Enanta Pharma.

Enanta lost money at a -130.7% operating margin on just $65 million of annual revenue.

If you own Enanta, you own a tiny biotech living off one royalty stream and a very expensive pipeline.

enta

healthcare small cap updated feb 27, 2026
$13.85
market cap ~$369M · 52-week range $4–$17
xvary composite: 34 / 100 · weak
our overall rating — combines growth, value, risk, and momentum
Start here if you're new
what it is
Enanta discovers virus drugs, collects royalties from AbbVie’s hepatitis C treatment, and burns cash funding new trials.
how it gets paid
Last year Enanta Pharma made $65M in revenue. hepatitis c royalty revenue was the main engine at $52M, or 80% of sales.
why growth slowed
Revenue fell 3.4% last year. $19M matters because it shows revenue is still small relative to the cost structure.
what just happened
Latest quarter revenue reached $19M, while EPS improved to -$0.42 from a deeper loss a year earlier.
At a glance
C+ balance sheet — struggling to keep the lights on
25/100 earnings predictability — expect surprises
-$3.84 fy2025 eps est
~$65M fy2026 rev est
n/a operating margin
xvary composite: 34/100 — weak
What they do
Enanta discovers virus drugs, collects royalties from AbbVie’s hepatitis C treatment, and burns cash funding new trials.
The moat is chemistry know-how plus one real commercial win. Enanta discovered glecaprevir, which sits inside AbbVie’s MAVYRET and MAVIRET, marketed since 2017. That gives you proof the science can reach the market, even while the company stays small at just 120 employees.
healthcare small-cap biotech royalty-revenue drug-development
How they make money
$65M annual revenue · their business grew -3.4% last year
hepatitis c royalty revenue
$52M
3.4%
respiratory syncytial virus revenue
$6M
+10.0%
immunology program revenue
$4M
flat
other virology and collaboration revenue
$3M
flat
The products that matter
clinical-stage antiviral program
RSV Program (EDP-323)
phase 2b data expected in 2026
this is the lead catalyst. with the whole company valued at $369M and generating only $65M of trailing revenue, a successful readout would matter a lot.
lead catalyst
clinical-stage antiviral program
Hepatitis B Program
pipeline value, not current sales
this asset matters because the current business is only $65M in annual revenue. the pipeline has to create future scale that the royalty base does not provide today.
second bet
legacy royalty revenue
Royalty stream
$65M total revenue
this is the part of the story that actually pays today. it keeps the lights on, but revenue fell 3.4% from a year ago, so it is not the growth engine.
current funding base
Key numbers
n/a
operating margin
Prior margin KPI failed sanity check — verify in filings. Operating margin → profit after running the business → so what: Enanta loses more than it sells, which makes pipeline success non-optional.
$65M
annual revenue
This is a very small revenue base for a public biotech with multiple development programs.
$158M
long-term debt
Debt equals 30% of capital per, which limits room for error if trials take longer.
-$3.84
fy2025 eps est
EPS → profit per share → so what: Wall Street still expects a full-year loss, so you are paying for pipeline hope, not current earnings power.
Financial health
C+
strength
  • balance sheet grade C+ — weak — may struggle to fund operations
  • risk rank 5 — safer than 5% of stocks
  • price stability 5 / 100
  • long-term debt $158M (30% of capital)
C+ — below average. watch for debt servicing and cash burn.
Total return vs. market

Return history isn't available for ENTA right now.

source: institutional data · return history unavailable
What just happened
beat estimates
Latest quarter revenue reached $19M, while EPS improved to -$0.42 from a deeper loss a year earlier.
EDGAR data shows revenue rose 10% vs. prior year and EPS improved 60% vs. prior year. That is better, but the bigger picture is still a company with a -130.7% operating margin and no broad commercial base.
$19M
revenue
$0.42
eps
n/a
operating margin
the number that mattered
$19M matters because it shows revenue is still small relative to the cost structure, so even a good quarter does not fix the business model.
source: company earnings report, 2026

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What could go wrong

the #1 risk is rsv trial failure for EDP-323, because the current $65M revenue base is not large enough to carry a $369M valuation on its own.

med
RSV clinical miss
The lead RSV program is the cleanest near-term reason to own the stock. If the phase 2b data disappoints in 2026, the market is left with a shrinking royalty stream and a -106.8% net margin.
At 5.6x sales, the multiple only holds if the pipeline earns it.
med
funding pressure
Operating cash flow was -$14.2M over the last twelve months, and the page shows just $37K of cash & equivalents in q2 2026. Whether that cash line is perfectly current or not, funding is not a background issue here.
If capital has to be raised, existing shareholders risk dilution before the pipeline proves itself.
med
royalty base keeps shrinking
Revenue fell 3.4% from a year ago, and the current $65M base is already modest. If that number drifts lower, the company loses one of the few things making the wait for clinical data easier to finance.
Less royalty revenue means less internal support for R&D and more reliance on outside capital.
med
execution noise at the wrong time
Executive changes in march 2026 and a recent $67K insider sale are not thesis-breakers by themselves. In a small biotech, though, the market reads any distraction through the lens of trial execution.
When most of the value sits in a few milestones, trust in management matters more than usual.
A business losing $1.07 for every $1 of revenue while burning $14.2M in operating cash does not have much room for a failed trial.
source: institutional data · regulatory filings · risk analysis
Pay attention to
lead catalyst
RSV phase 2b data in 2026
This is the readout most likely to move the stock. With a $369M market cap and no scaled product revenue, the market is pricing this data before it exists.
next checkpoint
Q2 2026 earnings on may 11, 2026
You want two things: updated burn commentary and any change in management's pipeline language.
funding risk
any sign of a capital raise
Negative $14.2M operating cash flow means financing risk is live. For you as a shareholder, terms matter as much as timing.
business trend
whether the $65M revenue base keeps slipping
Royalty revenue is the current support beam. If that support weakens before new drug data arrives, the stock becomes even more binary.
Analyst rankings
earnings predictability
25 / 100
Only 25 out of 100. In human-speak, analysts do not trust this business to produce clean, repeatable quarterly numbers.
beta
1.1
Beta measures how a stock tends to move versus the market. At 1.1, ENTA roughly moves with the market, but trial headlines can easily overpower that statistic.
source: institutional data
Institutional activity

institutional ownership data for ENTA is being compiled.

source: institutional data
Price targets
3-5 year target range
n/a n/a
$14 current price
n/a target midpoint · n/a from current
target data not available

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