Pacira BioSciences, Inc. (PCRX) | Investment Case

1. Company Snapshot

1.a. Company Description

Pacira BioSciences, Inc.provides non-opioid pain management and regenerative health solutions for healthcare practitioners and their patients in the United States.The company offers EXPAREL, a bupivacaine liposome injectable suspension; ZILRETTA, a triamcinolone acetonide extended-release injectable suspension; and iovera system, a non-opioid handheld cryoanalgesia device used to produce controlled doses of cold temperature only to targeted nerves.

It also develops proprietary multivesicular liposome, a drug delivery technology that encapsulates drugs without altering their molecular structure.The company was formerly known as Pacira Pharmaceuticals, Inc.and changed its name to Pacira BioSciences, Inc.

in April 2019.Pacira BioSciences, Inc.was incorporated in 2006 and is headquartered in Tampa, Florida.

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1.b. Last Insights on PCRX

Pacira BioSciences' recent performance was negatively impacted by a pending lawsuit filed by certain investors who purchased shares prior to August 2023. The company's Q2 2025 earnings call revealed solid execution across corporate, clinical, and commercial initiatives, but several key metrics, including top- and bottom-line numbers, missed Wall Street estimates. Additionally, the company granted inducement awards to new employees, diluting existing shareholders. Pacira's second-quarter financial results showed growth, but rising expenses and a lawsuit may weigh on investors' sentiment.

1.c. Company Highlights

Last Price	23.99
Change Percentage	0.04%
Open	23.95
Previous Close	23.98
Market Cap ( Millions)	1091
Volume	416235
Year High	27.64
Year Low	18.17
M A 50	23.16
M A 200	24.33

FCF Yield	11.38%
Dividend Yield	0.00%
ROE	3.87%
Debt / Equity	1.34%
Net Debt / EBIDTA	-114.24%
Price To Book	1.45
Price Earnings Ratio	35.67
Price To FCF	8.79
Price To sales	1.52
EV / EBITDA	7.9

2. Pacira BioSciences' Q3 Earnings: A Strong Performance

Pacira BioSciences reported a robust financial performance in Q3, with revenues increasing by 6% year-over-year, driven by a strong quarter for EXPAREL and iovera. EXPAREL sales reached $139.9 million, up from $132.0 million in the same period last year, with volume growth of 9% partially offset by a shift in vial mix and discounting. The company's EPS came in at $0.7, beating estimates of $0.65. Non-GAAP gross margins are expected to expand to 80-82% from 78-80% previously.

Publication Date: Nov -16

                                    📋 Highlights
                                    Revenue Growth::
                                                Q3 revenue increased by 6% year-over-year to $725–735M, driven by 9% volume growth for EXPAREL and strong performance from iovera.
EXPARLEL Sales::
                                                EXPAREL sales rose to $139.9M in Q3 (vs. $132M in 2024), with 9% volume growth partially offset by vial mix shifts and discounting.
Gross Margin Guidance::
                                                Non-GAAP gross margin guidance raised to 80–82% (previously 78–80%) due to improved operational efficiency and pricing discipline.
Cash Reserves::
                                                Ended Q3 with $246M in cash and investments, enabling disciplined capital allocation and advancing the 5x30 growth strategy.

                                

Revenue Growth Drivers

The growth in EXPAREL sales was driven by increasing demand, with year-over-year volumes up approximately 9%. The company's access efforts continue to be strategic, focusing on key markets with high procedural volumes. As Frank Lee noted, "We're prioritizing complementary mid to late-stage derisked opportunities in our clinical pipeline, such as PCRX-201, advancing in a Phase II study for osteoarthritis of the knee."

Guidance and Outlook

Pacira BioSciences has increased its revenue guidance to $725-735 million. The company expects volume growth and revenue growth to converge over time as it anniversaries its 3-year agreements. For next year, analysts estimate revenue growth at 9.7%, indicating a strong outlook for the company's continued expansion.

