NewAmsterdam Pharma Company (NAMS) AI Stock Analysis

• Market Cap: $2.12B
• Dividend Yield: N/A
• Average Volume (3M): 796.17K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.77
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: US
• Employees: 68
• Sector: Healthcare
• Sector Strength: 41
• Industry: Biotechnology
• EPS (TTM): -0.35
• Shares Outstanding: 112,270,676
• 10 Day Avg. Volume: 856,945
• 30 Day Avg. Volume: 796,172
• PEG Ratio: 0.34
• Price to Book (P/B): 2.35
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -13.58
• Enterprise Value/Market Cap: 0.61
• Enterprise Value/Revenue: 13.91
• Enterprise Value/Gross Profit: 28.50
• Enterprise Value/Ebitda: -1.67
• 1Y Price Target: $42.43
• Price Target Upside: 124.74% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 9

NewAmsterdam Pharma's stock is impacted by typical financial challenges of biotech firms, such as operational losses and negative cash flow. A strong balance sheet provides stability, while positive corporate events signal growth potential. However, weak valuation metrics and mixed technical indicators suggest caution in the short term.

Positive Factors

Financial Performance

The company maintained an impressive cash position of ~$808M, which will amply support operations through key value-creating milestones, including the PREVAIL CV outcomes trial top-line readout and planned obi US launch preparations.

Product Efficacy

Obicetrapib led to a 45% Lp(a) reduction in patients with a baseline Lp(a) level of 50-150 nmol/L, which is significantly better than PCSK9 inhibitors.

Regulatory Advantage

A new executive order could extend small molecule exclusivity from 9 to 13 years, aligning it with biologics, which would particularly benefit NAMS by delaying Medicare price negotiations.

Negative Factors

Endpoint Concerns

Investors have questioned the breakdown of the MACE endpoints, given the benefit was largely driven by urgent coronary revascularizations.

Market Timing

The major CVOT catalyst isn't until late 2026 or early 2027 and there isn't huge urgency to own the stock now.

Trial Data Concerns

Stroke was the only component that was numerically higher in the treatment arm in the BROADWAY trial.

NewAmsterdam Pharma Company Business Overview & Revenue Model

Company Description

NewAmsterdam Pharma Company N.V., a clinical-stage biopharmaceutical company, focuses on improving patient care in populations with metabolic diseases. Its lead investigational candidate, obicetrapib, is a novel, selective inhibitor that targets the Cholesteryl Ester Transfer Protein (CETP), which has been clinically shown to reduce low-density lipoprotein cholesterol (LDL-C) while at the same time substantially increase high-density lipoprotein cholesterol (HDL-C). The company was founded in 2019 and is based in Naarden, the Netherlands.

How the Company Makes Money

NewAmsterdam Pharma Company (NAMS) generates revenue through a combination of product sales, strategic partnerships, and licensing agreements. The company's primary revenue stream is anticipated to come from the commercialization of its lead product candidate, which is currently in clinical trials. Upon successful approval by regulatory authorities, NAMS plans to market and sell this therapy to healthcare providers and patients, thereby generating sales revenue. Additionally, NAMS engages in partnerships with other pharmaceutical companies and research institutions, which may involve collaborative research and development efforts, resulting in milestone payments and royalties. These significant partnerships not only provide financial support but also enhance the company's access to cutting-edge research and development capabilities, further contributing to its revenue potential.

NewAmsterdam Pharma Company Financial Statement Overview

Summary

NewAmsterdam Pharma exhibits typical characteristics of a biotech firm with high R&D expenses leading to operational losses. While revenue growth is promising, profitability remains a challenge. The balance sheet is strong with low leverage, providing stability. Cash flows are negative, but capital raising efforts support liquidity. The company must focus on achieving profitability to ensure long-term sustainability.

Income Statement

The company's revenue has shown significant volatility with periods of growth and decline. The gross profit margin is 100% due to no cost of goods sold, but the net profit margin is low due to high operating expenses. EBIT and EBITDA margins are negative, indicating operational challenges. Revenue growth from 2023 to 2024 is strong, but the company has not achieved profitability.

Balance Sheet

The company maintains a strong equity position with an equity ratio of 87.6%, indicating low leverage. Debt-to-equity is minimal at 0.06, suggesting low financial risk. However, the company has reported consecutive net losses, impacting return on equity, which remains negative.

