Investment Thesis
Assertio is a deeply unprofitable pharmaceutical company with severe operational challenges, generating substantial negative cash flow of -$28.2M while revenue declined 5% YoY. The company is burning cash at an unsustainable rate with only $10.2M in liquid assets against $39.1M in debt, creating critical solvency risk within 12-18 months without operational turnaround or capital infusion.
ASRT Strengths
- Positive current ratio of 1.70x and quick ratio of 1.51x suggest adequate short-term liquidity position
- Moderate debt-to-equity ratio of 0.42x indicates leverage is not immediately excessive relative to equity base
- Maintains $267.0M in total assets providing some balance sheet cushion
ASRT Risks
- Severe cash burn of -$28.2M annually with only $10.2M cash on hand creates critical runway crisis within months
- Negative net margin of -25.6% and operating margin of -18.1% indicate core business is fundamentally unprofitable
- Revenue contraction of 5% YoY combined with deteriorating profitability suggests loss of market share and operational momentum
- Net income deteriorated 40.7% YoY demonstrating worsening financial trajectory
- Negative free cash flow of -$28.2M with zero capital expenditure indicates operational losses, not growth investments
Key Metrics to Watch
- Operating cash flow trend and path to positive cash generation
- Revenue stabilization or return to growth in pharma product portfolio
- Monthly cash burn rate and runway remaining before potential insolvency
- Operating margin improvement through cost reduction or pricing initiatives
- Changes in insider buying patterns which show 13 Form 4 filings but likely reflect option exercises rather than confidence
ASRT Financial Metrics
ASRT Profitability Ratios
ASRT Balance Sheet & Liquidity
ASRT 5-Year Financial Trend
5-Year Trend Summary: Assertio Holdings, Inc.'s revenue has grown significantly by 13% over the 5-year period, indicating strong business expansion. The most recent EPS of $-3.40 indicates the company is currently unprofitable.
ASRT Growth Metrics (YoY)
ASRT Quarterly Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2025 | $29.2M | -$2.9M | $-0.03 |
| Q2 2025 | $29.2M | -$3.7M | $-0.04 |
| Q1 2025 | $26.5M | -$4.5M | $-0.05 |
| Q3 2024 | $29.2M | -$2.9M | $-0.03 |
| Q2 2024 | $31.1M | -$3.7M | $-0.04 |
| Q1 2024 | $32.4M | -$3.5M | $-0.05 |
| Q3 2023 | $34.2M | $4.2M | $0.08 |
| Q2 2023 | $35.1M | $5.0M | $0.09 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
ASRT Capital Allocation
ASRT SEC Filings
Access official SEC EDGAR filings for Assertio Holdings, Inc. (CIK: 0001808665)