Arrowhead Research Corporation

Pharmaceutical Preparations

ARWRSolid5 of 9 basics passed

$62.75

+3.31%

Market cap $8.86B

$62.75

+3.31%

Market cap $8.86B

Arrowhead Pharmaceuticals Inc is a commercial-stage pharmaceutical company. It is focused on the development of medicines for diseases associated with genetic abnormalities or protein overproduction.

It is a $8.86B healthcare company. Revenue grew 16.8% over the last year, it currently loses money, and it holds more cash than debt.

Website: arrowheadpharma.com
Location: Pasadena, CA
Employees: 711
Sector: Healthcare

Share price · 3 years

$25.63 → $62.75+144.8%

price only — dividends excluded

Key facts · TTM

Revenue: total sales; $669M
Loss: spends more than it earns; -$320M
Free cash flow: cash left after running the business; -$75.1M
Net cash: more cash than debt; $478M
Shares: up 36% since 2019 — dilution; 133.8M
Volatility: beta vs the market — under 1 swings less; 1.34

Revenue, last 10 years

52-week range

Low $35.41$62.75High $89.59

Today's price is 50% of the way from the year's low to its high.

P/E vs its history3mo

40.1×median 44.4×

Higher than 15% of past days — in the cheapest third of its own history.

Valuation vs own history

P/E

40.1×

85%

P/S

13.2×

65%

EV/EBITDA

25.2×

85%

P/B

19.0×

16%

FCF yield

4.0%

96%

Share of the last ~5 years that was pricier than today (cheaper than usual). Based on the daily valuation record.

Insider activity · 90 days

-$1.19Mnet selling

Purchases$0

Sales$1.19M

Insiders trading, last 14d0 buy · 0 sell

Standing in Healthcare

Size$8.86Btop 95%
Revenue growth+51%top 5%
Net margin-48%top 89%
Return on equity-61%top 93%

Ranked against 98 Healthcare companies with a full CV — for P/E, lower ranks higher.

Skills

Six independent scores, 0–100, built from reported numbers and valuation history. Click a row to see how it was scored.

Valuation, Growth, Profitability, Quality and Moat lag behind.

Valuation35

P/E vs own history15th pct · 25/25
FCF yield-0.8% · 0/25
P/S13.2x · 5/25
EV/EBITDA30.9x · 5/25

Growth25

Revenue CAGR56.5% · 25/25
Net income CAGRn/a · 0/25
EPS CAGR ~5Yn/a · 0/25
Fwd implied growthn/a · 0/25

Profitability0

ROICn/a · 0/25
ROE-60.5% · 0/25
Net margin-47.8% · 0/25
Operating margin-33.8% · 0/25

Health71

Altman Z2.52 · 18/25
Current ratio5.90 · 25/25
Interest coverage2.0x · 3/25
Net cash / debtNet cash · 25/25

Quality15

Piotroski F5/9 · 15/25
Beneish M4.27 · 0/25
FCF conversionn/a · 0/25
Margin stabilityσ 13813.9% · 0/25

Moat0

ROIC >12% years1/9 yrs · 0/25
Median gross marginn/a · 0/25
FCF-positive years3/10 yrs · 0/25
Worst-year net marginworst -51614.6% · 0/25

How the scores work →

Experience

The company's career so far — founding, the IPO, landmark products and acquisitions, plus revenue milestones and insider buying.

FY2024Financial
Became debt-free
cash now exceeds total debt
FY2019Financial
Turned profitable
$68.0M net income after a loss year
FY2019Financial
Best year on record
$68.0M net income
Oct 31, 2018Milestone
Arrowhead Pharmaceuticals Inc. closed on a $3.7 billion license and collaboration agreement…
2015Acquisition
The company substantially expanded its intellectual property holdings through complete acquisition of the…

Achievements

Verifiable track record, straight from the reported numbers.

$10 000 invested in 2021 would be worth ~$10 000 today — price return only

$829.4M revenue in FY2025

Revenue up 16.8% year over year

711 employees

Strengths & watch-outs

What a bull and a bear would each point to. Both lists come from the reported numbers, not opinions.

Strengths

High gross margin (100.0%)
Revenue growing 16.8% year over year
Net cash position after subtracting debt from cash

Watch-outs

Not profitable — 47.8% net margin
Negative free cash flow (-$75.1M)
Thin interest coverage (2.0×)
Loss-making in 9 of the recent years

Qualifications

The basics a company should meet before you research it further. Each check uses the reported numbers.

