Armata Pharmaceuticals (ARMP) AI Stock Analysis

• Market Cap: $34.74M
• Dividend Yield: N/A
• Average Volume (3M): 22.51K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.79
• Revenue Growth: 14.24%
• EPS Growth: 72.63%
• Country: US
• Employees: 60
• Sector: Healthcare
• Sector Strength: 71
• Industry: Biotechnology
• EPS (TTM): -1.05
• Shares Outstanding: 36,183,067
• 10 Day Avg. Volume: 37,110
• 30 Day Avg. Volume: 22,512
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): 8.44
• Price to Cash Flow (P/CF): -1.80
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: $7.00
• Price Target Upside: 503.45% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

Armata Pharmaceuticals is currently in a precarious financial position with significant challenges. The negative financial performance, highlighted by lack of revenue and persistent losses, is a major concern. Technical indicators suggest further downside risk, and the lack of positive valuation metrics offers little support. While a recent loan provides some financial relief, it does not offset the broader challenges, resulting in a low overall score.

Positive Factors

Clinical Trial Results

The overall data from the Phase 2 Tailwind clinical trial is encouraging, showing a trend towards efficacy for AP-PA02.

Therapeutic Potential

The ITT analysis indicates the therapy is effective with or without the co-administration of antibiotics, suggesting AP-PA02 could reduce dependence on traditional antibiotic strategies.

Negative Factors

Efficacy Analysis

An efficacy analysis of each independent cohort demonstrated no significant difference between subjects treated with AP-PA02 and placebo when the study's planned statistical analysis plan was utilized.

Statistical Significance

The primary endpoint of the Phase 2 Tailwind clinical trial did not reach statistical significance, likely due to small numbers of subjects.

Armata Pharmaceuticals Business Overview & Revenue Model

Company Description

Armata Pharmaceuticals, Inc., a clinical-stage biotechnology company, focuses on the development of targeted bacteriophage therapeutics for antibiotic-resistant infections worldwide. It develops its products using its proprietary bacteriophage-based technology. The company's product candidates include AP-SA02 for the treatment of Staphylococcus aureus bacteremia; AP-PA02 for Pseudomonas aeruginosa; and AP-PA03 for the treatment of pneumonia. It has a partnership agreement with Merck & Co. for developing synthetic bacteriophage candidates to target undisclosed infectious disease agents. The company is headquartered in Marina del Rey, California.

How the Company Makes Money

Armata Pharmaceuticals generates revenue primarily through research and development collaborations, government grants, and strategic partnerships. The company focuses on advancing its pipeline of bacteriophage therapies through clinical trials, with the ultimate goal of securing regulatory approval and commercialization. Revenue streams may also include licensing agreements, milestone payments, and royalties from successfully developed and marketed products. Significant partnerships with research institutions and pharmaceutical companies contribute to its funding and developmental capabilities.

Armata Pharmaceuticals Financial Statement Overview

Summary

Armata Pharmaceuticals is facing significant financial challenges, with persistent losses and a deteriorating balance sheet. While there is some improvement in gross profit and cash flow metrics, the negative equity and substantial operating losses highlight the need for strategic repositioning and capital restructuring to achieve financial stability.

Income Statement

The TTM data shows a decrease in revenue compared to the previous year, with total revenue of $2.49 million from $4.53 million. Gross profit margin improved slightly to 62.9% from a negative position, but the company remains unprofitable with a negative net profit margin of -165.9%. The EBIT and EBITDA margins are also negative, indicating ongoing operational challenges.

Balance Sheet

The balance sheet reflects a concerning financial structure with negative stockholders' equity of -$50.97 million, leading to a negative equity ratio. The debt-to-equity ratio is not applicable due to negative equity. These factors highlight significant financial instability, posing risks to the company's solvency.

Cash Flow

The company reported negative free cash flow of -$42.09 million for the TTM, but it improved compared to the previous year's -$55.57 million. The operating cash flow to net income ratio suggests that cash flows are slightly better than net income, although both are negative. The company continues to rely on financing activities to support cash flow.

Breakdown
TTM	Dec 2023	Dec 2022	Dec 2021	Dec 2020	Dec 2019
Income Statement		Total Revenue
2.49M	4.53M	5.51M	4.47M	823.00K	0.00
	Gross Profit
1.57M	-29.24M	4.62M	-15.54M	-13.62M	-1.35M
	EBIT
-41.48M	-40.89M	-36.95M	-23.82M	-21.59M	-19.75M
	EBITDA
-31.21M	-39.92M	-36.05M	-22.65M	-20.44M	-19.75M
	Net Income Common Stockholders
-41.36M	-69.05M	-36.89M	-23.22M	-22.82M	-19.02M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
13.52M	13.52M	14.85M	10.29M	9.65M	6.03M
	Total Assets
109.96M	98.36M	95.83M	69.77M	39.52M	25.45M
	Total Debt
120.37M	120.37M	48.81M	37.99M	13.15M	2.86M
	Net Debt
106.85M	106.85M	33.96M	27.70M	3.50M	-3.17M
	Total Liabilities
142.03M	130.43M	59.75M	44.37M	20.66M	10.86M
	Stockholders Equity
-32.06M	-32.06M	36.08M	25.40M	18.86M	14.59M
Cash Flow		Free Cash Flow
-42.09M	-55.57M	-34.69M	-24.88M	-19.09M	-15.71M
	Operating Cash Flow
-37.73M	-47.42M	-32.48M	-23.57M	-18.27M	-15.58M
	Investing Cash Flow
-4.35M	-8.13M	-2.21M	-1.30M	-824.00K	2.88M
	Financing Cash Flow
34.91M	53.99M	44.02M	25.52M	23.21M	8.97M

Armata Pharmaceuticals Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1.16
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ARMP, the sentiment is Negative. The current price of 1.16 is below the 20-day moving average (MA) of 1.47, below the 50-day MA of 1.80, and below the 200-day MA of 2.22, indicating a bearish trend. The MACD of -0.24 indicates Positive momentum. The RSI at 34.33 is Neutral, neither overbought nor oversold. The STOCH value of 21.30 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for ARMP.

Armata Pharmaceuticals Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	48 Neutral	$6.46B	1.17	-48.25%	2.67%	19.50%	0.61%
ATNM	42 Neutral	$40.55M	―	-110.63%	―	-100.00%	30.65%
PDSB	42 Neutral	$49.03M	―	-166.65%	―	―	25.51%
CUE	39 Underperform	$47.36M	―	-149.03%	―	69.16%	32.51%
ALGS	37 Underperform	$24.95M	―	-415.84%	―	-74.60%	―
CNTX	28 Underperform	$76.68M	―	-49.89%	―	―	65.02%
ARMP	17 Underperform	$34.74M	―	81.15%	―	14.24%	72.63%

Armata Pharmaceuticals Corporate Events

Armata Pharmaceuticals Secures $10M Loan for Clinical Trials

On March 12, 2025, Armata Pharmaceuticals announced a secured credit agreement with Innoviva Strategic Opportunities LLC, providing a $10 million loan to advance its lead therapeutic phage candidates, AP-PA02 and AP-SA02. This financing will support the company’s clinical trials, including the Phase 1b/2a trial for AP-SA02, and preparations for an end-of-Phase 2 meeting with the FDA, while also extending the maturity dates of previous credit agreements to March 12, 2026.