- Record Revenue 2025 total revenue hit $4.3 billion, with 10% Q4 YoY growth ($1.2 billion Q4 revenue).
- Modeyso Launch Success Generated $48 million in 2025, 4.5 months post-launch, targeting a $500 million peak sales opportunity.
- Epidiolex Blockbuster Status Achieved $1.1 billion in 2025 revenue, with 7% volume growth driven by strong demand.
- Xywav Growth Momentum Revenue grew 12% to $1.7 billion in 2025, 16% Q4 growth, with $1.8–$1.9 billion guidance for 2026.
- 2026 Guidance Targets $4.25–$4.5 billion revenue (2.5% growth midpoint), 90–91% non-GAAP gross margin, and $725–$775 million R&D spend.
Segment-wise Performance
The company's rare oncology and epilepsy revenues are expected to drive double-digit growth in 2026, primarily driven by Epidiolex, Modeyso, and Ziihera. The launch of Modeyso has been successful, generating $48 million in revenue in 2025, just 4.5 months into the launch. The company is increasingly confident about the $500 million peak sales opportunity for Modeyso, assuming the ACTION study is successful.
Pipeline and Development Programs
The company has a robust pipeline, with several promising development opportunities, including JZP047, which has been cleared to proceed into a Phase I study for the treatment of absence epilepsy. The company has also initiated a Phase Ib trial of Epidiolex in focal onset seizures and is developing zanidatamab across multiple tumor types, with an expected launch in GEA in the second half of 2026.
Valuation and Outlook
With a P/E Ratio of -33.7 and an EV/EBITDA of 83.75, the company's valuation appears to be stretched. However, the company's strong revenue growth and pipeline opportunities may justify the premium. Analysts estimate next year's revenue growth at 8.7%, which may provide a positive catalyst for the stock. The company's guidance range for 2026 is $4.25 billion to $4.50 billion in total revenue, representing 2.5% growth at the midpoint compared to 2025.
Financial Health
The company's balance sheet remains strong, with $2.4 billion in cash and investments at the end of 2025. The company continues to generate significant cash from its business and has the flexibility to invest in value-driving commercial and R&D programs, as well as in promising corporate development opportunities.