5 of 9 checks passed

Revenue growing — the company sells more than a year ago+16.8% YoY
Profitable — makes more than it spends-$320M TTM
Profit growing — earnings are higher than last year+99.7% YoY
Generates cash — cash left after running and investing-$75.1M TTM
Debt under control — could handle its obligationsmore cash than debt
Established company — not a micro-cap — lower blow-up risk$8.86B market cap
Not printing shares — share count not ballooning — you keep your slice+32.8% shares over ~5y
Proven track record — years of profitability behind it1/10 profitable years
Financially stable — balance sheet not near distressAltman Z 2.5 — grey
Pays a dividend — returns cash to shareholdersno data
Valuation not extreme — price not wildly above earningsno data

Peer comparisonArrowhead Research Corporation vs 6 largest healthcare peers — cap, P/E, growth and margin side by sideOpen ▾

Company	Market cap	P/E	Revenue growth	Net margin	Profile
ARWR this company	$8.9B	—	+16.8%	-47.8%	Solid
LLY Eli Lilly & Co.	$1.0T	41.6	+49.6%	33.5%	Solid
JNJ Johnson & Johnson	$630.9B	29.9	+8.1%	21.5%	Mixed
ABBV Abbvie Inc.	$488.5B	77.4	+10.4%	9.8%	Mixed
MRK Merck & Co., Inc.	$361.0B	113.2	+4.6%	4.8%	Mixed
UNH UNITEDHEALTH GROUP INCORPORATED (Delaware)	$340.7B	24.1	+6.5%	3.1%	Mixed
NVS Novartis AG	$273.2B	20.3	+9.6%	24.7%	Solid

Head-to-head: ARWR vs LLY · ARWR vs JNJ · ARWR vs ABBV

References

What covering analysts publish about the company — information only, not a recommendation.

Strong buy 6Buy 13Hold 1

Appendix · Financial records

The full statements behind this CV, FY2016–FY2025. For readers who want to check the numbers.

Profit & lossRevenue $669M · net income -$320M (TTM)Open ▾

Profit & loss

Revenue and profit over the company's career — the income statement, visualised.

RevenueNet income

Revenue (TTM)

$669M

YoY 16.8%

Net income (TTM)

-$320M

Margin -47.8%

Gross margin

100.0%

Operating margin

-33.8%

Income statement — full detail

Figures in USD billions · EPS in USD

	2020	2021	2022	2023	2024	2025
Revenue	0.1	0.1	0.2	0.2	0.0	0.8
Gross profit	—	—	—	—	—	—
Operating income (EBIT)	-0.1	-0.1	-0.2	-0.2	-0.6	0.1
Net income	-0.1	-0.1	-0.2	-0.2	-0.6	-0.0
EPS (diluted)	-0.84	-1.36	-1.67	-1.92	-5.00	-0.01

Cash flowFree cash flow -$75.1M · operating cash flow -$59.1M (TTM)Open ▾

Cash flow statement

Cash generated by the business and what is left after investment — year by year.

Operating cash flowFree cash flow

Free cash flow (TTM)

-$75.1M

Margin -11.2%

Operating cash flow (TTM)

-$59.1M

FCF margin

-11.2%

Cash flow statement — full detail

Figures in USD billions

	2020	2021	2022	2023	2024	2025
Operating cash flow	-0.1	0.2	-0.1	-0.2	-0.5	0.2
Capital expenditure	-0.0	-0.0	-0.1	-0.2	-0.1	-0.0
Free cash flow	-0.1	0.1	-0.2	-0.3	-0.6	0.2
FCF margin	-122.0%	106.8%	-77.7%	-137.3%	-17018.3%	18.9%

Balance sheetAssets $1.39B · net cash $478M (FY2025)Open ▾

Balance sheet

How the balance sheet is built — what it owns versus how it is financed.

How $1.39B of assets is financed

66%

34%

Liabilities $919M — borrowed moneyEquity $466M — owners' stake

Cash vs debt

Total debt $215M − cash $693M = net cash $478M

Cash on hand covers all debt.

Altman Z-Score

2.52

Grey zone

Debt repayment

Not needed

Cash already covers all debt

Interest coverage

2.0x

EBIT ÷ interest expense

ROE

-60.5%

Profit per $1 of equity

Balance sheet — full detail

Figures in USD billions

	2020	2021	2022	2023	2024	2025
Cash & equivalents	0.2	0.3	0.0	0.3	0.6	0.7
Total assets	0.5	0.7	0.7	0.8	1.1	1.4
Total liabilities	0.1	0.3	0.3	0.5	1.0	0.9
Total debt	0.0	0.2	0.1	0.4	0.4	0.2
Equity	0.5	0.4	0.4	0.3	0.2	0.5
Net debt	-0.2	-0.2	0.1	0.1	-0.2	-0.5

Want the live picture — intraday moves, valuation history and full analysis?

Deeper analysis of ARWR on PreMarketPrice

Figures are derived from company filings (quarterly values normalised from as-filed year-to-date data where applicable) and may be delayed, restated or incomplete. This page is information, not investment advice. Latest price $62.75 · market cap $8.86B.