ARWR (Arrowhead Pharmaceuticals) EBIT: $-159.8 Mil (TTM As of Mar. 2026)


ARWR Arrowhead Pharmaceuticals Inc ARWR
49 GF Score
Price $80.06
GF Value $52.23
Valuation Significantly Overvalued
! 6 Warning Signs
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What is Arrowhead Pharmaceuticals EBIT?

Arrowhead Pharmaceuticals ARWR +0.31% 49 EBIT is $-159.8 Mil as of Mar. 2026. GuruFocus rates ARWR with a GF Score™ of 49/100 and a GF Value™ of $52.23 (Significantly Overvalued). The stock has 6 warning signs investors should review.

Arrowhead Pharmaceuticals's earnings before interest and taxes (EBIT) for the three months ended in Mar. 2026 was $-113.7 Mil. Its earnings before interest and taxes (EBIT) for the trailing twelve months (TTM) ended in Mar. 2026 was $-159.8 Mil.

EBIT or Operating Income is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. Arrowhead Pharmaceuticals's annualized ROC % for the quarter that ended in Mar. 2026 was -94.49%. Arrowhead Pharmaceuticals's annualized ROC (Joel Greenblatt) % for the quarter that ended in Mar. 2026 was -108.36%.

EBIT is also linked to Joel Greenblatt's definition of earnings yield. Arrowhead Pharmaceuticals's Earnings Yield (Joel Greenblatt) % for the quarter that ended in Mar. 2026 was -1.53%.

Arrowhead Pharmaceuticals  (NAS:ARWR) EBIT Explanation

1. EBIT or Operating Income is linked to Return on Capital for both regular definition and Joel Greenblatt's definition.

Arrowhead Pharmaceuticals's annualized ROC % for the quarter that ended in Mar. 2026 is calculated as:

ROC % (Q: Mar. 2026 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Dec. 2025 ) + Invested Capital (Q: Mar. 2026 ))/ count )
=-565.04 * ( 1 - 0% )/( (599.929 + 596.036)/ 2 )
=-565.04/597.9825
=-94.49 %

where

Invested Capital(Q: Dec. 2025 )
=Total Assets - Accounts Payable & Accrued Expense - Excess Cash
=Total Assets - Accounts Payable & Accrued Expense - ( Cash, Cash Equivalents, Marketable Securities - max(0, Total Current Liabilities - Total Current Assets+Cash, Cash Equivalents, Marketable Securities))
=1604.181 - 177.288 - ( 916.61 - max(0, 347.425 - 1174.389+916.61))
=599.929

Invested Capital(Q: Mar. 2026 )
=Total Assets - Accounts Payable & Accrued Expense - Excess Cash
=Total Assets - Accounts Payable & Accrued Expense - ( Cash, Cash Equivalents, Marketable Securities - max(0, Total Current Liabilities - Total Current Assets+Cash, Cash Equivalents, Marketable Securities))
=2268.265 - 127.698 - ( 1784.091 - max(0, 295.22 - 1839.751+1784.091))
=596.036

Note: The Operating Income data used here is four times the quarterly (Mar. 2026) data.

2. Joel Greenblatt's definition of Return on Capital:

Arrowhead Pharmaceuticals's annualized ROC (Joel Greenblatt) % for the quarter that ended in Mar. 2026 is calculated as:

ROC (Joel Greenblatt) %(Q: Mar. 2026 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Dec. 2025  Q: Mar. 2026
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=-454.876/( ( (421.945 + max(-42.117, 0)) + (417.616 + max(-191.786, 0)) )/ 2 )
=-454.876/( ( 421.945 + 417.616 )/ 2 )
=-454.876/419.7805
=-108.36 %

where Working Capital is:

Working Capital(Q: Dec. 2025 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(218.871 + 0 + 38.908) - (177.288 + 111.933 + 10.675)
=-42.117

Working Capital(Q: Mar. 2026 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(15.685 + 0 + 39.975) - (127.698 + 108.543 + 11.205)
=-191.786

When net working capital is negative, 0 is used.

Note: The EBIT data used here is four times the quarterly (Mar. 2026) EBIT data.

3. It is also linked to Joel Greenblatt's definition of Earnings Yield:

Arrowhead Pharmaceuticals's Earnings Yield (Joel Greenblatt) % for today is calculated as:

Earnings Yield (Joel Greenblatt) %=EBIT (TTM)/Enterprise Value (Q: Mar. 2026 )
=-159.835/10466.615
=-1.53 %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Arrowhead Pharmaceuticals EBIT Related Terms

Arrowhead Pharmaceuticals EBIT Historical Data

* Premium members only.

