60 Degrees Pharmaceuticals, Inc. (SXTP) AI Stock Analysis

• Market Cap: $3.24M
• Dividend Yield: N/A
• Average Volume (3M): 199.18K
• Price to Earnings (P/E): ―
• Beta (1Y): 2.24
• Revenue Growth: 192.72%
• EPS Growth: 83.61%
• Country: US
• Employees: 3
• Sector: Healthcare
• Sector Strength: 45
• Industry: Biotechnology
• EPS (TTM): -2.67
• Shares Outstanding: 1,057,612
• 10 Day Avg. Volume: 488,900
• 30 Day Avg. Volume: 199,179
• PEG Ratio: >-0.01
• Price to Book (P/B): 0.73
• Price to Sales (P/S): 4.83
• P/FCF Ratio: -0.50
• Enterprise Value/Market Cap: -0.46
• Enterprise Value/Revenue: -1.54
• Enterprise Value/Gross Profit: -8.06
• Enterprise Value/Ebitda: 0.19
• 1Y Price Target: $17.60
• Price Target Upside: 3420.00% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2
• EPS Forecast (FY): -6.9
• Revenue Forecast (FY): $2.05M

• Rating: 46 Neutral
• Price Target: $4.00 ▲(700.00% Upside)
• Action: Reiterated Date: 01/24/26
• Date: Action: Reiterated 01/24/26

The score is held down primarily by very weak fundamentals (outsized losses and ongoing cash burn) and a significant Nasdaq delisting risk. Technical signals are comparatively supportive, but valuation is constrained by continued unprofitability and no dividend support.

Positive Factors

Low leverage

Significantly low debt levels and positive equity provide durable financial flexibility, lowering near-term bankruptcy risk and preserving capacity to raise or deploy capital for R&D and commercialization. This structural balance-sheet strength supports execution during prolonged development cycles.

Revenue recovery

A meaningful TTM revenue rebound signals improving commercial traction for existing products. If sustained, this trend can scale fixed-cost absorption, improve operating leverage and reduce reliance on external financing, supporting a multi-month path toward narrowing losses and stabilizing cash flows.

New licensing option

Securing exclusive large-scale purification technology for castanospermine is a structural development that could expand the company’s product pipeline and manufacturing capabilities, lower future COGS if commercialized, and diversify revenue beyond current antimalarial/babesiosis sales over the medium term.

Negative Factors

Severe losses and cash burn

Extremely negative net margins and persistent free cash flow deficits indicate ongoing operational cash consumption and a dependency on external financing. This structural cash burn elevates dilution and refinancing risk, constraining long-term investment in commercialization and clinical milestones without funding.

Weak margins

A modest gross margin combined with operating costs that outpace current revenue implies limited profit leverage. Unless the company sustainably grows higher-margin sales or materially reduces COGS, the structural margin profile will impede durable profitability and prolong reliance on capital markets.

Nasdaq delisting risk

An immediate Nasdaq delisting determination is a material structural threat to liquidity and capital access. Loss of listing would raise financing costs, reduce institutional participation, and hinder commercial partnerships, creating sustained operational and funding challenges even if an appeal temporarily stays suspension.

60 Degrees Pharmaceuticals, Inc. Business Overview & Revenue Model

Company Description

60 Degrees Pharmaceuticals, Inc., a specialty pharmaceutical company, engages in the development and commercialization of therapies for the prevention and treatment of infectious diseases in the United States. It offers Arakoda for malaria preventative treatment. The company also engages in the development of Tafenoquine (Arakoda regimen) that is in Phase IIb clinical trial for COVID-19 indications; Tafenoquine, which is in phase IIA clinical trials for babesiosis, fungal pneumonias, and candidiasis disease; and Celgosivir for Zika, respiratory viruses, and dengue. It also has patent license agreement with Tufts Medical Center to jointly advance the development and commercialization of tafenoquine for the treatment and prevention of babesiosis. The company was founded in 2010 and is headquartered in Washington, District Of Columbia.

