Zevra Therapeutics (ZVRA) AI Stock Analysis

• Market Cap: $511.74M
• Dividend Yield: N/A
• Average Volume (3M): 2.44M
• Price to Earnings (P/E): 14.0
• Beta (1Y): 0.67
• Revenue Growth: 240.47%
• EPS Growth: N/A
• Country: US
• Employees: 59
• Sector: Healthcare
• Sector Strength: 45
• Industry: Biotechnology
• EPS (TTM): -0.01
• Shares Outstanding: 56,297,535
• 10 Day Avg. Volume: 2,552,948
• 30 Day Avg. Volume: 2,436,184
• PEG Ratio: -0.05
• Price to Book (P/B): 9.72
• Price to Sales (P/S): 16.34
• P/FCF Ratio: -5.54
• Enterprise Value/Market Cap: 0.67
• Enterprise Value/Revenue: 4.06
• Enterprise Value/Gross Profit: 5.03
• Enterprise Value/Ebitda: 4.90
• 1Y Price Target: $23.00
• Price Target Upside: 161.07% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 7
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 61 Neutral
• Price Target: $9.50 ▲(7.83% Upside)

Zevra Therapeutics' overall score is driven by strong earnings call performance and reasonable valuation. However, financial performance issues, particularly in profitability and cash flow, along with bearish technical indicators, weigh down the score.

Positive Factors

Revenue Growth

Sustained revenue growth indicates successful product adoption and market penetration, supporting long-term financial health and expansion.

European Market Expansion

Expanding into the European market could significantly increase Zevra's patient base and revenue potential, enhancing its global footprint.

Robust Financial Position

A strong cash position provides Zevra with the financial flexibility to invest in strategic priorities and withstand industry challenges.

Negative Factors

Profitability Challenges

Persistent profitability issues can hinder reinvestment in R&D and limit competitive positioning, affecting long-term growth potential.

Negative Cash Flows

Negative cash flows can strain liquidity and operational flexibility, potentially impacting the company's ability to fund future growth initiatives.

Slow Trial Enrollment

Slow trial enrollment can delay product development timelines, affecting future revenue streams and competitive advantage in the market.

Zevra Therapeutics Business Overview & Revenue Model

Company Description

Zevra Therapeutics, Inc., a rare disease company melding science, discovers and develops various proprietary prodrugs to treat serious medical conditions in the United States. The company utilizes its Ligand Activated Therapy technology to generate improved prodrug versions of FDA-approved drugs, as well as to generate prodrug versions of existing compounds that may have applications for new disease indications. Its prodrug product candidate pipeline is focused on the high need areas of attention deficit hyperactivity disorder, stimulant use disorder, and CNS rare diseases, including idiopathic hypersomnia (IH). The company's lead product candidate KP1077, which is under Phase II clinical trial for the treatment of IH and narcolepsy, is based on its prodrug of d-methylphenidate, known as serdexmethylphenidate. It is also developing KP879, a prodrug product candidate for the treatment of stimulant use disorder and is under Phase II clinical trial. In addition, the company has received FDA approval for AZSTARYS, a once-daily treatment for attention deficit hyperactivity disorder in patents age six years and older, and for APADAZ, an immediate-release combination product containing benzhydrocodone, a prodrug of hydrocodone, and acetaminophen. The company's product pipeline include, arimoclomol It has collaboration and license agreement with KVK-Tech, Inc. and Commave Therapeutics SA. The company was formerly known as KemPharm, Inc. and changed its name to Zevra Therapeutics, Inc. in February 2023. Zevra Therapeutics, Inc. was incorporated in 2006 and is headquartered in Celebration, Florida.

How the Company Makes Money

Zevra Therapeutics generates revenue primarily through the commercialization of its pharmaceutical products, which involves selling approved therapies to healthcare providers and patients. The company may also engage in licensing agreements and partnerships with larger pharmaceutical companies for the co-development and distribution of its drugs, providing additional revenue streams through upfront payments, milestone payments, and royalties on future sales. Additionally, funding from government grants and research institutions to support clinical trials can contribute to its earnings. As Zevra advances its drug candidates through clinical trials and regulatory approvals, successful product launches and market penetration are critical for driving its financial performance.

Zevra Therapeutics Financial Statement Overview

Summary

Zevra Therapeutics shows strong revenue growth, but profitability and cash flow challenges persist. The balance sheet reflects improved leverage, yet low returns on equity and negative cash flows hinder overall financial health.

Income Statement

Zevra Therapeutics shows a strong revenue growth rate of 36.07% in the TTM, indicating positive momentum. However, the company struggles with profitability, as evidenced by negative EBIT and EBITDA margins. The net profit margin has improved to 4.26% in the TTM, a significant recovery from previous negative margins, suggesting better cost management or revenue mix.

