📊 HRTX Key Takeaways
Is Heron Therapeutics, Inc.. /DE/ (HRTX) a Good Investment?
Heron Therapeutics is an early-stage pharmaceutical company with a strong gross margin (69.4%) but deteriorating profitability, with net income declining 48.7% YoY despite modest 7.4% revenue growth. The company is burning cash operationally (-$1.5M) and has minimal shareholders' equity ($9.1M) relative to total liabilities ($237.1M), creating unsustainable financial dynamics. Without near-term profitability or significant revenue acceleration, the company faces mounting dilution risk.
High 73% gross margin and modest 7% revenue growth show product traction and improving operating leverage near breakeven. Yet persistent net losses, negative free cash flow, and a razor‑thin equity base create elevated financing/dilution risk unless operating cash flow turns sustainably positive soon.
Why Buy Heron Therapeutics, Inc.. /DE/ Stock? HRTX Key Strengths
- Strong gross margin of 69.4% indicates product pricing power and low manufacturing costs
- Positive revenue growth of 7.4% YoY demonstrates some market traction
- Solid short-term liquidity with current ratio of 2.53x and $26.1M cash position
- Strong gross margin indicating pricing power
- Operating margin near breakeven suggests improving cost control
- Solid near-term liquidity with a 2.5x current ratio
HRTX Stock Risks: Heron Therapeutics, Inc.. /DE/ Investment Risks
- Deteriorating profitability with net income declining 48.7% YoY despite revenue growth
- Negative operating cash flow of -$1.5M indicates business is not operationally sustainable
- Critically low shareholders' equity ($9.1M) relative to liabilities ($237.1M) creates severe financial distress risk
- Operating losses of -$4.8M and negative operating margin of -13.7% show lack of near-term path to profitability
- Negative free cash flow and OCF imply ongoing cash burn
- Very thin equity and severe negative ROE highlight balance-sheet fragility
- Negative interest coverage and high liabilities relative to assets raise solvency risk
Key Metrics to Watch
- Operating cash flow trajectory toward breakeven
- Revenue acceleration rate and sales traction metrics
- Operating margin improvement and path to operating profitability
- Cash burn rate and estimated runway
- Shareholder dilution from equity financing rounds
- Operating cash flow and cash runway (cash/FCF)
- Operating margin progression toward sustained profitability
Heron Therapeutics, Inc.. /DE/ (HRTX) Financial Metrics & Key Ratios
💡 AI Analyst Insight
Strong liquidity with a 2.53x current ratio provides a solid financial cushion.
HRTX Profit Margin, ROE & Profitability Analysis
HRTX vs Healthcare Sector: How Heron Therapeutics, Inc.. /DE/ Compares
How Heron Therapeutics, Inc.. /DE/ compares to Healthcare sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Heron Therapeutics, Inc.. /DE/ Stock Overvalued? HRTX Valuation Analysis 2026
Based on fundamental analysis, Heron Therapeutics, Inc.. /DE/ has mixed fundamental signals relative to the Healthcare sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
Heron Therapeutics, Inc.. /DE/ Balance Sheet: HRTX Debt, Cash & Liquidity
HRTX Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Heron Therapeutics, Inc.. /DE/'s revenue has shown modest growth of 6% over the 5-year period. The most recent EPS of $-0.80 indicates the company is currently unprofitable.
HRTX Revenue Growth, EPS Growth & YoY Performance
HRTX Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q1 2026 | $34.7M | $2.6M | $0.01 |
| Q3 2025 | $32.8M | -$2.4M | $-0.03 |
| Q2 2025 | $36.0M | $254.0K | $0.00 |
| Q1 2025 | $34.7M | $2.6M | $0.01 |
| Q3 2024 | $31.4M | -$3.2M | $-0.03 |
| Q2 2024 | $31.8M | -$3.2M | $-0.06 |
| Q1 2024 | $29.6M | -$3.2M | $-0.02 |
| Q3 2023 | $26.6M | -$25.0M | $-0.17 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Heron Therapeutics, Inc.. /DE/ Dividends, Buybacks & Capital Allocation
HRTX SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Heron Therapeutics, Inc.. /DE/ (CIK: 0000818033)
📋 Recent SEC Filings
❓ Frequently Asked Questions about HRTX
What is the AI rating for HRTX?
Heron Therapeutics, Inc.. /DE/ (HRTX) has a Combined AI Rating of SELL from Claude (SELL) and ChatGPT (SELL) with 70% combined confidence, based on fundamental analysis of SEC EDGAR filings.
What are HRTX's key strengths?
Claude: Strong gross margin of 69.4% indicates product pricing power and low manufacturing costs. Positive revenue growth of 7.4% YoY demonstrates some market traction. ChatGPT: Strong gross margin indicating pricing power. Operating margin near breakeven suggests improving cost control.
What are the risks of investing in HRTX?
Claude: Deteriorating profitability with net income declining 48.7% YoY despite revenue growth. Negative operating cash flow of -$1.5M indicates business is not operationally sustainable. ChatGPT: Negative free cash flow and OCF imply ongoing cash burn. Very thin equity and severe negative ROE highlight balance-sheet fragility.
What is HRTX's revenue and growth?
Heron Therapeutics, Inc.. /DE/ reported revenue of $34.7M.
Does HRTX pay dividends?
Heron Therapeutics, Inc.. /DE/ does not currently pay dividends.
Where can I find HRTX SEC filings?
Official SEC filings for Heron Therapeutics, Inc.. /DE/ (CIK: 0000818033) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is HRTX's EPS?
Heron Therapeutics, Inc.. /DE/ has a diluted EPS of $-0.04.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined rating reflects both perspectives for balanced insights.
Is HRTX a good stock to buy right now?
Based on our AI fundamental analysis in May 2026, Heron Therapeutics, Inc.. /DE/ has a SELL rating with 70% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.
Is HRTX stock overvalued or undervalued?
Valuation metrics for HRTX: ROE of -88.8% (sector avg: 15%), net margin of -23.4% (sector avg: 12%). Compare these metrics with sector averages to assess valuation.
Should I buy HRTX stock in 2026?
Our dual AI analysis gives Heron Therapeutics, Inc.. /DE/ a combined SELL rating for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is HRTX's free cash flow?
Heron Therapeutics, Inc.. /DE/'s operating cash flow is $-1.5M, with capital expenditures of $391.0K. FCF margin is -5.6%.
How does HRTX compare to other Healthcare stocks?
Vs Healthcare sector averages: Net margin -23.4% (avg: 12%), ROE -88.8% (avg: 15%), current ratio 2.53 (avg: 2).