Jazz Pharmaceuticals (JAZZ)
NASDAQ:JAZZ
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Jazz Pharmaceuticals
(NASDAQ:JAZZ)
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Rating:69Neutral
Price Target:
$216.00
▲(7.43% Upside)
Action:DowngradedDate:02/26/26
The score is driven primarily by strong cash flow and improved leverage, supported by a generally constructive earnings-call outlook (notably zanidatamab data and durable core product performance). These positives are moderated by the 2025 GAAP loss (hurting valuation via a negative P/E) and technically overbought conditions that increase near-term volatility risk.
Positive Factors
Strong cash generation & improved leverage
Consistent, large operating and free cash flow combined with a materially lower debt-to-equity ratio meaningfully increases financial flexibility. This durability supports sustained R&D funding, commercialization of launches, potential M&A, and buffers against cyclical revenue pressure over the next 2–6 months.
Negative Factors
Competitive pressure in sleep franchise
Generic entry into high-sodium oxybate and royalty step-downs create a durable headwind to Jazz's largest franchise. Expected multi-hundred-million dollar revenue decline strains overall growth prospects and forces the company to rely on launches and other franchises to offset lost branded sales.
Read all positive and negative factors
Positive Factors
Negative Factors
Strong cash generation & improved leverage
Consistent, large operating and free cash flow combined with a materially lower debt-to-equity ratio meaningfully increases financial flexibility. This durability supports sustained R&D funding, commercialization of launches, potential M&A, and buffers against cyclical revenue pressure over the next 2–6 months.
Read all positive factors
Jazz Pharmaceuticals (JAZZ) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$12.02B
Dividend YieldN/A
Average Volume (3M)810.39K
Price to Earnings (P/E)12.7
Beta (1Y)0.67
Revenue Growth4.14%
EPS Growth-179.96%
CountryUS
Employees2,800
SectorHealthcare
Sector Strength45
IndustryBiotechnology
Share Statistics
EPS (TTM)6.64
Shares Outstanding61,560,350
10 Day Avg. Volume768,697
30 Day Avg. Volume810,395
Financial Highlights & Ratios
PEG Ratio0.18
Price to Book (P/B)2.40
Price to Sales (P/S)2.43
P/FCF Ratio7.99
Enterprise Value/Market Cap1.36
Enterprise Value/Revenue3.84
Enterprise Value/Gross Profit4.36
Enterprise Value/Ebitda117.87
Forecast
1Y Price Target
$230.42Price Target Upside14.60% Upside
Rating ConsensusStrong Buy
Number of Analyst Covering13
EPS Forecast (FY)23.98
Revenue Forecast (FY)$4.45B
Jazz Pharmaceuticals Business Overview & Revenue Model
Company Description
Jazz Pharmaceuticals plc, a biopharmaceutical company, identifies, develops, and commercializes pharmaceutical products for various unmet medical needs in the United States, Europe, and internationally. The company has a portfolio of products and ...
How the Company Makes Money
Jazz Pharmaceuticals generates revenue primarily through the sale of its pharmaceutical products, with key revenue streams coming from its established drugs in the neuroscience and sleep medicine sectors. The company has a strong focus on research...
Jazz Pharmaceuticals Key Performance Indicators (KPIs)
Any
Neroscience Revenue Breakdown
Highlights revenue generated from neuroscience products, indicating the company's strength and focus in treating neurological disorders, and potential growth in this specialized market.
Highlights revenue generated from neuroscience products, indicating the company's strength and focus in treating neurological disorders, and potential growth in this specialized market.
Data provided by:
The Fly
The FlyJazz Pharmaceuticals Earnings Call Summary
Earnings Call Date:Feb 24, 2026
(Q4-2025)
| % Change Since: |
Next Earnings Date:May 06, 2026
Earnings Call Sentiment Positive
The call conveyed strong execution and multiple material positives: record revenues, blockbuster Epidiolex, robust Xywav performance, the highly important practice-changing Phase III zanidatamab data with an expedited regulatory path, a promising Modeyso launch, substantial cash generation, and meaningful litigation and tax benefits. Offsetting items include evolving competitive pressure in the sleep (high-sodium oxybate) market leading to an expected modest decline in Rare Sleep revenue in 2026, increased R&D investment and modest margin pressure, the termination of one orexin program (JZP441), a conservative 2026 top-line growth guide (~2.5% at midpoint) and no EPS guidance, and potential share dilution from convertible note conversions. Overall, the positive commercial momentum, high-impact oncology data and strong financial position outweigh the challenges and near-term headwinds.Positive Updates
Record Revenue and Sustained Topline Growth
Total 2025 revenue reached a record $4.3 billion (21st consecutive year of topline growth). Fourth quarter 2025 revenue was a record $1.2 billion, up 10% year-over-year.
Negative Updates
Competitive Pressure in Sleep Franchise from High-Sodium Generics
Two generic high-sodium oxybate products entered the market and Hikma AG remains active. Company expects Rare Sleep revenue to decline from $2.01 billion in 2025 to $1.8–1.9 billion in 2026 (modest decrease driven by Xyrem and AG dynamics). Management expects minimal branded Xywav impact in H1 2026 but increased competitive dynamics in H2 2026.
