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Phathom Pharmaceuticals, Inc. (PHAT) Stock Fundamental Analysis & AI Rating 2026

PHAT Nasdaq Pharmaceutical Preparations DE CIK: 0001783183
Recently Updated • Analysis: Apr 14, 2026 • SEC Data: 2025-12-31
STRONG SELL
90% Conf
Pending
Analysis scheduled

📊 PHAT Key Takeaways

Revenue: $175.1M
Net Margin: -126.3%
Free Cash Flow: $-167.0M
Current Ratio: 1.73x
Debt/Equity: N/A
EPS: $-3.03
AI Rating: STRONG SELL with 90% confidence
Phathom Pharmaceuticals, Inc. (PHAT) receives a STRONG SELL rating with 90% confidence from our AI fundamental analysis based on SEC 10-K filings. With revenue of $175.1M, net profit margin of -126.3%, Phathom Pharmaceuticals, Inc. demonstrates mixed fundamentals in the Healthcare sector. Below is our complete PHAT stock analysis for 2026.

Is Phathom Pharmaceuticals, Inc. (PHAT) a Good Investment?

Claude

Phathom demonstrates exceptional 217% revenue growth with strong 87% gross margins, indicating product viability; however, the company faces critical financial distress with negative stockholders' equity of -$438M, operating losses of -$160M, and cash burn of -$167M annually against only $130M in cash reserves, creating acute solvency and liquidity risk.

Why Buy Phathom Pharmaceuticals, Inc. Stock? PHAT Key Strengths

Claude
  • + Exceptional revenue growth of 216.9% YoY demonstrates strong market demand
  • + High gross margin of 87.1% indicates viable product economics and pricing power
  • + Current ratio of 1.73x provides near-term liquidity for operational obligations

PHAT Stock Risks: Phathom Pharmaceuticals, Inc. Investment Risks

Claude
  • ! Negative stockholders' equity of -$438.2M indicates technical insolvency and potential bankruptcy
  • ! Operating cash burn of -$166.8M annually against $130M cash creates ~9-month runway
  • ! Operating margin of -91.4% and net margin of -126.3% show unsustainable cost structure with no clear profitability path
  • ! Negative interest coverage of -4.6x indicates inability to service debt from operations
  • ! Long-term debt of $209.1M with negative equity creates refinancing risk

Key Metrics to Watch

Claude
  • * Monthly operating cash flow trend and cash balance depletion rate
  • * Operating expense reduction initiatives and path to operating breakeven
  • * Revenue growth sustainability and gross margin maintenance
  • * Debt refinancing activity and capital raise announcements

Phathom Pharmaceuticals, Inc. (PHAT) Financial Metrics & Key Ratios

Revenue
$175.1M
Net Income
$-221.2M
EPS (Diluted)
$-3.03
Free Cash Flow
$-167.0M
Total Assets
$259.1M
Cash Position
$130.0M

💡 AI Analyst Insight

Phathom Pharmaceuticals, Inc. presents a mixed fundamental picture. Review the detailed metrics above to form your own investment thesis.

PHAT Profit Margin, ROE & Profitability Analysis

Gross Margin 87.1%
Operating Margin -91.4%
Net Margin -126.3%
ROE N/A
ROA -85.4%
FCF Margin -95.4%

PHAT vs Healthcare Sector: How Phathom Pharmaceuticals, Inc. Compares

How Phathom Pharmaceuticals, Inc. compares to Healthcare sector averages

Net Margin
PHAT -126.3%
vs
Sector Avg 12.0%
PHAT Sector
ROE
PHAT 0.0%
vs
Sector Avg 15.0%
PHAT Sector
Current Ratio
PHAT 1.7x
vs
Sector Avg 2.0x
PHAT Sector
Debt/Equity
PHAT 0.0x
vs
Sector Avg 0.6x
PHAT Sector

Sector benchmarks are approximate industry averages. Actual sector performance may vary.

Is Phathom Pharmaceuticals, Inc. Stock Overvalued? PHAT Valuation Analysis 2026

Based on fundamental analysis, Phathom Pharmaceuticals, Inc. has mixed fundamental signals relative to the Healthcare sector in 2026.

Return on Equity
N/A
Sector avg: 15%
Net Profit Margin
-126.3%
Sector avg: 12%
Revenue Growth
N/A
Year-over-year
Debt/Equity
N/A
Sector avg: 0.6x

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.