Valuation Metrics

Using the current valuation metrics, we can assess what's priced into Pacira BioSciences' stock. The P/S Ratio stands at 1.51, while the EV/EBITDA ratio is 7.82. The company's ROE is 3.87%, and ROIC is 2.45%. The Free Cash Flow Yield is 11.48%, indicating a potentially attractive return for investors. With a P/E Ratio of 35.35, the stock appears to be priced for high growth expectations.

Pipeline and Future Initiatives

The company is focused on advancing its clinical pipeline, including the initiation of a Phase II program for AMT-143, a novel long-acting formulation of bupivacaine, next year. As Frank Lee explained, the rationale behind AMT-143 is to create a product with longer durability and ease of use, complementary to EXPAREL. The company's disciplined approach to capital allocation is expected to drive sustainable success and significant value creation.

3. NewsRoom

PCRX's Iovera Outperforms RFA Therapy in Pilot Study for Low Back Pain

Dec -03

Source: zacks.com

Pacira BioSciences Reports Inducement Grants Under Nasdaq Listing Rule 5635(c)(4)

Dec -03

Source: globenewswire.com

Pacira BioSciences Files EXPAREL® Patent Infringement Lawsuits Against The WhiteOak Group and Qilu Pharmaceutical

Nov -26

Source: globenewswire.com

Pacira BioSciences, Inc. (NASDAQ:PCRX) Receives $33.00 Average PT from Analysts

Nov -18

Source: defenseworld.net

Pacira BioSciences to Participate in Fireside Chat at Two Upcoming Healthcare Conferences

Nov -11

Source: globenewswire.com

DOMA Perpetual Sends Letter Calling for the Board of Directors of Pacira BioSciences, Inc. to Immediately Explore a Sale of the Business

Nov -11

Source: prnewswire.com

Pacira BioSciences, Inc. (PCRX) Q3 2025 Earnings Call Transcript

Nov -07

Source: seekingalpha.com

Pacira BioSciences Reports Third Quarter 2025 Financial Results; Increases Full-year Gross Margin Guidance

Nov -06

Source: globenewswire.com

4. Business Breakdown

4.a. Revenues by Country

4.b. Revenues by Segment

5. Expected revenues mid-term growth (7.00%)

6. Segments

Non-opioid Pain Management and Regenerative Health Solutions

Expected Growth: 7%

Pacira BioSciences' non-opioid pain management and regenerative health solutions drive 7% growth, fueled by increasing demand for alternative pain therapies, expanding indications for Exparel, and growing adoption of iovera° in orthopedic and pain management procedures.

7. Detailed Products

EXPAREL

A long-acting, non-opioid local analgesic that is administered at the surgical site to provide pain relief for up to 72 hours.

iovera°

A non-invasive, cryoanalgesia treatment that uses cold temperatures to numb the nerves, providing pain relief for up to 90 days.

DepoDur

A sustained-release epidural morphine formulation for pain management.

8. Pacira BioSciences, Inc.'s Porter Forces

Forces Ranking

Threat Of Substitutes

Pacira BioSciences, Inc. operates in a niche market with limited substitutes, but there are some alternatives available, which reduces the threat of substitutes.

Bargaining Power Of Customers

Pacira BioSciences, Inc. has a diverse customer base, which reduces the bargaining power of individual customers. Additionally, the company's products are critical to its customers' operations, making it difficult for them to negotiate prices.

Bargaining Power Of Suppliers

Pacira BioSciences, Inc. relies on a few key suppliers for raw materials, which gives them some bargaining power. However, the company's strong relationships with its suppliers and its ability to negotiate contracts mitigate this risk.

Threat Of New Entrants

The biotechnology industry has high barriers to entry, including significant capital requirements and regulatory hurdles, which reduces the threat of new entrants.

Intensity Of Rivalry

Pacira BioSciences, Inc. operates in a highly competitive industry with several established players, which increases the intensity of rivalry. The company must continually innovate and invest in research and development to maintain its market position.

