ADMA Biologics (ADMA): Assessing Valuation Following Palisades Investment Partners’ Full Stake Exit

Palisades Investment Partners made headlines by fully divesting its stake in ADMA Biologics (ADMA) during the third quarter, selling all shares as the company continues to post revenue and earnings growth. This move has sparked fresh discussions among investors in advance of the upcoming earnings report.

See our latest analysis for ADMA Biologics.

ADMA Biologics’s share price has pulled back significantly in recent months, reflecting shifting sentiment after Palisades’ full exit and some market caution ahead of the company’s upcoming earnings report. While the 1-year total shareholder return sits deep in negative territory, long-term holders are still sitting on major gains after a 5-year total return of over 740%. Momentum has clearly faded this year, but the growth story across several years has been profound.

If this shift in momentum has you curious about what other stocks are gaining attention, consider expanding your search to fast growing stocks with high insider ownership.

Now, with the stock trading well below its analyst price target and future earnings in sight, investors must ask themselves whether this is an undervalued opportunity or if the market has already priced in the company’s growth prospects.

Most Popular Narrative: 44% Undervalued

According to the most followed narrative, ADMA Biologics’s fair value is estimated at $27.25, substantially above the latest closing price of $15.37. This wide gap has turned heads and invites fresh debate on what could be behind such a bold valuation.

Commercial-scale implementation of the FDA-approved yield enhancement process is producing a 20%+ increase in bulk immunoglobulin output, expected to drive sustained gross margin expansion and higher net income starting in early 2026 and beyond.

Read the complete narrative.

What is really driving this ambitious upside? The formula behind this narrative hints at explosive growth in top-line and bottom-line results, combined with a premium price tag usually seen in the sector’s leaders. Want to know which key assumptions support that sharp fair value forecast? Click to uncover the catalysts and projections powering this story.

Result: Fair Value of $27.25 (UNDERVALUED)

Have a read of the narrative in full and understand what's behind the forecasts.

However, heavy reliance on only a few products and unexpected manufacturing hurdles could quickly challenge the positive outlook for ADMA Biologics in the coming years.

Find out about the key risks to this ADMA Biologics narrative.

Build Your Own ADMA Biologics Narrative

If you see the story differently or prefer to draw your own conclusions, the data is open for you to explore and craft a perspective in just a few minutes, so Do it your way.

A great starting point for your ADMA Biologics research is our analysis highlighting 3 key rewards and 1 important warning sign that could impact your investment decision.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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