
Arrowhead Pharmaceuticals ARWR
107.23 USD (+74.4%)
13 analysts
What does it do?
Arrowhead Pharmaceuticals is a clinical-stage biotech developing RNA interference (RNAi) therapies for liver, cardiovascular, and pulmonary diseases, with no marketed products and revenues dependent on collaboration and licensing agreements.
Key points
from its scores- ✓Strong growth10.0
- ✓Good share-price trend9.8
- ✕Demanding valuation0.8
- ✕Little or no dividend1.5
- ✕Little competitive advantage3.3
AI analysis
bottom line, main risk, context and newsThe pipeline potential and solid balance sheet justify interest, but the lack of profits and dependence on binary regulatory milestones make the risk too high for an entry without clear catalysts.
Arrowhead is a high-risk, high-reward biotech: no profits (operating margin -226%), but 171% revenue growth and a healthy balance sheet (liquidity 5.90, net debt/EBITDA 1.09) to fund its pipeline. The 134% momentum reflects expectations for its clinical trials, but the valuation (FCF yield -0.56) prices in a success not yet reflected in cash.
The main risk is regulatory and clinical trial-related: a failure in a late-stage study or an FDA rejection could sink the stock, as its value depends on binary events rather than an ongoing business.
Context and risks
Clinical-stage biotech: value depends on trial results and FDA regulatory approvals, binary events that can sink or boost the stock. The country of domicile (US) has moderate governance risk, but the main risk is sector-specific regulatory, not jurisdictional.
Is Arrowhead Pharmaceuticals stock cheap or expensive?
at the analysis dateOn Price / sales, it trades 279% above the Healthcare median.
| Multiple | Company | Sector | Difference |
|---|---|---|---|
| Price / book | 18.6 | 4.1 | +354% |
| Price / sales | 12.9 | 3.4 | +279% |
Sector: median of the 217 Healthcare companies analysed. In bold, the multiples used for the comparison.
Valuation score: 0.8 out of 10 (median for Healthcare: 4.7).
Average analyst target: 107.23 USD, +74.4% versus the price.
A premium can be justified if the company is of higher quality or grows faster than its sector: Quality / Moat 3.3 (sector 5.5), Growth 10.0 (sector 6.6).
Work out its fair value yourself →How much would you have made investing every month? →
Comparing it with its sector does not say whether it is a good buy: this is not investment advice.
Score by category
0 to 10 · hover overtap each one to see what it measuresKey metrics
at the analysis date · compared with the Healthcare medianValuation
- Forward P/E
- −12.5
- EV / EBITDA
- −42.2
- Price / book
- 18.6
- Price / sales
- 12.9
- Market cap
- 8.7B USD
- Enterprise value
- 8.5B USD
Profitability
- ROE
- −55.2%
- ROA
- −8.1%
- ROIC (approx.)
- −82.1%
- Gross margin
- 100.0%
- Operating margin
- −226.0%
- Net margin
- −47.8%
- Free cash flow
- −48.6M USD
- FCF yield
- −0.6%
Solvency
- Total debt
- 1.4B USD
- Net debt
- −218.5M USD
- Cash
- 1.6B USD
- EBITDA
- −200.6M USD
- Net debt / EBITDA
- 1.09
- Debt / equity
- 295.98
- Current ratio
- 5.90
- Quick ratio
- 5.71
Growth
- Revenue growth
- +171.0%
- EPS (TTM)
- −2.28 USD
- EPS (forward)
- −4.93 USD
Dividend
- Dividend yield
- 0.0%
- Payout
- 0.0%
Risk and market
- Beta
- 1.30
- Analyst consensus
- Strong buy (13)
- Target price
- 107.23 USD
- 52-week range
- 34.61 – 95.49
Recent news
All ARWR news →Compare it with its sector
All 217 in Healthcare →Frequently asked questions about Arrowhead Pharmaceuticals
Is Arrowhead Pharmaceuticals stock cheap or expensive?
On Price / sales, it trades 279% above the Healthcare median. Valuation score: 0.8 out of 10 (median for Healthcare: 4.7). Average analyst target: 107.23 USD, +74.4% versus the price. This is not investment advice.
What score does Arrowhead Pharmaceuticals get on MeridIAn Screener?
It scores 4.5 out of 10, rank 1,867 of 2,130 (better than 11% of the companies analysed). Its strongest category is Growth (10.0) and its weakest, Valuation (0.8). Analysis of 08/10/2026.
How much is Arrowhead Pharmaceuticals worth on the stock market?
Its market capitalisation is 8.7B USD and its enterprise value, debt included, is 8.5B USD.
How much debt does Arrowhead Pharmaceuticals have?
It has more cash than debt: net cash of 218.5M USD.
Does Arrowhead Pharmaceuticals pay a dividend?
It pays no dividend, or almost none.
How has Arrowhead Pharmaceuticals stock performed over the last year?
It has risen 73.6% over the last year, excluding dividends. Over the last 52 weeks it has traded between 34.61 and 95.49 USD. Past performance does not guarantee future results.
What do analysts think of Arrowhead Pharmaceuticals?
13 analysts cover it; their average recommendation is “Strong buy” and their average target is 107.23 USD (+74.4% versus the price). It is an estimate, not market data.