Read all updates
Q4-2025 Updates
Positive
Negative
Record Revenue and Sustained Topline Growth
Total 2025 revenue reached a record $4.3 billion (21st consecutive year of topline growth). Fourth quarter 2025 revenue was a record $1.2 billion, up 10% year-over-year.
Read all positive updates
Company Guidance
Jazz guided 2026 total revenue of $4.25–4.50 billion (≈2.5% growth at the midpoint vs. 2025’s $4.3B), expecting double‑digit growth in rare oncology and epilepsy (products that totaled ~$2.2B in 2025, driven by Epidiolex, Modeyso and Ziihera) while Rare Sleep revenue is forecast to decline to $1.8–1.9B (from $2.01B in 2025) amid multiple high‑sodium oxybate generics and a modest Hikma AG royalty step‑down; Xywav is expected to be flat to up mid‑single digits (Xywav was ~$1.7B in 2025 and $465M in Q4), Xyrem generated $146M in 2025, and Modeyso/zanidatamab/Zepzelca launches are key growth drivers. Financial guidance also includes non‑GAAP adjusted gross margin of 90–91%, SG&A of $1.26–1.32B, R&D of $725–775M, an effective tax rate of 11.5–13.5%, and diluted shares of 65–66M; management is not providing adjusted net income/EPS guidance for 2026 (FY2025 non‑GAAP adj. net income ≈$522M, adj. EPS $8.38), and the company closed 2025 with ~$2.4B cash/investments and ~$1.4B cash from operations.Jazz Pharmaceuticals Financial Statement Overview
Summary
Income Statement
56
Neutral
Balance Sheet
68
Positive
Cash Flow
78
Positive
| Breakdown | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|
Income Statement | |||||
| Total Revenue | 4.27B | 4.07B | 3.83B | 3.66B | 3.09B |
| Gross Profit | 3.76B | 3.62B | 3.40B | 3.12B | 2.65B |
| EBITDA | 108.46M | 1.52B | 1.45B | 1.47B | 1.03B |
| Net Income | -356.15M | 560.12M | 414.83M | -224.06M | -328.95M |
Balance Sheet | |||||
| Total Assets | 11.66B | 12.01B | 11.39B | 10.84B | 12.30B |
| Cash, Cash Equivalents and Short-Term Investments | 2.44B | 2.99B | 1.63B | 881.48M | 591.45M |
| Total Debt | 5.42B | 6.16B | 5.79B | 5.81B | 6.15B |
| Total Liabilities | 7.34B | 7.92B | 7.66B | 7.75B | 8.33B |
| Stockholders Equity | 4.32B | 4.09B | 3.74B | 3.09B | 3.97B |
Cash Flow | |||||
| Free Cash Flow | 1.30B | 1.35B | 1.07B | 773.78M | 732.98M |
| Operating Cash Flow | 1.36B | 1.40B | 1.09B | 1.27B | 778.51M |
| Investing Cash Flow | -1.51B | -508.19M | -163.06M | -446.23M | -5.21B |
| Financing Cash Flow | -873.38M | 20.52M | -305.25M | -529.49M | 3.97B |
Jazz Pharmaceuticals Technical Analysis
Positive
201.06
Price Trends
181.02
Positive
175.22
Positive
150.50
Positive
Market Momentum
4.48
Negative
68.24
Neutral
78.68
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JAZZ, the sentiment is Positive. The current price of 201.06 is above the 20-day moving average (MA) of 188.12, above the 50-day MA of 181.02, and above the 200-day MA of 150.50, indicating a bullish trend. The MACD of 4.48 indicates Negative momentum. The RSI at 68.24 is Neutral, neither overbought nor oversold. The STOCH value of 78.68 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JAZZ.
Jazz Pharmaceuticals Risk Analysis
Jazz Pharmaceuticals disclosed 47 risk factors in its most recent earnings report. Jazz Pharmaceuticals reported the most risks in the "Legal & Regulatory" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Jazz Pharmaceuticals Peers Comparison
UnderperformOutperform
Sector (51)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
71 Outperform | $7.94B | 25.45 | 92.67% | ― | 31.19% | 59.01% | |
70 Outperform | $4.61B | 36.27 | 15.25% | ― | 17.92% | -26.13% | |
69 Neutral | $12.02B | 12.74 | -8.82% | ― | 4.14% | -179.96% | |
65 Neutral | $9.00B | 60.28 | 4.10% | 0.54% | 3.85% | -48.17% | |
61 Neutral | $20.72B | ― | -18.32% | ― | -83.82% | -109.22% | |
54 Neutral | $27.01B | -13.39 | -63.10% | ― | -100.00% | -44.24% | |
51 Neutral | $7.86B | -0.30 | -43.30% | 2.27% | 22.53% | -2.21% |
* Healthcare Sector Average
JAZZ
Jazz Pharmaceuticals
201.06
98.15
95.37%
CORT
Corcept Therapeutics
43.68
-25.91
-37.23%
HALO
Halozyme
67.31
6.03
9.84%
TECH
Bio-Techne
58.66
7.89
15.53%
RVMD
Revolution Medicines
147.01
110.69
304.76%
ROIV
Roivant Sciences
29.12
19.06
189.46%
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.