Phathom Pharmaceuticals (NASDAQ:PHAT) Posts Earnings Results, Beats Expectations By $0.01 EPS

Phathom Pharmaceuticals (NASDAQ:PHAT) issued its quarterly earnings data on Thursday. The company reported ($0.08) earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of ($0.09) by $0.01, FiscalAI reports. The company had revenue of $57.58 million for the quarter, compared to analysts’ expectations of $57.44 million.

Here are the key takeaways from Phathom Pharmaceuticals’ conference call:

• Strong financial results and outlook: 2025 net revenue was $175.1M (up 217% YoY) with Q4 at $57.6M, and management guides 2026 revenue of $320M–$345M and expects to reach operating profitability excluding stock-based compensation beginning in Q3 2026 and cash-flow positivity in 2027.
• Capital structure materially improved: Phathom completed a $130M equity offering in January and renegotiated its term loan (principal reduced to $175M, interest cut from 12% to 9.85%, maturity extended to Feb 2029), which management says, together with forecasted cash flow, will cover covenant and repayment needs.
• Commercial momentum in GI focus: Salesforce is nearly full (285/300), Voquezna has >1.1M prescriptions to ~230k patients, covered scripts are growing (64% of Q4 scripts), and management reports accelerating physician adoption that it believes supports multi-hundred‑million to potentially ~$1B GI opportunity over time.
• Accounting classification change to note: Phathom will reclassify ~$17M–$20M of third-party charges from gross‑to‑net to cost of goods sold in 2026, which raises reported net revenue but is expected to be largely P&L neutral for gross profit and does not affect underlying operations.
• Near-term headwinds and limited Medicare coverage: Q1 seasonality (and recent winter storms) is expected to depress early‑year prescriptions, IQVIA may underreport scripts versus internal data, and management does not expect broad Medicare coverage changes, which could constrain short‑term growth visibility.

Phathom Pharmaceuticals Stock Down 7.4%

Shares of NASDAQ PHAT traded down $1.00 during mid-day trading on Friday, reaching $12.56. 1,179,982 shares of the company were exchanged, compared to its average volume of 1,178,008. The stock has a market capitalization of $897.04 million, a PE ratio of -3.29 and a beta of 0.51. Phathom Pharmaceuticals has a 52 week low of $2.21 and a 52 week high of $18.31. The company’s 50 day moving average price is $14.40 and its 200 day moving average price is $13.46.

Wall Street Analyst Weigh In

A number of brokerages have recently issued reports on PHAT. Weiss Ratings reissued a “sell (d-)” rating on shares of Phathom Pharmaceuticals in a report on Thursday, January 22nd. Stifel Nicolaus set a $28.00 target price on shares of Phathom Pharmaceuticals in a research note on Thursday. HC Wainwright raised their price target on shares of Phathom Pharmaceuticals from $20.00 to $26.00 and gave the company a “buy” rating in a report on Friday, October 31st. Craig Hallum reaffirmed a “buy” rating and issued a $22.00 price target on shares of Phathom Pharmaceuticals in a report on Friday, October 31st. Finally, Raymond James Financial assumed coverage on Phathom Pharmaceuticals in a research report on Thursday, December 11th. They issued a “strong-buy” rating and a $28.00 price objective on the stock. One analyst has rated the stock with a Strong Buy rating, five have assigned a Buy rating, two have given a Hold rating and one has given a Sell rating to the stock. Based on data from MarketBeat, Phathom Pharmaceuticals currently has a consensus rating of “Moderate Buy” and a consensus target price of $22.25.

Key Stories Impacting Phathom Pharmaceuticals

Here are the key news stories impacting Phathom Pharmaceuticals this week:

• Positive Sentiment: Guggenheim raised its price target on PHAT from $20 to $25 and reiterated a “buy” rating — a bullish analyst view that implies material upside versus current levels. Guggenheim raises PT to $25
• Positive Sentiment: Management issued FY‑2026 revenue guidance of $320M–$345M, above consensus (~$313.8M), and reiterated that operating profitability is expected beginning Q3 2026 and for the full year — a major inflection point if achieved. Phathom outlines $320M–$345M 2026 revenue guidance
• Neutral Sentiment: Q4 2025 results: EPS loss of $0.08 beat estimates by $0.01 and Q4 revenue $57.6M slightly topped expectations; FY 2025 net revenue was $175.1M (up ~217% YoY). These operational improvements support the upbeat guidance but EPS remains negative. Company press release — Q4/FY2025 results & guidance
• Neutral Sentiment: Management hosted an earnings call (transcript and highlights available) that fleshed out commercialization progress for VOQUEZNA® (over 1.1M prescriptions filled to date) and timing assumptions behind the profitability target — useful for assessing execution risk. Earnings call transcript
• Neutral Sentiment: Previews and analyst notes ahead of/after the print (earnings previews and coverage) provide varying short‑term expectations — monitor updates for revisions ahead of next quarters. Earnings preview
• Negative Sentiment: Phathom completed a $130M equity offering and modified term debt as part of balance‑sheet actions. While this strengthens liquidity, it introduces dilution risk that can pressure the stock near term if investors focus on share count impact. Press release — equity offering and debt modification

Hedge Funds Weigh In On Phathom Pharmaceuticals

Hedge funds and other institutional investors have recently modified their holdings of the company. Virtu Financial LLC bought a new position in shares of Phathom Pharmaceuticals during the 4th quarter valued at about $258,000. Invesco Ltd. boosted its stake in Phathom Pharmaceuticals by 1.4% in the fourth quarter. Invesco Ltd. now owns 3,920,446 shares of the company’s stock worth $65,040,000 after buying an additional 55,475 shares in the last quarter. VARCOV Co. bought a new position in Phathom Pharmaceuticals during the fourth quarter valued at approximately $1,439,000. Virtus Investment Advisers LLC grew its position in Phathom Pharmaceuticals by 5.9% during the fourth quarter. Virtus Investment Advisers LLC now owns 46,937 shares of the company’s stock valued at $779,000 after acquiring an additional 2,631 shares during the last quarter. Finally, SummitTX Capital L.P. raised its stake in shares of Phathom Pharmaceuticals by 34.2% during the fourth quarter. SummitTX Capital L.P. now owns 517,820 shares of the company’s stock worth $8,591,000 after acquiring an additional 131,852 shares in the last quarter. 99.01% of the stock is currently owned by hedge funds and other institutional investors.

Phathom Pharmaceuticals Company Profile

Phathom Pharmaceuticals is a clinical‐stage biopharmaceutical company focused on developing and commercializing novel treatments for gastrointestinal (GI) diseases. The company’s core mission centers on addressing serious GI disorders by leveraging innovative mechanisms of action to improve patient outcomes. Phathom’s research and development efforts concentrate on conditions such as Helicobacter pylori infection, erosive esophagitis, gastroparesis and other functional GI disorders where significant unmet medical needs persist.

The company’s lead asset is vonoprazan, a potassium‐competitive acid blocker (P-CAB) licensed for use in the United States.