Arrowhead Pharmaceuticals (NASDAQ:ARWR) Announces Quarterly Earnings Results, Misses Expectations By $0.13 EPS

Arrowhead Pharmaceuticals (NASDAQ:ARWR) posted its earnings results on Tuesday. The biotechnology company reported ($1.36) EPS for the quarter, missing analysts’ consensus estimates of ($1.23) by ($0.13), FiscalAI reports. Arrowhead Pharmaceuticals had a negative net margin of 47.79% and a negative return on equity of 57.65%. The business had revenue of $75.25 million during the quarter, compared to analysts’ expectations of $44.17 million. During the same quarter in the prior year, the firm earned ($1.26) EPS. Arrowhead Pharmaceuticals’s revenue for the quarter was up 171.0% compared to the same quarter last year.

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

• Phase III SHASTA-3 and SHASTA-4 both met all primary and prespecified secondary endpoints, with median triglyceride reductions of 79% and 81% and a 78% reduction in pooled acute pancreatitis events versus placebo. Arrowhead reported a 100% reduction in events among the highest-risk subgroup, though detailed data remain subject to the upcoming ESC presentation.
• REDEMPLO’s U.S. FCS launch continued to gain traction, with prescriptions more than doubling sequentially, over 400 unique prescribers, and approximately $2.4 million in quarterly commercial revenue. The company also reported approvals in Australia and the European Union, expanding its approved footprint to five geographies.
• Arrowhead acquired a priority review voucher for $215 million, which it expects could shorten FDA review of the planned SHTG supplemental NDA from 10 months to six months. The company plans to submit the sNDA by the end of 2026 and is preparing to expand its field organization from about 5,000 to more than 20,000 healthcare-provider targets.
• The pipeline has several potential catalysts, including September data for ARO-DIMER-PA and the ARO-MAPT CNS delivery program, plus fourth-quarter updates for ARO-INHBE and ARO-ALK7. Management expects 23 candidates in clinical trials by year-end, but most programs remain early-stage and carry substantial development risk.
• Arrowhead’s quarterly net loss widened to $194.3 million from $175.2 million year over year, while operating expenses rose to approximately $245 million as R&D and commercialization investments increased. The company held about $1.6 billion in cash and investments, but expects continued spending on clinical development, regulatory work, manufacturing, and potential SHTG launch preparation.

Arrowhead Pharmaceuticals Trading Up 0.5%

NASDAQ ARWR traded up $0.46 during trading on Thursday, reaching $87.37. 47,648 shares of the stock traded hands, compared to its average volume of 2,443,291. The stock’s 50-day moving average price is $79.63 and its 200 day moving average price is $71.16. The company has a quick ratio of 6.23, a current ratio of 6.23 and a debt-to-equity ratio of 1.41. The firm has a market cap of $12.31 billion, a price-to-earnings ratio of -38.85 and a beta of 1.27. Arrowhead Pharmaceuticals has a fifty-two week low of $15.01 and a fifty-two week high of $95.49.

Wall Street Analysts Forecast Growth

ARWR has been the subject of several analyst reports. Morgan Stanley upped their target price on Arrowhead Pharmaceuticals from $100.00 to $120.00 and gave the company an “overweight” rating in a research note on Thursday, July 23rd. Piper Sandler restated an “overweight” rating and set a $126.00 price objective (up from $110.00) on shares of Arrowhead Pharmaceuticals in a research note on Thursday, July 23rd. Wall Street Zen raised Arrowhead Pharmaceuticals from a “sell” rating to a “hold” rating in a research note on Saturday, June 27th. Chardan Capital lifted their target price on shares of Arrowhead Pharmaceuticals from $90.00 to $115.00 and gave the stock a “buy” rating in a research report on Wednesday, July 22nd. Finally, Leerink Partners lifted their price objective on shares of Arrowhead Pharmaceuticals from $61.00 to $72.00 and gave the stock a “market perform” rating in a research report on Wednesday, June 17th. Nine analysts have rated the stock with a Buy rating, three have given a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat, the company has a consensus rating of “Moderate Buy” and a consensus price target of $96.92.

Insider Activity

In other news, Director Hongbo Lu sold 2,970 shares of the company’s stock in a transaction that occurred on Tuesday, May 12th. The shares were sold at an average price of $76.88, for a total value of $228,333.60. Following the completion of the transaction, the director owned 52,012 shares in the company, valued at $3,998,682.56. This represents a 5.40% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Corporate insiders own 3.60% of the company’s stock.

Institutional Trading of Arrowhead Pharmaceuticals

Institutional investors have recently modified their holdings of the company. iSAM Funds UK Ltd bought a new stake in shares of Arrowhead Pharmaceuticals in the third quarter worth $29,000. Kestra Advisory Services LLC acquired a new stake in Arrowhead Pharmaceuticals in the fourth quarter valued at $144,000. Smartleaf Asset Management LLC raised its holdings in shares of Arrowhead Pharmaceuticals by 71.6% in the 4th quarter. Smartleaf Asset Management LLC now owns 2,903 shares of the biotechnology company’s stock valued at $195,000 after purchasing an additional 1,211 shares during the period. Vise Technologies Inc. bought a new stake in Arrowhead Pharmaceuticals in the fourth quarter valued at approximately $268,000. Finally, Quadrant Capital Group LLC bought a new stake in Arrowhead Pharmaceuticals in the 3rd quarter valued at $140,000. 62.61% of the stock is currently owned by institutional investors.

Arrowhead Pharmaceuticals Company Profile

Arrowhead Pharmaceuticals, Inc is a clinical-stage biopharmaceutical company focused on the discovery, development and commercialization of RNA interference (RNAi) therapeutics. Since its founding in 2008, Arrowhead has leveraged its proprietary delivery platform—known internally as the Advanced RNAi Compound (ARC) technology—to silence disease-causing genes in patients suffering from genetically defined diseases. The company’s approach aims to offer durable, targeted treatments across a range of therapeutic areas.

The company’s pipeline includes multiple candidates in various stages of development.