Cash Flow

Operating cash flow is consistently negative, highlighting cash burn issues typical in the biotechnology industry. Free cash flow growth is negative, indicating increased outflows. However, ample financing cash flow suggests the company is able to raise capital successfully, mitigating immediate liquidity concerns.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
45.56M	12.76M	95.91M	0.00	0.00
	Gross Profit
45.45M	12.76M	95.91M	0.00	0.00
	EBIT
-176.29M	-165.73M	-3.32M	-30.73M	-5.43M
	EBITDA
-241.49M	-176.86M	-3.31M	-30.73M	-5.43M
	Net Income Common Stockholders
-241.60M	-176.94M	-21.14M	-36.71M	-5.75M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
834.19M	340.45M	438.52M	53.09M	7.86M
	Total Assets
864.62M	347.10M	531.58M	59.78M	9.23M
	Total Debt
448.00K	60.00K	118.00K	164.00K	11.65M
	Net Debt
-771.29M	-340.39M	-438.40M	-52.93M	3.79M
	Total Liabilities
107.12M	58.70M	47.06M	9.99M	12.81M
	Stockholders Equity
757.50M	288.39M	484.52M	49.79M	-3.58M
Cash Flow		Free Cash Flow
-159.24M	-141.24M	7.96M	-25.18M	-5.98M
	Operating Cash Flow
-158.56M	-141.22M	7.97M	-25.16M	-5.97M
	Investing Cash Flow
-62.85M	-24.00K	715.00K	-20.00K	-13.00K
	Financing Cash Flow
659.51M	8.91M	375.18M	68.99M	11.32M

NewAmsterdam Pharma Company Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 18.88
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For NAMS, the sentiment is Neutral. The current price of 18.88 is above the 20-day moving average (MA) of 18.55, below the 50-day MA of 19.53, and below the 200-day MA of 19.89, indicating a neutral trend. The MACD of 0.09 indicates Negative momentum. The RSI at 51.48 is Neutral, neither overbought nor oversold. The STOCH value of 37.62 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for NAMS.

NewAmsterdam Pharma Company Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
HRMY	76 Outperform	$2.01B	13.37	24.71%	―	20.62%	14.08%
NAMS	54 Neutral	$2.12B	―	-31.51%	―	―	―
Sector *	52 Neutral	$5.15B	3.02	-44.64%	2.83%	16.44%	-0.47%
RXRX	52 Neutral	$1.85B	―	-86.10%	―	29.32%	-11.00%
ARQT	51 Neutral	$1.68B	―	-70.58%	―	100.03%	64.22%
DNLI	45 Neutral	$2.00B	―	-35.21%	―	-100.00%	-144.79%
MTSR	40 Underperform	$3.10B	―		―	―	―

NewAmsterdam Pharma Company Corporate Events

NewAmsterdam Pharma Presents Promising Phase 3 Trial Data

On May 7, 2025, NewAmsterdam Pharma announced additional data from its BROADWAY and TANDEM Phase 3 clinical trials, presented at the European Atherosclerosis Society Congress and published in leading medical journals. The data demonstrated significant reductions in LDL-C levels and improvements in cardiovascular biomarkers with the use of obicetrapib, both as monotherapy and in combination with ezetimibe, highlighting its potential as a foundational therapy in CVD management. The trials showed a 45% reduction in lipoprotein(a) and a 21% reduction in major adverse cardiovascular events, reinforcing obicetrapib’s promise as an effective oral treatment for CVD.

Spark’s Take on NAMS Stock

According to Spark, TipRanks’ AI Analyst, NAMS is a Neutral.

NewAmsterdam Pharma’s stock score is impacted by financial challenges typical of biotech firms, such as operational losses and negative cash flow. The strong balance sheet and strategic board appointment offer stability and future growth potential. However, weak technical indicators and valuation metrics underscore caution in the short term.

To see Spark’s full report on NAMS stock, click here.

NewAmsterdam Pharma Appoints Adele Gulfo to Board

On April 15, 2025, NewAmsterdam Pharma appointed Adele Gulfo as an independent director to its Board of Directors, a strategic move as the company prepares for the potential launch of its drug obicetrapib next year. Gulfo’s extensive experience in pharmaceutical leadership and her history of successful drug launches are expected to significantly contribute to NewAmsterdam’s commercial strategy and infrastructure development, enhancing its position in the cardiovascular treatment market.

Spark’s Take on NAMS Stock

According to Spark, TipRanks’ AI Analyst, NAMS is a Neutral.

NewAmsterdam Pharma’s stock score reflects a challenging financial performance with ongoing operational losses typical of biotech firms. While the balance sheet is strong, the lack of profitability and negative cash flow remain concerns. Technical analysis indicates bearish sentiment, and valuation metrics are weak due to the negative P/E ratio and no dividend yield. However, significant corporate achievements in clinical trials provide a positive outlook for future growth and potential stock recovery.

To see Spark’s full report on NAMS stock, click here.