Ascendis Pharma (ASND) AI Stock Analysis

• Market Cap: $11.70B
• Dividend Yield: N/A
• Average Volume (3M): 409.61K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.76
• Revenue Growth: 55.77%
• EPS Growth: 46.81%
• Country: US
• Employees: 1,017
• Sector: Healthcare
• Sector Strength: 45
• Industry: Biotechnology
• EPS (TTM): -0.97
• Shares Outstanding: 61,151,463
• 10 Day Avg. Volume: 360,096
• 30 Day Avg. Volume: 409,614
• PEG Ratio: 0.86
• Price to Book (P/B): -72.81
• Price to Sales (P/S): 21.17
• P/FCF Ratio: -25.02
• Enterprise Value/Market Cap: 0.92
• Enterprise Value/Revenue: 24.91
• Enterprise Value/Gross Profit: 29.15
• Enterprise Value/Ebitda: -135.13
• 1Y Price Target: $250.44
• Price Target Upside: 31.99% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 16

• Rating: 61 Neutral
• Price Target: $205.00 ▲(8.04% Upside)

Ascendis Pharma's stock score is driven by strong earnings call highlights and positive technical indicators. However, financial performance and valuation concerns due to ongoing losses and reliance on debt financing weigh down the overall score.

Positive Factors

Revenue Growth

Significant revenue growth indicates strong market demand and successful product launches, supporting long-term business expansion and sustainability.

Product Pipeline

Priority review for TransCon CNP suggests potential for significant market impact, enhancing Ascendis Pharma's competitive position in treating achondroplasia.

Cash Flow Outlook

Achieving cash flow positivity will improve financial stability, reduce reliance on external financing, and support sustainable growth.

Negative Factors

Profitability Challenges

Ongoing losses and negative margins highlight profitability challenges, which may hinder long-term financial health and investment capacity.

Debt Reliance

High reliance on debt financing can strain financial flexibility and increase vulnerability to economic downturns, affecting long-term sustainability.

SG&A Expense Increase

Rising SG&A expenses due to global expansion could pressure margins and delay profitability, impacting financial performance if not managed effectively.

Ascendis Pharma Business Overview & Revenue Model

Company Description

Ascendis Pharma A/S, a biopharmaceutical company, focuses on developing therapeutics for unmet medical needs. The company offers SKYTROFA for treating patients with growth hormone deficiency (GHD). It also develops TransCon Growth Hormone (hGH) for pediatric GHD in Japan; TransCon hGH for adults with GHD; TransCon parathyroid hormone for adult hypoparathyroidism; and TransCon CNP for pediatric achondroplasia. In addition, the company develops TransCon toll like receptors 7/8 agonist for intratumoral delivery; and TransCon IL-2 ß/g for systemic delivery. The company was incorporated in 2006 and is headquartered in Hellerup, Denmark.

How the Company Makes Money

Ascendis Pharma generates revenue through the commercialization of its pharmaceutical products, primarily focusing on therapies developed using its TransCon technology. Key revenue streams include sales from its approved products, such as TransCon Growth Hormone, and potential royalties from product sales by partners. The company also engages in strategic collaborations and licensing agreements with other biopharmaceutical firms, which can provide upfront payments, milestone payments upon achieving development goals, and ongoing royalties based on future sales. Significant partnerships can enhance Ascendis Pharma's financial stability and growth prospects by expanding its market reach and leveraging the expertise of established players in the industry.

Ascendis Pharma Financial Statement Overview

Summary

Ascendis Pharma shows significant revenue growth, but faces challenges with profitability and financial stability. The company operates at a loss with negative margins and relies heavily on debt financing, posing potential risks.

Income Statement

Ascendis Pharma shows significant revenue growth with a Revenue Growth Rate of 36.3% from 2023 to 2024. However, the company continues to operate at a loss, with negative Gross Profit Margin and Net Profit Margin due to substantial R&D expenses typical in biotechnology. EBIT and EBITDA margins remain negative, indicating ongoing operating losses.

Balance Sheet

The company's financial structure is concerning, with negative Stockholders' Equity indicating accumulated losses. The Debt-to-Equity Ratio is not calculable due to negative equity, highlighting potential financial instability. The Equity Ratio is also negative, reflecting the company's reliance on debt financing.

Cash Flow

Operating Cash Flow remains negative, reflecting cash outflows from operations. However, Free Cash Flow improved slightly year-over-year, though it remains negative. The Free Cash Flow to Net Income Ratio is not favorable. There is a reliance on financing activities to support cash needs.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	432.92M	363.64M	266.72M	51.17M	7.78M	6.95M
Gross Profit	369.93M	319.38M	222.32M	39.04M	4.25M	6.95M
EBITDA	-79.81M	-290.02M	-411.17M	-529.18M	-364.64M	-407.81M
Net Income	-171.95M	-378.08M	-481.45M	-583.19M	-383.58M	-418.95M
Balance Sheet
Total Assets	1.09B	1.18B	825.59M	1.09B	1.08B	979.79M
Cash, Cash Equivalents and Short-Term Investments	494.05M	559.54M	399.44M	735.46M	682.06M	718.79M
Total Debt	792.53M	856.62M	743.06M	617.57M	209.92M	91.97M
Total Liabilities	1.28B	1.29B	971.28M	826.39M	201.29M	141.08M
Stockholders Equity	-187.57M	-105.71M	-145.70M	263.35M	883.63M	838.71M
Cash Flow
Free Cash Flow	-114.25M	-307.62M	-469.80M	-510.19M	-441.88M	-293.10M
Operating Cash Flow	-108.83M	-306.20M	-467.36M	-495.70M	-417.65M	-271.55M
Investing Cash Flow	-5.42M	6.88M	286.47M	61.73M	-110.58M	-291.20M
Financing Cash Flow	-10.96M	443.93M	134.29M	396.77M	351.39M	602.65M

