Travere Therapeutics (TVTX) AI Stock Analysis

• Market Cap: $3.03B
• Dividend Yield: N/A
• Average Volume (3M): 1.50M
• Price to Earnings (P/E): ―
• Beta (1Y): 1.43
• Revenue Growth: 114.22%
• EPS Growth: 77.02%
• Country: US
• Employees: 385
• Sector: Healthcare
• Sector Strength: 45
• Industry: Biotechnology
• EPS (TTM): 0.28
• Shares Outstanding: 89,472,330
• 10 Day Avg. Volume: 1,521,626
• 30 Day Avg. Volume: 1,504,837
• PEG Ratio: -0.02
• Price to Book (P/B): 23.26
• Price to Sales (P/S): 5.89
• P/FCF Ratio: -4.06
• Enterprise Value/Market Cap: 0.83
• Enterprise Value/Revenue: 5.80
• Enterprise Value/Gross Profit: 5.94
• Enterprise Value/Ebitda: -111.96
• 1Y Price Target: $42.00
• Price Target Upside: 21.70% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 10
• EPS Forecast (FY): -0.4
• Revenue Forecast (FY): $498.03M

• Rating: 56 Neutral
• Price Target: $35.00 ▲(1.42% Upside)

Travere Therapeutics' overall stock score reflects strong earnings call performance and positive technical indicators, offset by weak financial performance and valuation concerns. The potential FDA approval for FILSPARI is a significant positive factor, but high leverage and lack of profitability remain critical risks.

Positive Factors

Revenue Growth

Strong revenue growth from FILSPARI indicates robust demand and market penetration, supporting long-term revenue expansion and business sustainability.

Regulatory Advancements

Regulatory advancements enhance product accessibility and safety perception, potentially accelerating market adoption and competitive positioning.

Clinical Trial Success

Successful clinical trials bolster the drug's efficacy profile, improving its market potential and addressing significant unmet medical needs in kidney disorders.

Negative Factors

High Leverage

High leverage can strain financial flexibility and increase risk, potentially impacting the company's ability to invest in growth and innovation.

Profitability Challenges

Ongoing profitability challenges may hinder long-term financial health and limit resources available for strategic initiatives and R&D investments.

Negative Cash Flow

Negative cash flow can constrain operational capabilities and necessitate external financing, potentially affecting strategic flexibility and growth prospects.

Travere Therapeutics Business Overview & Revenue Model

Company Description

Travere Therapeutics (TVTX) is a biotechnology company focused on developing and commercializing innovative therapies for rare diseases. The company primarily operates in the pharmaceutical sector, specializing in treatments for conditions such as kidney diseases and metabolic disorders. Travere's core products include its lead drug candidates aimed at addressing significant unmet medical needs in these areas, leveraging advanced scientific research and clinical development to enhance patient outcomes.

How the Company Makes Money

Travere Therapeutics generates revenue primarily through the sale of its pharmaceutical products, particularly those that have received regulatory approval and are commercially available. The company may also earn income through partnerships with other pharmaceutical companies for co-development and commercialization of drug candidates, which can include milestone payments and royalties. Additionally, government grants and funding from research initiatives may contribute to its revenue streams. The success of Travere's revenue model heavily relies on the efficacy and market acceptance of its therapeutic products, as well as the company's ability to navigate the regulatory landscape effectively.

Travere Therapeutics Financial Statement Overview

Summary

Travere Therapeutics shows strong revenue growth and gross profit margins, but faces significant profitability and leverage challenges. High debt levels and negative cash flows pose financial risks, requiring careful management to achieve sustainable growth and profitability.

Income Statement

Travere Therapeutics shows a strong gross profit margin of 92.69% TTM, indicating efficient cost management. However, the company faces challenges with negative net profit and EBIT margins, reflecting ongoing losses. Revenue growth is positive at 22.06% TTM, suggesting potential for future improvement, but the consistent negative margins highlight profitability issues.

Balance Sheet

The company has a high debt-to-equity ratio of 12.20 TTM, indicating significant leverage and potential financial risk. Return on equity is negative, reflecting ongoing losses and challenges in generating shareholder value. The equity ratio is low, suggesting limited equity financing relative to total assets.

Cash Flow

Operating cash flow and free cash flow are both negative, indicating cash burn. However, the free cash flow to net income ratio is above 1, suggesting that cash outflows are somewhat aligned with accounting losses. The negative free cash flow growth rate of -32.51% TTM highlights increasing cash flow challenges.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	435.83M	233.18M	145.24M	109.46M	131.84M	198.32M
Gross Profit	425.49M	225.43M	133.79M	105.04M	128.02M	192.19M
EBITDA	-22.58M	-265.77M	-326.25M	-299.42M	-184.46M	-145.16M
Net Income	-88.54M	-321.55M	-111.40M	-278.48M	-180.09M	-169.43M
Balance Sheet
Total Assets	538.58M	594.13M	788.91M	672.59M	776.63M	607.44M
Cash, Cash Equivalents and Short-Term Investments	254.53M	370.70M	566.85M	450.25M	552.88M	361.59M
Total Debt	329.75M	401.58M	404.78M	407.49M	261.99M	244.03M
Total Liabilities	465.02M	535.05M	588.10M	629.73M	474.52M	396.23M
Stockholders Equity	73.56M	59.08M	200.81M	42.85M	302.11M	211.21M
Cash Flow
Free Cash Flow	-80.33M	-338.69M	-321.61M	-214.66M	-38.94M	-162.59M
Operating Cash Flow	-58.61M	-237.47M	-280.02M	-186.29M	-14.79M	-42.74M
Investing Cash Flow	52.42M	99.33M	55.78M	-32.55M	-137.62M	-61.33M
Financing Cash Flow	78.97M	139.42M	218.75M	117.57M	231.68M	127.71M

Travere Therapeutics Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 34.51
• 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 TVTX, the sentiment is Neutral. The current price of 34.51 is below the 20-day moving average (MA) of 34.95, above the 50-day MA of 32.74, and above the 200-day MA of 21.91, indicating a neutral trend. The MACD of 0.43 indicates Positive momentum. The RSI at 51.67 is Neutral, neither overbought nor oversold. The STOCH value of 29.30 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for TVTX.

Travere Therapeutics Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ARQT	60 Neutral	$3.47B	-78.36	-28.17%	―	129.21%	80.35%
TARS	60 Neutral	$3.30B	―	-28.35%	―	182.44%	47.21%
TVTX	56 Neutral	$3.03B	-31.80	-410.78%	―	114.22%	77.02%
RXRX	52 Neutral	$2.44B	-2.45	-91.06%	―	-32.98%	-18.46%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
GLPG	47 Neutral	$2.07B	-4.25	-16.45%	―	―	―
IRON	43 Neutral	$3.30B	-16.88	-34.78%	―	―	-34.96%

Travere Therapeutics Corporate Events

FDA Drops Advisory Committee for Travere’s FILSPARI Review

On September 10, 2025, Travere Therapeutics announced that the FDA has decided an advisory committee is no longer needed for the review of the supplemental New Drug Application for FILSPARI in treating FSGS. The application remains under review with a target action date of January 13, 2026. If approved, FILSPARI would be the first medication indicated for FSGS, a serious kidney disorder. The drug has shown promising results in reducing proteinuria in clinical trials, which is significant for patients as it lowers the risk of kidney failure. The studies supporting FILSPARI’s application demonstrated its efficacy and safety, with results published in the New England Journal of Medicine indicating a meaningful clinical benefit.