Arrowhead Pharmaceuticals (ARWR) Stock Fundamentals, Analysis & Risk Signals

Health score, price, valuation, risk signals, and key metrics at a glance.

Arrowhead Pharmaceuticals

NasdaqGS•Healthcare•Biotechnology

$82.85+0.09(<0.01%)Market closed

Market Cap

$9.62B

P/S

14.4x

P/B

20.7x

Arrowhead Pharmaceuticals, Inc. develops medicines for the treatment of intractable diseases in the United States. Its pipeline includes Plozasiran to reduce production of apolipoprotein C-III in Phase 3 studies; Zodasiran to reduce production of angiopoietin-like protein 3 in Phase 3 clinical trials; ARO-DIMER-PA, a dual functional RNAi molecule in a Phase 1/2a clinical trials; and ARO-PNPLA3, an investigational RNAi therapeutic in Phase 1 clinical trials. The company also develops ARO-INHBE, to reduce the hepatic expression of the INHBE gene and its secreted gene product, Activin E in Phase 1/2a clinical trials; ARO-ALK7 to silence adipocyte expression of the ACVR1C gene in Phase 1/2a clinical trials; ARO-RAGE to reduce production of the receptor for advanced glycation end products in Phase 1/2a clinical trials; and ARO-MAPT, an investigational RNAi-based therapy. In addition, it is developing ARO-C3 to reduce production of C3 in Phase 1/2a clinical trials; and ARO-CFB to reduce hepatic expression of CFB in a Phase 1/2a clinical trials. The company has collaboration and license Agreements with Glaxosmithkline Intellectual Property (No. 3) Limited; Takeda Pharmaceutical Company Limited; Amgen Inc.; and Sarepta Therapeutics, Inc. Arrowhead Pharmaceuticals, Inc. was founded in 2003 and is headquartered in Pasadena, California.

How this company scores

AverageMetricSide Score: 42/100

Strongest: Growth (16/25); weakest: Profitability (4/25).

Profitability4/25

Growth16/25

Balance Sheet & Red Flags12/25

Cash & Earnings Quality10/25

Strengths

Growing revenueConsistent growth

Valuation vs. 5-year range

Today's multiple positioned against its own trailing range — a visual premium/discount check.

P/E · 45.6x5y range 45.6x – 45.6x

P/S · 14.4x5y range 3.1x – 929.4x

Currently near its 20-quarter median.

P/B · 20.7x5y range 2.5x – 44.2x

Watch items

Data-driven signals worth keeping an eye on across the last 8 quarters

High Risk

Margin Pressure

Red Flag

The company posted negative operating margins in recent quarters — core operations are unprofitable.

Earnings Quality

Red Flag

Free cash flow has been negative in 4 of the last 8 quarters — earnings are not translating to cash.

Price & Volume

Market Cap $9.62B

Metrics at a Glance

as of June 2026

Revenue & Profit

Revenue, EBITDA, operating income, net income, EPS, and shares

TTM Revenue: $669.50M
Q. Revenue: $75.25M
TTM EBITDA: $-202.34M
TTM Op. Income: $-226.44M
Q. Op. Income: $-170.09M
TTM Net Income: $-319.95M
Q. Net Income: $-194.28M
EPS: $-1.36
Shares Out.: $143.38M

$669.50M in TTM revenue grew 16.8% YoY, reaching $75.25M last quarter. TTM EBITDA of $-202.34M and TTM operating income of $-226.44M show growth is flowing through to the bottom line. However, net income is negative at $319.95M — growth is not yet reaching the bottom line. Over the past year, TTM revenue is up 17% — an improving trend.

Margins

Gross, EBITDA, operating, and net margin trends

EBITDA Margin: -217.8%
Op. Margin: -226.0%
Net Margin: -258.2%

Op. margin of -226.0% is up 370.2% YoY — cost efficiency is improving. Net margin at -258.2% Across the last 8 quarters, operating margin has fallen for 3 consecutive quarters — a weakening trend.

Price Ratios

P/E, P/S, P/B, EV/EBITDA, FCF yield, and earnings yield

P/E Ratio: N/A
P/S Ratio: 14.4x
P/B Ratio: 20.7x

P/S of 14.4x and P/B of 20.7x. P/S is high, meaning growth expectations are priced in.

Assets & Liabilities

Total assets, cash, debt, book value, and leverage

Total Assets: $2.11B
Cash: $54.76M
Long-Term Debt: $682.71M
Book Value: $465.53M
D/E Ratio: 1.5
Debt/EBITDA: N/A

With $2.11B in assets and $682.71M in long-term debt, D/E is 1.5and book value is $465.53M — moderate leverage. Over the past year, debt/equity is up 0% — a weakening trend.

Cash Flow

Operating cash flow, free cash flow, FCF margin, and earnings quality

Op. Cash Flow: $-177.47M
TTM Free Cash Flow: $-75.11M
FCF Margin: -11.2%
FCF / Net Income: 0.2

TTM FCF of $-75.11M on $-177.47M in operating cash flow. The FCF / Net Income ratio of 0.2x means cash covers only part of net income — earnings quality needs attention. Across the last 8 quarters, free cash flow has fallen for 2 consecutive quarters — a weakening trend.