Emmaus Life Sciences (EMMA) AI Stock Analysis

• Market Cap: $593.95K
• Dividend Yield: N/A
• Average Volume (3M): 64.83K
• Price to Earnings (P/E): ―
• Beta (1Y): 55.15
• Revenue Growth: -29.92%
• EPS Growth: 36.90%
• Country: US
• Employees: 34
• Sector: Healthcare
• Sector Strength: 45
• Industry: Biotechnology
• EPS (TTM): -0.02
• Shares Outstanding: 63,865,570
• 10 Day Avg. Volume: 57,337
• 30 Day Avg. Volume: 64,830
• PEG Ratio: >-0.01
• Price to Book (P/B): >-0.01
• Price to Sales (P/S): 0.03
• P/FCF Ratio: -0.23
• Enterprise Value/Market Cap: 54.44
• Enterprise Value/Revenue: 2.31
• Enterprise Value/Gross Profit: 2.50
• Enterprise Value/Ebitda: 20.18
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

• Rating: 39 Underperform
• Price Target: $0.00 ▼(-100.00% Downside)

The overall stock score is primarily impacted by significant financial challenges, including declining revenues and persistent losses. Technical analysis indicates a bearish trend, and valuation metrics highlight ongoing profitability issues. These factors collectively suggest a high-risk investment with limited upside potential.

Emmaus Life Sciences Business Overview & Revenue Model

Company Description

Emmaus Life Sciences, Inc. is a biotechnology company focused on the development and commercialization of innovative therapies for rare diseases. The company primarily targets sickle cell disease and other hematologic disorders, offering its lead product, Endari, which is an FDA-approved treatment aimed at reducing the frequency of painful crises associated with sickle cell disease. Emmaus operates within the biotechnology sector, leveraging its expertise in drug development and patient care to improve the quality of life for individuals affected by these conditions.

How the Company Makes Money

Emmaus Life Sciences generates revenue primarily through the sale of its pharmaceutical products, with Endari being its main revenue driver. The company sells Endari directly to pharmacies and healthcare providers, and it may also benefit from reimbursement arrangements with insurance companies that cover the cost of the medication for patients. Additionally, Emmaus may pursue strategic collaborations, partnerships, or licensing agreements with other pharmaceutical companies to enhance its product portfolio or expand market reach, which can provide supplementary income. The company may also explore grants or funding opportunities for research and development to support its ongoing projects, contributing to its overall financial health.

Emmaus Life Sciences Financial Statement Overview

Summary

Emmaus Life Sciences faces significant financial challenges with declining revenues and persistent losses. Despite a high gross profit margin indicating operational efficiency, the negative net income and equity position highlight ongoing financial instability. High leverage and negative cash flows pose risks to financial health and long-term viability.

Income Statement

The company has experienced a significant decline in revenue from $29.6 million in 2023 to $16.7 million in 2024, indicating a negative revenue growth rate. Gross profit margin remains high at approximately 92.8% in 2024, suggesting efficient cost management. However, the net profit margin is deeply negative due to substantial net losses, highlighting ongoing profitability challenges.

Balance Sheet

The balance sheet shows high leverage with a negative equity position, as indicated by a debt-to-equity ratio that cannot be calculated meaningfully due to negative equity. The substantial total debt of $33.1 million in 2024 is concerning given the negative stockholders' equity, suggesting financial instability and potential solvency risks.

Cash Flow

Operating cash flow is consistently negative, though the free cash flow improved slightly from -$1.52 million in 2023 to -$2.30 million in 2024. The operating cash flow to net income ratio suggests that cash outflows are less than the net losses, reflecting some control over cash management despite ongoing cash burn.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	13.99M	16.65M	29.60M	18.39M	20.61M	23.17M
Gross Profit	12.91M	15.45M	28.25M	15.80M	17.30M	20.92M
EBITDA	1.60M	-910.00K	3.62M	-5.50M	-12.76M	7.02M
Net Income	-3.39M	-6.45M	-3.73M	-10.63M	-15.95M	1.35M
Balance Sheet
Total Assets	23.34M	23.60M	35.18M	48.23M	56.73M	59.27M
Cash, Cash Equivalents and Short-Term Investments	886.00K	1.39M	2.55M	2.02M	2.28M	2.49M
Total Debt	32.39M	33.13M	32.65M	25.10M	29.91M	18.99M
Total Liabilities	79.05M	80.08M	82.94M	82.32M	78.18M	64.69M
Stockholders Equity	-55.70M	-56.48M	-47.76M	-34.09M	-21.45M	-5.42M
Cash Flow
Free Cash Flow	-2.14M	-2.30M	-1.52M	-5.10M	-1.33M	-28.63M
Operating Cash Flow	-2.14M	-2.29M	-1.50M	-5.07M	-1.25M	-2.45M
Investing Cash Flow	2.17M	2.50M	-432.00K	-2.39M	-6.38M	5.47M
Financing Cash Flow	-694.00K	-1.35M	2.48M	7.23M	7.41M	-2.31M

Emmaus Life Sciences Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.01
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For EMMA, the sentiment is Negative. The current price of 0.01 is below the 20-day moving average (MA) of 0.01, below the 50-day MA of 0.01, and below the 200-day MA of 0.02, indicating a bearish trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 47.64 is Neutral, neither overbought nor oversold. The STOCH value of 13.33 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for EMMA.

Emmaus Life Sciences Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SCNI	―	$1.19M	0.29	―	―	306.41%	―
Sector *	―	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
EMMA	―	$593.95K	-0.14	―	―	-29.92%	36.90%
DRMA	―	$2.73M	-0.10	-231.27%	―	―	85.78%