How the Company Makes Money

60 Degrees Pharmaceuticals generates revenue through the commercialization of its pharmaceutical products, which may include direct sales to healthcare providers and distribution partnerships with pharmaceutical distributors. The company may also derive income from licensing agreements and collaborations with other biopharmaceutical companies, leveraging its research and development capabilities to create valuable intellectual property. Additionally, government grants and funding from research institutions may contribute to its earnings as the company advances its drug development pipeline.

60 Degrees Pharmaceuticals, Inc. Financial Statement Overview

Summary

Despite a sharp TTM revenue rebound (+45.72%) and currently low leverage (debt-to-equity ~0.03–0.04), the financial profile is dominated by extremely large losses (TTM net margin ~-828%), weak gross margin (~19%), and persistent negative operating/free cash flow (TTM FCF about -$6.9M), implying ongoing reliance on external funding.

Income Statement

TTM (Trailing-Twelve-Months) revenue rebounded sharply (+45.72%), showing improving commercial traction off a small base. However, profitability remains very weak: gross margin is modest (about 19% in TTM) and the company is running extremely large operating and net losses versus revenue (TTM net margin roughly -828%), indicating the cost structure is far ahead of current scale. Annual results also show high volatility in revenue and margins (including negative gross profit in 2022–2023), which raises execution and scaling risk.

Balance Sheet

Recent balance sheets (2024 and TTM) show very low leverage (debt-to-equity ~0.03–0.04) and positive equity, which is a relative strength and suggests limited balance-sheet debt pressure. That said, returns on equity are deeply negative in 2024 and TTM due to ongoing losses, and the history includes prior years (2020–2022) with negative equity and very high debt levels, highlighting past recapitalization stress and a higher-risk profile if losses persist.

Cash Flow

Cash generation is a key weakness: operating cash flow and free cash flow are materially negative in every period provided, including TTM (operating cash flow about -$6.8M; free cash flow about -$6.9M). While TTM free cash flow improved versus the prior year (positive growth rate), the business is still consuming cash at a high rate, implying ongoing dependence on external funding until revenue scales meaningfully and losses narrow.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	963.53K	607.57K	253.57K	223.21K	1.16M	2.18M
Gross Profit	184.44K	222.81K	-220.98K	-209.16K	309.60K	1.48M
EBITDA	-7.90M	-7.88M	-1.43M	-2.11M	-1.01M	-341.17K
Net Income	-7.98M	-7.95M	-3.77M	-6.18M	-4.25M	-3.03M
Balance Sheet
Total Assets	6.69M	5.76M	7.78M	1.30M	1.39M	2.61M
Cash, Cash Equivalents and Short-Term Investments	4.12M	3.39M	2.14M	264.87K	115.40K	191.70K
Total Debt	153.76K	155.89K	172.67K	22.42M	18.80M	19.14M
Total Liabilities	2.34M	1.80M	2.99M	25.45M	19.55M	20.68M
Stockholders Equity	4.43M	4.04M	4.87M	-23.58M	-17.58M	-17.50M
Cash Flow
Free Cash Flow	-6.86M	-5.83M	-4.66M	-1.07M	-684.50K	-238.28K
Operating Cash Flow	-6.79M	-5.65M	-4.54M	-1.01M	-649.11K	-167.30K
Investing Cash Flow	1.62M	-1.89M	-115.89K	-60.13K	-35.39K	-70.98K
Financing Cash Flow	5.98M	7.05M	6.47M	1.22M	611.23K	277.36K

60 Degrees Pharmaceuticals, Inc. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.50
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SXTP, the sentiment is Negative. The current price of 0.5 is below the 20-day moving average (MA) of 3.77, below the 50-day MA of 3.18, and below the 200-day MA of 5.74, indicating a bearish trend. The MACD of -0.12 indicates Positive momentum. The RSI at 43.87 is Neutral, neither overbought nor oversold. The STOCH value of 13.09 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for SXTP.