Phathom Pharmaceuticals, Inc. Balance Sheet: PHAT Debt, Cash & Liquidity

Current Ratio
1.73x
Quick Ratio
1.69x
Debt/Equity
N/A
Debt/Assets
269.1%
Interest Coverage
-4.58x
Long-term Debt
$209.1M

PHAT Revenue & Earnings Growth: 5-Year Financial Trend

PHAT 5-year financial data: Year 2023: Revenue $682.0K, Net Income -$197.7M, EPS $-5.05. Year 2024: Revenue $55.3M, Net Income -$201.6M, EPS $-3.93. Year 2025: Revenue $175.1M, Net Income -$334.3M, EPS $-5.29.
Revenue
Net Income
EPS (right axis)

5-Year Trend Summary: Phathom Pharmaceuticals, Inc.'s revenue has grown significantly by 25,576% over the 5-year period, indicating strong business expansion. The most recent EPS of $-5.29 indicates the company is currently unprofitable.

PHAT Revenue Growth, EPS Growth & YoY Performance

Revenue Growth
N/A
Year-over-year
Net Income Growth
N/A
Year-over-year
EPS Growth
N/A
Earnings per share
FCF Margin
-95.4%
Free cash flow / Revenue

PHAT Quarterly Earnings & Performance

Quarterly financial performance data for Phathom Pharmaceuticals, Inc. including revenue, net income, and earnings per share.
Quarter Revenue Net Income EPS
Q3 2025 $16.4M -$30.0M $-0.41
Q2 2025 $7.3M -$75.8M $-1.05
Q1 2025 $1.9M -$82.9M $-1.31
Q3 2024 N/A -$37.8M $-0.76
Q2 2024 N/A -$37.8M $-0.84
Q1 2024 N/A -$37.8M $-0.89

Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.

Phathom Pharmaceuticals, Inc. Dividends, Buybacks & Capital Allocation

Operating Cash Flow
-$166.8M
Cash generated from operations
Capital Expenditures
$229.0K
Investment in assets
Dividends
None
No dividend program

PHAT SEC Filings: Latest 10-K & 10-Q Analysis

Access official SEC EDGAR filings for Phathom Pharmaceuticals, Inc. (CIK: 0001783183)

📋 Recent SEC Filings

Date Form Document Action
Apr 7, 2026 DEF 14A phat-20260406.htm View →
Mar 11, 2026 4 xslF345X05/ownership.xml View →
Mar 3, 2026 4 xslF345X05/ownership.xml View →
Feb 26, 2026 10-K phat-20251231.htm View →
Feb 26, 2026 8-K d119012d8k.htm View →

Frequently Asked Questions about PHAT

What is the AI rating for PHAT?

Phathom Pharmaceuticals, Inc. (PHAT) has an AI rating of STRONG SELL with 90% confidence, based on fundamental analysis of SEC EDGAR filings.

What are PHAT's key strengths?

Claude: Exceptional revenue growth of 216.9% YoY demonstrates strong market demand. High gross margin of 87.1% indicates viable product economics and pricing power.

What are the risks of investing in PHAT?

Claude: Negative stockholders' equity of -$438.2M indicates technical insolvency and potential bankruptcy. Operating cash burn of -$166.8M annually against $130M cash creates ~9-month runway.

What is PHAT's revenue and growth?

Phathom Pharmaceuticals, Inc. reported revenue of $175.1M.

Does PHAT pay dividends?

Phathom Pharmaceuticals, Inc. does not currently pay dividends.

Where can I find PHAT SEC filings?

Official SEC filings for Phathom Pharmaceuticals, Inc. (CIK: 0001783183) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.

What is PHAT's EPS?

Phathom Pharmaceuticals, Inc. has a diluted EPS of $-3.03.

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 PHAT a good stock to buy right now?

Based on our AI fundamental analysis in April 2026, Phathom Pharmaceuticals, Inc. has a STRONG SELL rating with 90% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.

Is PHAT stock overvalued or undervalued?

Valuation metrics for PHAT: ROE of N/A (sector avg: 15%), net margin of -126.3% (sector avg: 12%). Compare these metrics with sector averages to assess valuation.

Should I buy PHAT stock in 2026?

Our dual AI analysis gives Phathom Pharmaceuticals, Inc. a combined STRONG SELL rating for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.

What is PHAT's free cash flow?

Phathom Pharmaceuticals, Inc.'s operating cash flow is $-166.8M, with capital expenditures of $229.0K. FCF margin is -95.4%.

How does PHAT compare to other Healthcare stocks?

Vs Healthcare sector averages: Net margin -126.3% (avg: 12%), ROE N/A (avg: 15%), current ratio 1.73 (avg: 2).

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Disclaimer: This analysis is generated by Claude AI (Anthropic) and ChatGPT (OpenAI) based on publicly available SEC EDGAR filings. It does not include stock price data and should not be considered financial advice. All fundamental data is sourced from SEC public domain filings. Always conduct your own research and consult with a qualified financial advisor before making investment decisions.
Data Source: SEC EDGAR | Analysis Date: Apr 14, 2026 | Data as of: 2025-12-31 | Powered by Claude AI