Zevra Therapeutics (ZVRA) AI Stock Analysis

• Market Cap: $532.58M
• Dividend Yield: N/A
• Average Volume (3M): 572.78K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.95
• Revenue Growth: 44.92%
• EPS Growth: -40.06%
• Country: US
• Employees: 59
• Sector: Healthcare
• Sector Strength: 39
• Industry: Biotechnology
• EPS (TTM): -0.06
• Shares Outstanding: 54,679,640
• 10 Day Avg. Volume: 660,293
• 30 Day Avg. Volume: 572,781
• PEG Ratio: -0.37
• Price to Book (P/B): 12.12
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -8.13
• Enterprise Value/Market Cap: 0.99
• Enterprise Value/Revenue: 4.66
• Enterprise Value/Gross Profit: 16.47
• Enterprise Value/Ebitda: -1.91
• 1Y Price Target: $23.50
• Price Target Upside: 141.27% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 7

• Rating: 54 Neutral
• Price Target: $9.50 ▼(-2.46%Downside)

Zevra Therapeutics' stock score is primarily impacted by its financial performance, which shows significant challenges due to high leverage and negative profitability. While technical analysis indicates positive momentum, the valuation remains unattractive due to ongoing losses. The earnings call provided some positive strategic insights, but these are not factored into the score due to the exclusion of this component.

Positive Factors

Commercial Success

Zevra Therapeutics has successfully transitioned into a commercial-stage rare disease company with multiple levers for further long-term value creation.

FDA Approval

FDA approval of Miplyffa for Niemann-Pick disease type C marked the first FDA-approved therapy for NPC.

Financial Performance

Zevra reported net revenue of $20.4M, beating consensus and forecast, with Miplyffa generating $17.1M in net revenue.

Negative Factors

Cash Runway Uncertainty

ZVRA did not specifically provide an updated cash runway, but said it has 'ample resources and financial flexibility to execute on our strategic priorities independent from the capital markets.'

Olpruva Revenue

Olpruva's revenue remains modest despite a strategy focused on targeting adult patients with reimbursement challenges.

Patient Conversion Information

ZVRA did not provide a specific number to our question on how many patients are on the product and what fraction might be 'paid patients'.

Zevra Therapeutics Business Overview & Revenue Model

Company Description

Zevra Therapeutics, Inc., a rare disease company melding science, discovers and develops various proprietary prodrugs to treat serious medical conditions in the United States. The company utilizes its Ligand Activated Therapy technology to generate improved prodrug versions of FDA-approved drugs, as well as to generate prodrug versions of existing compounds that may have applications for new disease indications. Its prodrug product candidate pipeline is focused on the high need areas of attention deficit hyperactivity disorder, stimulant use disorder, and CNS rare diseases, including idiopathic hypersomnia (IH). The company's lead product candidate KP1077, which is under Phase II clinical trial for the treatment of IH and narcolepsy, is based on its prodrug of d-methylphenidate, known as serdexmethylphenidate. It is also developing KP879, a prodrug product candidate for the treatment of stimulant use disorder and is under Phase II clinical trial. In addition, the company has received FDA approval for AZSTARYS, a once-daily treatment for attention deficit hyperactivity disorder in patents age six years and older, and for APADAZ, an immediate-release combination product containing benzhydrocodone, a prodrug of hydrocodone, and acetaminophen. The company's product pipeline include, arimoclomol It has collaboration and license agreement with KVK-Tech, Inc. and Commave Therapeutics SA. The company was formerly known as KemPharm, Inc. and changed its name to Zevra Therapeutics, Inc. in February 2023. Zevra Therapeutics, Inc. was incorporated in 2006 and is headquartered in Celebration, Florida.

How the Company Makes Money

Zevra Therapeutics generates revenue primarily through the development and commercialization of its proprietary drug candidates. The company's revenue streams include licensing agreements, where it partners with larger pharmaceutical companies to co-develop and distribute its therapies, thereby earning milestone payments and royalties on sales. Additionally, Zevra may engage in strategic collaborations and partnerships that provide funding for research and development activities. The company also focuses on obtaining regulatory approval for its therapies, which enables it to market and sell these products directly, further contributing to its revenue growth.