60 Degrees Pharmaceuticals, Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
SXTP	46 Neutral	$3.24M	-0.10	-152.19%	―	192.72%	83.61%
KALA	40 Underperform	$373.83M	-0.07	―	―	―	52.39%
ONCO	33 Underperform	$1.08M	>-0.01	-263.57%	―	-34.58%	96.41%
OGEN	29 Underperform	$2.94M	-0.05	-168.95%	―	―	90.27%

60 Degrees Pharmaceuticals, Inc. Corporate Events

60 Degrees Pharmaceuticals Faces Immediate Nasdaq Delisting Appeal

On January 20, 2026, 60 Degrees Pharmaceuticals, Inc. received a written notice from the Nasdaq Listing Qualifications Department stating that Nasdaq staff had determined to delist the company’s common stock and warrants from the Nasdaq Capital Market after the shares failed to maintain the required minimum bid price of $1.00 for 30 consecutive business days. Because the company had already executed a 1-for-5 reverse stock split on February 24, 2025, Nasdaq concluded that it was not eligible for the standard 180-day compliance period and is therefore subject to immediate delisting, which also triggers delisting of its warrants since the underlying security would no longer be listed. The company has paid the required fee and requested a hearing to appeal the decision, which temporarily stays any suspension of trading and the formal delisting filing, but there is no assurance that Nasdaq will allow its securities to remain listed, creating uncertainty for shareholders and warrant holders.

The most recent analyst rating on (SXTP) stock is a Hold with a $5.00 price target. To see the full list of analyst forecasts on 60 Degrees Pharmaceuticals, Inc. stock, see the SXTP Stock Forecast page.

60 Degrees Pharmaceuticals Implements One-for-Four Reverse Split

On October 8, 2025, stockholders of 60 Degrees Pharmaceuticals, Inc., following a recommendation from the board, approved an amendment to implement a one-for-four reverse stock split of the company’s common stock, which became effective at 12:01 a.m. Eastern Time on January 20, 2026, after the related certificate of amendment was filed in Delaware. The reverse split, formally announced on January 15, 2026, reduced the number of issued and outstanding common shares from roughly 5.15 million to about 1.29 million, adjusted all outstanding equity-linked securities accordingly, left the par value and authorized share counts unchanged, and was primarily intended to raise the company’s share price to meet Nasdaq’s minimum bid requirement and thereby support the continued listing of its stock, affecting all shareholders proportionally aside from minor rounding for fractional shares.

The most recent analyst rating on (SXTP) stock is a Sell with a $0.56 price target. To see the full list of analyst forecasts on 60 Degrees Pharmaceuticals, Inc. stock, see the SXTP Stock Forecast page.

60 Degrees Pharma outlines growth strategy in investor webinar

On January 8, 2026, 60 Degrees Pharmaceuticals made available an investor presentation tied to a RedChip-hosted webinar, providing updated information on its clinical development timelines and regulatory strategy. The materials highlighted growing commercial use of ARAKODA for chronic babesiosis since 2019, improving gross margins despite recent inventory and supply issues, and the company’s efforts to increase malaria-related sales through a targeted commercial pilot that tackles low brand recognition, generic competition, and access barriers. The presentation also underscored management’s view that future ARAKODA sales for chronic babesiosis could ultimately exceed those for malaria and potentially grow by orders of magnitude if regulatory milestones are achieved, positioning the company for significant long-term revenue expansion from a very small current market capitalization base, while reminding investors of going-concern risks, clinical and regulatory uncertainties, and dependence on third-party manufacturing.

The most recent analyst rating on (SXTP) stock is a Sell with a $0.48 price target. To see the full list of analyst forecasts on 60 Degrees Pharmaceuticals, Inc. stock, see the SXTP Stock Forecast page.