Wrapping up Q4 earnings, we look at the numbers and key takeaways for the generic pharmaceuticals stocks, including Amneal (NASDAQ:AMRX) and its peers.

The generic pharmaceutical industry operates on a volume-driven, low-cost business model, producing bioequivalent versions of branded drugs once their patents expire. These companies benefit from consistent demand for affordable medications, as they are critical to reducing healthcare costs. Generics typically face lower R&D expenses and shorter regulatory approval timelines compared to branded drug makers, enabling cost efficiencies. However, the industry is highly competitive, with intense pricing pressures, thin margins, and frequent legal challenges from branded pharmaceutical companies over patent disputes. Looking ahead, the industry is supported by tailwinds such as the role of AI in streamlining drug development (reverse engineering complex formulations) and manufacturing efficiency (optimize processes and remove inefficiencies). Governments and insurers' focus on reducing drug costs can also boost generics' adoption. However, headwinds include escalating pricing pressure from large buyers like pharmacy chains and healthcare distributors as well as evolving regulatory hurdles.

The 4 generic pharmaceuticals stocks we track reported a slower Q4. As a group, revenues beat analysts’ consensus estimates by 2.2%.

While some generic pharmaceuticals stocks have fared somewhat better than others, they have collectively declined. On average, share prices are down 3.1% since the latest earnings results.

Amneal (NASDAQ:AMRX)

Founded in 2002, Amneal Pharmaceuticals (NASDAQ:AMRX) develops, manufactures, and distributes a diverse portfolio of pharmaceuticals.

Amneal reported revenues of $730.5 million, up 18.4% year on year. This print exceeded analysts’ expectations by 3.4%. Despite the top-line beat, it was still a mixed quarter for the company with full-year revenue guidance exceeding analysts’ expectations but a significant miss of analysts’ full-year EPS guidance estimates.

The stock is up 5.1% since reporting and currently trades at $8.80.

Is now the time to buy Amneal? Access our full analysis of the earnings results here, it’s free.

Best Q4: ANI Pharmaceuticals (NASDAQ:ANIP)

Founded in 2001, ANI Pharmaceuticals (NASDAQ:ANIP) develops, manufactures, and markets branded and generic pharmaceutical products, with a focus on complex formulations and niche markets.

ANI Pharmaceuticals reported revenues of $190.6 million, up 44.8% year on year, outperforming analysts’ expectations by 8.5%. The business had a stunning quarter with an impressive beat of analysts’ full-year EPS guidance estimates.

ANI Pharmaceuticals achieved the biggest analyst estimates beat, fastest revenue growth, and highest full-year guidance raise among its peers. The market seems happy with the results as the stock is up 10.7% since reporting. It currently trades at $60.44.

Is now the time to buy ANI Pharmaceuticals? Access our full analysis of the earnings results here, it’s free.

Weakest Q4: Viatris (NASDAQ:VTRS)

Formed in 2020 through the merger of Mylan and Upjohn, Viatris (NASDAQ:VTRS) provides a portfolio of branded, generic, and over-the-counter medications as well as biosimilars aimed at addressing a wide range of therapeutic areas.

Viatris reported revenues of $3.53 billion, down 8.1% year on year, falling short of analysts’ expectations by 1.8%. It was a disappointing quarter as it posted full-year revenue guidance missing analysts’ expectations.

Viatris delivered the weakest performance against analyst estimates, slowest revenue growth, and weakest full-year guidance update in the group. As expected, the stock is down 15% since the results and currently trades at $9.55.

Read our full analysis of Viatris’s results here.

Amphastar Pharmaceuticals (NASDAQ:AMPH)

Founded in 1996, Amphastar Pharmaceuticals (NASDAQ:AMPH) develops, manufactures, and markets injectable and inhalation products, focusing on critical care, emergency, and chronic conditions.

Amphastar Pharmaceuticals reported revenues of $186.5 million, up 2.9% year on year. This result missed analysts’ expectations by 1.4%. Overall, it was a softer quarter as it also produced a miss of analysts’ EPS estimates.

The stock is down 13.4% since reporting and currently trades at $27.25.

Read our full, actionable report on Amphastar Pharmaceuticals here, it’s free.

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