Ascendis Pharma Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 189.74
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ASND, the sentiment is Neutral. The current price of 189.74 is below the 20-day moving average (MA) of 197.66, above the 50-day MA of 188.78, and above the 200-day MA of 161.66, indicating a neutral trend. The MACD of 0.79 indicates Positive momentum. The RSI at 41.92 is Neutral, neither overbought nor oversold. The STOCH value of 35.20 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for ASND.

Ascendis Pharma Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
UTHR	77 Outperform	19.84B	16.61	18.55%	―	17.62%	19.89%
BMRN	76 Outperform	10.32B	15.58	10.90%	―	17.38%	153.58%
EXEL	76 Outperform	10.47B	18.56	29.62%	―	10.73%	81.66%
ASND	61 Neutral	$11.70B	―	357.68%	―	55.77%	46.81%
BBIO	58 Neutral	9.68B	-11.97	43.43%	―	7.62%	-55.29%
MDGL	56 Neutral	9.51B	-32.92	―	―	3421.98%	49.62%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%

Ascendis Pharma Corporate Events

Ascendis Pharma Grants Employee Warrants to Boost Engagement

On September 9, 2025, Ascendis Pharma’s board of directors granted 33,890 warrants to certain employees, allowing them to subscribe for ordinary shares at an exercise price of $202.91 per share. This move is part of the company’s strategy to incentivize employees and align their interests with company growth, with 25% of the warrants vesting after one year and the rest vesting monthly over the following three years. This grant leaves 1,825,983 shares available for future warrant grants, potentially impacting the company’s share capital structure and employee retention strategies.

Ascendis Pharma Grants Employee Warrants to Foster Growth

On August 12, 2025, Ascendis Pharma’s board of directors granted 28,480 warrants to certain employees, allowing them to subscribe for ordinary shares at an exercise price of $195.98 per share. This move, which involved amending the company’s Articles of Association, reflects Ascendis Pharma’s ongoing commitment to incentivize its workforce and align employee interests with company growth. The vesting schedule for these warrants is structured to encourage long-term service, with 25% vesting after one year and the remainder vesting monthly over the following three years. This strategic decision leaves 1,859,873 shares available for future warrant grants, indicating the company’s preparedness for continued expansion and employee engagement.

Ascendis Pharma Reports Increased Revenue but Sustained Losses in H1 2025

On August 7, 2025, Ascendis Pharma released its unaudited condensed consolidated interim financial statements for the period ending June 30, 2025. The report highlights a significant increase in revenue compared to the previous year, reaching EUR 258,998,000 for the first half of 2025. Despite this growth, the company reported a net loss of EUR 133,482,000 for the same period, attributed to high research and development expenses and selling, general, and administrative costs. This financial performance may impact the company’s strategic decisions and stakeholder confidence moving forward.

Ascendis Pharma Reports Strong Q2 2025 Results and Advances Key Therapies

Ascendis Pharma announced its financial results for the second quarter of 2025, reporting a significant revenue increase to €158.0 million, driven by strong sales of YORVIPATH® and SKYTROFA®. The company is advancing its pipeline with the FDA’s priority review of TransCon CNP for treating achondroplasia, and the recent approval of SKYTROFA® for adult growth hormone deficiency. These developments are expected to enhance Ascendis Pharma’s market position and financial profile as it continues to address unmet medical needs in rare endocrine diseases.

Ascendis Pharma Gains FDA Approval for Adult Growth Hormone Therapy

On July 28, 2025, Ascendis Pharma announced that the U.S. FDA approved SKYTROFA for the treatment of adult growth hormone deficiency, expanding its use beyond pediatric cases. This approval, based on a successful Phase 3 trial, marks a significant milestone for the company and could enhance its market position in the endocrine disorder treatment sector. Additionally, Ascendis plans to initiate trials for several other conditions in the fourth quarter of 2025, indicating a robust pipeline and potential future growth.

Ascendis Pharma Grants Warrants to Employees to Boost Engagement

On July 8, 2025, Ascendis Pharma’s board of directors granted 25,020 warrants to certain employees, allowing them to subscribe for ordinary shares at an exercise price of $168.17 per share. This move is part of the company’s strategy to incentivize employees and align their interests with company growth. Following this grant, 1,888,353 additional shares remain available for future warrant grants, indicating the company’s ongoing commitment to employee engagement and retention.

Ascendis Pharma Closes Warrant Exercise Window, Boosts Share Capital

On June 27, 2025, Ascendis Pharma A/S closed an exercise window for its outstanding warrants, resulting in the issuance of 180,898 new ordinary shares. This action increased the company’s share capital to a nominal DKK 61,151,463, with an average cash consideration of approximately USD $80.61 per share. The increase in share capital reflects the company’s strategic efforts to enhance its financial standing and support its ongoing operations, potentially strengthening its position in the biopharmaceutical industry.