The historical data trend for Arrowhead Pharmaceuticals's EBIT can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Arrowhead Pharmaceuticals EBIT Chart

Arrowhead Pharmaceuticals Annual Data
Trend Sep16 Sep17 Sep18 Sep19 Sep20 Sep21 Sep22 Sep23 Sep24 Sep25
EBIT
Get a 7-Day Free Trial Premium Member Only Premium Member Only -140.85 -172.71 -188.17 -580.11 140.89

Arrowhead Pharmaceuticals Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
EBIT Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 391.26 -154.71 57.82 50.78 -113.72

ARWR vs BMRN, MDGL, CYTK: EBIT Comparison

For the Biotechnology subindustry, Arrowhead Pharmaceuticals's EV-to-EBIT, along with its competitors' market caps and EV-to-EBIT data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.

Arrowhead Pharmaceuticals EV-to-EBIT vs Biotechnology Industry

For the Biotechnology industry and Healthcare sector, Arrowhead Pharmaceuticals's EV-to-EBIT distribution charts can be found below:

* The bar in red indicates where Arrowhead Pharmaceuticals's EV-to-EBIT falls into.


ARWR
49GF Score
Arrowhead Pharmaceuticals Inc ARWR
EBIT is just one metric. See GF Score™, valuation, warning signs, and more.
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Arrowhead Pharmaceuticals EBIT Calculation

EBIT, sometimes also called Earnings Before Interest and Taxes, is a measure of a firm's profit that includes all expenses except interest and income tax expenses. It is the difference between operating revenues and operating expenses. When a firm does not have non-operating income, then Operating Income is sometimes used as a synonym for EBIT and operating profit.

EBIT for the trailing twelve months (TTM) ended in Mar. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was $-159.8 Mil.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Frequently Asked Questions Learn more about EBIT →
What does a EBIT of $-159.8 Mil mean?
Arrowhead Pharmaceuticals (ARWR) has a EBIT of $-159.8 Mil as of Mar. 2026. Earnings before interest and taxes is the difference between operating revenue and operating expenses. View historical data on Arrowhead Pharmaceuticals.
Is Arrowhead Pharmaceuticals' EBIT too high?
Arrowhead Pharmaceuticals' current EBIT is $-159.8 Mil. Overall, Arrowhead Pharmaceuticals has a GF Score™ of 49/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Arrowhead Pharmaceuticals' EBIT compare to BMRN and MDGL?
Arrowhead Pharmaceuticals' EBIT of $-159.8 Mil can be compared against companies in the Biotechnology industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good EBIT for a Biotechnology company?
A good EBIT depends on the Biotechnology industry context. However, EBIT should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high EBIT mean?
A high EBIT can signal that a stock is expensive relative to its fundamentals. Earnings before interest and taxes is the difference between operating revenue and operating expenses. View historical data on Arrowhead Pharmaceuticals. Arrowhead Pharmaceuticals's current EBIT is $-159.8 Mil. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Arrowhead Pharmaceuticals stock overvalued right now?
Based on GuruFocus' analysis, Arrowhead Pharmaceuticals (ARWR) is currently considered Significantly Overvalued. The stock's GF Value™ is $52.23, compared to a current price of $80.06 — trading 53.3% above its estimated fair value. The current EBIT is $-159.8 Mil. Arrowhead Pharmaceuticals' overall GF Score™ is 49/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is EBIT calculated?
EBIT is calculated from a company's financial statements. For Arrowhead Pharmaceuticals (ARWR), the current EBIT is $-159.8 Mil as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Arrowhead Pharmaceuticals (ARWR) Overvalued in 2026?

Based on GuruFocus' analysis, Arrowhead Pharmaceuticals stock appears to be overvalued. The current stock price of $80.06 is trading 53.3% above its estimated GF Value™ of $52.23. GuruFocus considers Arrowhead Pharmaceuticals to be Significantly Overvalued.

Key valuation signals for ARWR:

  • EBIT: $-159.8 Mil
  • GF Value™: $52.23 vs. price of $80.06 (53.3% above fair value)
  • GF Score™: 49/100 with 6 warning signs

No single metric tells the full story. See the ARWR stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.

Arrowhead Pharmaceuticals Business Description

Address 177 E Colorado Boulevard, Suite 700, Pasadena, CA, USA, 91105
Arrowhead Pharmaceuticals Inc is a commercial-stage pharmaceutical company. It is focused on the development of medicines for diseases associated with genetic abnormalities or protein overproduction. The company develops potential RNAi therapies designed to inhibit the expression of genes known to trigger diseases. Its portfolio includes potential drugs targeting Cardiometabolic, Neuromuscular, Pulmonary, Liver, and other diseases. The company also develops RNAi products and clinical candidates designed to target different cell types within the body.
49GF Score

Get the complete analysis for ARWR

EBIT is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

$80.06
Price
$52.23
GF Value