Balance Sheet

The company's debt-to-equity ratio has improved to 0.53 in the TTM, reflecting a more balanced capital structure compared to previous years. However, the return on equity remains low at 3.95%, indicating limited profitability relative to shareholder equity. The equity ratio is stable, suggesting a solid asset base.

Cash Flow

Zevra Therapeutics faces challenges with negative operating and free cash flows, which have deteriorated further in the TTM. The free cash flow to net income ratio is slightly above 1, indicating that the company is generating enough free cash flow relative to net income, but the negative growth in free cash flow is concerning.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	84.39M	23.61M	27.46M	10.16M	28.65M	13.29M
Gross Profit	68.06M	16.20M	24.52M	9.94M	26.59M	11.98M
EBITDA	69.88M	-76.40M	-43.54M	-25.53M	-7.89M	-5.43M
Net Income	34.46M	-105.51M	-46.05M	-26.77M	-8.55M	-12.76M
Balance Sheet
Total Assets	270.12M	178.13M	172.33M	115.53M	132.94M	11.21M
Cash, Cash Equivalents and Short-Term Investments	54.44M	69.50M	67.74M	82.85M	112.35M	4.21M
Total Debt	62.72M	60.30M	43.77M	14.12M	1.61M	70.35M
Total Liabilities	136.95M	138.46M	110.46M	40.22M	5.82M	77.62M
Stockholders Equity	133.16M	39.67M	61.86M	75.12M	127.12M	-66.41M
Cash Flow
Free Cash Flow	-24.23M	-69.67M	-33.83M	-18.81M	10.34M	-1.97M
Operating Cash Flow	-23.36M	-69.67M	-33.53M	-18.72M	10.44M	-1.94M
Investing Cash Flow	12.43M	-22.16M	-17.39M	-36.72M	-15.52M	-33.00K
Financing Cash Flow	10.31M	82.11M	28.46M	8.35M	113.11M	2.74M

Zevra Therapeutics Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 8.81
• 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 ZVRA, the sentiment is Negative. The current price of 8.81 is below the 20-day moving average (MA) of 10.50, below the 50-day MA of 9.56, and below the 200-day MA of 8.99, indicating a bearish trend. The MACD of -0.14 indicates Positive momentum. The RSI at 35.71 is Neutral, neither overbought nor oversold. The STOCH value of 16.59 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for ZVRA.

Zevra Therapeutics Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ZVRA	61 Neutral	$511.74M	13.97	34.81%	―	240.47%	―
PRTA	52 Neutral	$542.61M	-2.03	-67.63%	―	-91.16%	-112.24%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
LXRX	49 Neutral	$483.32M	-3.99	-45.92%	―	1255.21%	74.58%
OCGN	47 Neutral	$446.60M	―	-289.93%	―	14.26%	-23.34%
SLDB	44 Neutral	$328.39M	―	-86.83%	―	―	17.88%
CRVS	41 Neutral	$584.01M	―	-35.82%	―	―	79.27%

Zevra Therapeutics Corporate Events

Zevra Therapeutics Reports Strong Q3 Earnings and Strategic Growth

The recent earnings call of Zevra Therapeutics, Inc. painted a picture of strong performance and strategic advancements, particularly highlighting the success of MIPLYFFA. Despite facing challenges with OLPRUVA and slow enrollment in the DiSCOVER trial, the company maintains a robust financial position, which supports its future strategic goals.

Zevra Therapeutics Reports Strong Q3 2025 Revenue Growth

Zevra Therapeutics, Inc. is a commercial-stage company dedicated to developing therapies for rare diseases, with a focus on innovative, data-driven strategies to address unmet medical needs.

Zevra Therapeutics Faces $58.7 Million Impairment Charge, Raising Concerns Over Financial Stability

Zevra Therapeutics, Inc. has recently recognized an impairment charge of $58.7 million related to its definite-lived intangible assets for the quarter ending June 30, 2025. This financial adjustment highlights the potential risk of further impairments, which could adversely impact the company’s operating results. The evaluation of potential impairment involves significant judgment, considering factors such as changes in asset utilization, economic trends, and performance metrics. Future impairments could arise from these variables, posing a risk to the company’s financial stability.

Zevra Therapeutics’ Earnings Call: Optimism Amid Challenges

Zevra Therapeutics, Inc. recently held its earnings call, revealing a cautiously optimistic outlook for the company. The discussion highlighted strong revenue growth and strategic transactions, particularly the successful launch of MIPLYFFA and efforts to expand into the European market. However, challenges such as limited adoption of OLPRUVA and related financial impairments were also noted, tempering the overall positive sentiment.

Zevra Therapeutics Reports Strong Q2 2025 Results

Zevra Therapeutics, Inc. is a commercial-stage company dedicated to developing therapies for rare diseases, leveraging unique data-driven strategies to address complex drug development challenges.