Is Amylyx Pharmaceuticals (AMLX) Overvalued After Its 250% Year‑to‑Date Share Price Surge?

Amylyx Pharmaceuticals (AMLX) has quietly staged a sharp rebound this year, with the stock up roughly 250% year to date and about 180% over the past year, drawing fresh attention from biotech investors.

See our latest analysis for Amylyx Pharmaceuticals.

The recent pullback, with a 1 day share price return of minus 3.7 percent and a 7 day share price return of minus 4.0 percent, looks more like a pause in what has been strong upward momentum, given the 30 day share price return of 11.1 percent and year to date share price return near 250 percent, even though the 3 year total shareholder return remains deeply negative.

If this kind of sharp recovery in a beaten down biotech has your attention, it could be a good time to explore other specialist names via healthcare stocks.

With Amylyx still unprofitable but growing fast, and the share price trading at a steep discount to analyst targets, investors face a key question: is this a genuine bargain, or has the market already priced in future growth?

Price to Book of 4.5x: Is it justified?

At a last close of $13.67, Amylyx trades on a price to book ratio of 4.5 times, suggesting a rich valuation versus many peers.

The price to book ratio compares a company’s market value to its net assets on the balance sheet. It is a common yardstick for asset light, research heavy biotechs. For Amylyx, it reflects investors paying several times the company’s book value despite minimal current revenue and ongoing losses.

Analysts report a consensus target price of about $20.33, which indicates the market may be willing to look past near term unprofitability. However, the 4.5 times price to book multiple already exceeds the broader US pharmaceuticals industry average of 2.6 times. This underscores that Amylyx is being valued at a clear premium compared to many sector peers rather than at a discount.

See what the numbers say about this price — find out in our valuation breakdown.

Result: Price to Book of 4.5x (OVERVALUED)

However, setbacks in Amylyx’s late stage trials, or delays in bringing key candidates to market, could quickly unwind the recent optimism embedded in the valuation.

Find out about the key risks to this Amylyx Pharmaceuticals narrative.

Build Your Own Amylyx Pharmaceuticals Narrative

If you see the story differently or simply prefer to dig into the numbers yourself, you can build a personalized view in minutes: Do it your way.

A great starting point for your Amylyx Pharmaceuticals research is our analysis highlighting 1 key reward and 4 important warning signs 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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