9. SWOT Analysis

10. Capital Structure

10.a. Balance Sheet

10.b. Weighted Average Cost of capital

	Value
Debt Weight	37.91%
Debt Cost	5.97%
Equity Weight	62.09%
Equity Cost	7.79%
WACC	7.10%
Leverage	61.05%

11. Quality Control: Pacira BioSciences, Inc. passed 5 out of 9 key points

Strong Liquidity

Low Deb

Strong Interest Coverage

Healthy Cash Flow

Operating Efficiency

Strong Return On Equity

Consistent Revenue Growth

Consistent Operating Cash Flow Growth

Margin Improvement

12.a Historical Valuation

12.b Price/Earnings Ratio

12.c Margin Valuation

12.d Peers Valuation

Peers Group Analysis

Pacira BioSciences

A-Score: 5.3/10

Value: 8.1

Growth: 4.6

Quality: 4.3

Yield: 0.0

Momentum: 9.5

Volatility: 5.0

1-Year Total Return ->

Phibro Animal Health

A-Score: 4.9/10

Value: 2.7

Growth: 5.2

Quality: 4.2

Yield: 4.0

Momentum: 9.5

Volatility: 4.0

1-Year Total Return ->

Radius Health

A-Score: 4.9/10

Value: 6.8

Growth: 3.4

Quality: 1.4

Yield: 5.0

Momentum: 9.0

Volatility: 3.7

1-Year Total Return ->

ProPhase Labs

A-Score: 3.3/10

Value: 7.6

Growth: 0.3

Quality: 3.8

Yield: 3.0

Momentum: 5.0

Volatility: 0.3

1-Year Total Return ->

SCYNEXIS

A-Score: 3.2/10

Value: 7.8

Growth: 5.4

Quality: 4.6

Yield: 0.0

Momentum: 0.5

Volatility: 1.0

1-Year Total Return ->

Alimera Sciences

A-Score: 2.5/10

Value: 2.4

Growth: 4.7

Quality: 2.3

Yield: 0.0

Momentum: 5.0

Volatility: 0.7

1-Year Total Return ->

Peers Metrics

12.e Scoring ^Insights

12.f DCF ^BETA

Parameters

Short Term Growth

-6.60%

Short term Time

10.0

Long-Term Growth

2.00%

WACC

7.10%

Pacira BioSciences, Inc. - US6951271005

1. Company Snapshot

1.a. Company Description

1.b. Last Insights on PCRX

1.c. Company Highlights

Higher Growth

Better Quality

Less Volatile

Earnings Miss

Revenues Beats

Medium Volatility

Average Quality

Earnings Beats

Weak Momentum

Fairly Valued

Revenues Miss

Lower Quality

Stable Momentum

Average Yield

Strong Momentum

2. Pacira BioSciences' Q3 Earnings: A Strong Performance

Revenue Growth Drivers

Guidance and Outlook

Valuation Metrics

Pipeline and Future Initiatives

3. NewsRoom

4. Business Breakdown

4.a. Revenues by Country

4.b. Revenues by Segment

5. Expected revenues mid-term growth (7.00%)

6. Segments

Non-opioid Pain Management and Regenerative Health Solutions

Expected Growth: 7%

7. Detailed Products

EXPAREL

iovera°

DepoDur

8. Pacira BioSciences, Inc.'s Porter Forces

Forces Ranking

Threat Of Substitutes

Bargaining Power Of Customers

Bargaining Power Of Suppliers

Threat Of New Entrants

Intensity Of Rivalry

9. SWOT Analysis

Strength

Weaknesses

Opportunities

Threats

10. Capital Structure

10.a. Balance Sheet

10.b. Weighted Average Cost of capital

11. Quality Control: Pacira BioSciences, Inc. passed 5 out of 9 key points

12.a Historical Valuation

12.b Price/Earnings Ratio

12.c Margin Valuation

12.d Peers Valuation

Peers Group Analysis

Peers Metrics

12.e Scoring Insights

12.f DCF BETA

Parameters

Short Term Growth

Short term Time

Long-Term Growth

WACC

Target Price

23.99$

Current Price

23.99$

Potential

-0.00%

Expected Cash-Flows

12.e Scoring ^Insights

12.f DCF ^BETA