Stephens raises Catalyst Pharma price target to $40, maintains overweight

Published 28/02/2025, 13:56
Stephens raises Catalyst Pharma price target to $40, maintains overweight

On Friday, Stephens analyst Sudan Loganathan increased the price target for Catalyst Pharmaceutical (TADAWUL:2070) Partners (NASDAQ:CPRX) shares from $33.00 to $40.00, while sustaining an Overweight rating on the stock. According to InvestingPro data, the company maintains excellent financial health with an overall score of 3.96/5, supported by strong profitability and robust cash flow metrics. The adjustment follows Catalyst Pharmaceutical’s recent financial earnings call and the release of their fourth quarter and full-year 2024 results.

Catalyst Pharmaceutical reported a total revenue of $491.7 million for the fiscal year 2024, representing a 23.5% year-over-year growth and surpassing the previously guided range of $475 million to $485 million. With an impressive gross margin of 86%, the company demonstrates strong operational efficiency. The company also provided a revenue guidance for fiscal year 2025, projecting between $545 million and $565 million, attributing the growth to strong sales of AGAMREE. In the fourth quarter of 2024, FIRDAPSE revenue reached $82.5 million, exceeding both Stephens’ estimate of $81.6 million and the Street’s expectation of $81.5 million. FYCOMPA sales were reported at $38.2 million, topping both Stephens’ and the Street’s forecasts, which were $33.6 million and $33.3 million, respectively. AGAMREE sales also surpassed expectations, coming in at $21.1 million against Stephens’ prediction of $21.3 million and the Street’s $18.5 million estimate.

Loganathan noted the unexpected growth in AGAMREE sales, the performance of FYCOMPA in line with expectations despite loss of exclusivity, and the potential for Catalyst to in-license an accretive asset within the year. These factors contribute to the company’s strong growth narrative.

In response to these results, Stephens has updated its fiscal year 2025 and 2026 earnings per share (EPS) estimates for Catalyst Pharmaceutical to $1.76 and $2.27, respectively, up from the previous $1.60 and $1.67. The revised price target and EPS estimates reflect the firm’s confidence in the company’s growth trajectory and future performance.

In other recent news, Catalyst Pharmaceuticals reported impressive financial results for the fourth quarter of 2024, surpassing both earnings and revenue expectations. The company achieved an earnings per share of $0.70, more than double the anticipated $0.32, while revenue reached $141.8 million, exceeding the forecasted $133.68 million. Catalyst Pharmaceuticals also announced its 2025 revenue guidance, projecting figures between $545 million and $565 million, with significant contributions expected from its products Firdapse, AGAMRI, and VYCOMPA. Analysts have noted the strong market confidence following these results, as reflected in the company’s optimistic future outlook. Additionally, Catalyst Pharmaceuticals addressed potential risks, including generic competition and market saturation, which could impact its market share. The company remains focused on expanding its market presence and maintaining its competitive advantage through strategic partnerships and innovative approaches.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers
© 2007-2025 - Fusion Media Limited. All Rights Reserved.