Zevra Therapeutics Financial Statement Overview

Summary

Zevra Therapeutics shows strong revenue growth; however, it struggles with profitability and high leverage. The negative net profit and EBIT margins, coupled with a high debt-to-equity ratio and substantial cash outflows, highlight significant financial challenges.

Income Statement

The company exhibited a strong revenue growth rate of 71.86% TTM (Trailing-Twelve-Months), indicating robust top-line expansion. However, it faces challenges with profitability, as evidenced by a negative net profit margin of -226.67% TTM and a negative EBIT margin of -177.09% TTM. These negative margins reflect significant operational and financial hurdles in achieving profitability.

Balance Sheet

The debt-to-equity ratio stands at 1.51 TTM, signaling a high leverage position which could pose financial risks. The company's equity ratio of 23.76% TTM is relatively low, indicating a reliance on debt financing. Additionally, the return on equity (ROE) is negative at -224.26% TTM, reflecting substantial losses relative to shareholder equity.

Cash Flow

The free cash flow is negative at -$61.82 million TTM, with a free cash flow growth rate of 11.26%, suggesting moderate improvement. The operating cash flow to net income ratio is 0.67 TTM, indicating some alignment between operational performance and reported earnings, albeit with negative cash flow.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	40.59M	23.61M	27.46M	10.16M	28.65M	13.29M
Gross Profit	32.00M	16.20M	24.52M	9.94M	26.59M	11.98M
EBITDA	-67.37M	-76.40M	-48.60M	-25.53M	-7.89M	-5.43M
Net Income	-91.99M	-105.51M	-46.05M	-26.77M	-8.55M	-12.76M
Balance Sheet
Total Assets	10.51M	178.13M	172.33M	115.53M	132.94M	11.21M
Cash, Cash Equivalents and Short-Term Investments	3.22M	69.50M	43.05M	82.85M	112.35M	4.21M
Total Debt	79.53M	60.30M	43.77M	14.12M	1.59M	70.35M
Total Liabilities	84.96M	138.46M	110.46M	29.72M	5.82M	77.62M
Stockholders Equity	-74.46M	39.67M	61.86M	85.81M	127.12M	-66.41M
Cash Flow
Free Cash Flow	-61.82M	-69.67M	-33.83M	-18.81M	10.34M	-1.97M
Operating Cash Flow	-61.72M	-69.67M	-33.53M	-18.72M	10.44M	-1.94M
Investing Cash Flow	-26.41M	-22.16M	-17.39M	-36.72M	-15.52M	-33.00K
Financing Cash Flow	82.50M	82.11M	28.46M	8.35M	113.11M	2.74M

Zevra Therapeutics Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 9.74
• 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 ZVRA, the sentiment is Positive. The current price of 9.74 is above the 20-day moving average (MA) of 9.16, above the 50-day MA of 8.51, and above the 200-day MA of 8.19, indicating a bullish trend. The MACD of 0.21 indicates Positive momentum. The RSI at 65.75 is Neutral, neither overbought nor oversold. The STOCH value of 67.65 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for ZVRA.

Zevra Therapeutics Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
UPB	64 Neutral	$602.49M	―		―	―	―
MAZE	59 Neutral	$503.67M	―		―	―	―
ZVRA	54 Neutral	$532.58M	―	-204.78%	―	44.92%	-40.06%
RLAY	54 Neutral	$622.35M	―	-45.46%	―	-78.26%	15.41%
Sector *	52 Neutral	$7.50B	0.31	-61.87%	2.27%	17.10%	1.59%
OMER	40 Underperform	$187.50M	―	87.26%	―	―	-43.76%
SION		$935.00M	―		―	―	―

Zevra Therapeutics Corporate Events

Zevra Therapeutics Elects New Directors at Annual Meeting

On May 29, 2025, Zevra Therapeutics held its Annual Meeting of Stockholders where Wendy Dixon, Ph.D., and Tamara A. Favorito were elected as directors. The meeting also saw the ratification of Ernst & Young LLP as the independent public accounting firm for the fiscal year ending December 31, 2025. The election process was marked by the disqualification of nominees proposed by stockholder Daniel J. Mangless due to non-compliance with legal requirements and company bylaws, ensuring the election of the company’s preferred candidates.

The most recent analyst rating on (ZVRA) stock is a Buy with a $20.00 price target. To see the full list of analyst forecasts on Zevra Therapeutics stock, see the ZVRA Stock Forecast page.