsen achieving up to a 72% reduction in triglyceride levels at six months, sustained through 12 months. These results, presented at the American Heart Association Scientific Sessions, indicate olezarsen’s potential to transform sHTG treatment by significantly reducing the risk of acute pancreatitis, positioning Ionis favorably in the market.

Ionis Pharmaceuticals Reports Positive Study Results for Zilganersen

On September 22, 2025, Ionis Pharmaceuticals announced positive results from a pivotal study of zilganersen, an investigational medicine for Alexander disease (AxD), a rare neurological condition. The study showed statistically significant stabilization in gait speed and favorable safety, marking the first time a treatment has demonstrated a disease-modifying impact in AxD. Ionis plans to submit a new drug application to the FDA in early 2026, potentially transforming the treatment landscape for AxD and reinforcing Ionis’ position in addressing severe neurological diseases.