Esperion stock target holds at $4 on JMP’s optimistic outlook

Published 05/03/2025, 12:20
Esperion stock target holds at $4 on JMP’s optimistic outlook

On Wednesday, Esperion Therapeutics (NASDAQ:ESPR), currently trading at $1.77 with a market cap of $349 million, maintained its Market Outperform rating and $4.00 price target from analysts at JMP. The reaffirmation follows the company’s fourth-quarter earnings report and business update, which highlighted the global growth potential of its bempedoic acid franchises. Esperion’s revenues surpassed JMP’s estimates, largely due to a milestone payment from its Japanese partner Otsuka, and aligned with the consensus estimates. According to InvestingPro data, the company achieved remarkable revenue growth of 186% in the last twelve months, with analyst targets ranging from $4 to $16.

Esperion ended the fiscal year 2024 with approximately $145 million in cash. JMP analysts believe this positions the company well to invest in the commercial growth of its products in the United States. Despite this, U.S. net product sales for the quarter were reported at $31.6 million, falling short of JMP’s $35 million prediction and the consensus estimate of $34.5 million. The company experienced a 12% sequential demand growth, which was partially negated by the effects of the Medicare coverage gap. InvestingPro analysis shows the company maintains a healthy gross profit margin of 79.4% and received a GOOD overall Financial Health score.

Management at Esperion has expressed that the Medicare coverage gap’s impact on earnings is anticipated to be a one-time event. They expect that net revenue will better reflect demand growth in 2025. Additionally, the company reported an increase in its prescriber base and prescription volume. There was an 8% rise in new-to-brand prescriptions and more than 25,000 healthcare professionals wrote prescriptions for Esperion’s products in the fourth quarter of 2024. Unlock deeper insights into Esperion’s growth potential with InvestingPro, which offers exclusive financial metrics and detailed analysis in its comprehensive Pro Research Report.

JMP analysts remain confident in Esperion’s growth trajectory, citing the company’s ongoing U.S. commercialization efforts. With the progress reported in the fourth quarter and management’s positive outlook for the coming year, JMP continues to support Esperion’s stock with a Market Outperform rating and a steady price target. The stock has shown recent momentum with a 7.3% gain over the past week, though it remains down 19.6% year-to-date.

In other recent news, Esperion Therapeutics Inc. reported a notable revenue increase for the fourth quarter of 2024, with a 114% year-over-year rise to $69.1 million, surpassing the forecast of $63.45 million. The company’s earnings per share (EPS) were reported at -$0.11, which was better than the anticipated -$0.14. This growth was driven by a 52% increase in U.S. net product revenue and a 227% surge in collaboration revenue. Additionally, Esperion has expanded its healthcare provider base and increased payer access to 173 million lives in the U.S. In terms of analyst activity, there were no specific upgrades or downgrades mentioned, but firms like Jefferies and H.C. Wainwright participated in the earnings call, showing continued interest in the company’s developments. Esperion is also focusing on expanding its market presence in Japan, Israel, and Canada, and is working on developing new therapeutic opportunities in cardiometabolic diseases. These developments indicate that Esperion is actively pursuing growth and expansion in both its product offerings and market reach.

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