Arrowhead Pharmaceuticals (ARWR) Is Up 5.9% After Filing for First Dual-Gene RNAi Therapy Trial – Has the Long-Term Thesis Shifted?

• Arrowhead Pharmaceuticals recently announced that it has filed for regulatory clearance to begin a Phase 1/2a clinical trial of ARO-DIMER-PA, an investigational RNAi therapy designed to silence both PCSK9 and APOC3 genes for the potential treatment of mixed hyperlipidemia and atherosclerotic cardiovascular disease.
• This marks the first time an RNAi therapy is advancing to the clinic with the capability to simultaneously target two genes in one molecule, highlighting Arrowhead's TRiM platform innovation and addressing a substantial unmet need in cardiovascular care.
• We’ll explore how this first-in-class dual-gene RNAi therapeutic could reshape Arrowhead's longer-term growth prospects and industry positioning.

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Arrowhead Pharmaceuticals Investment Narrative Recap

To be a shareholder in Arrowhead Pharmaceuticals, you need to believe in the commercial potential of its RNAi pipeline and that key clinical milestones, especially late-stage data from pivotal programs, will convert into revenue and move the company toward profitability. The recent ARO-DIMER-PA trial filing demonstrates Arrowhead’s innovation, but given its early-stage status, it is not expected to materially impact near-term cash flows or alter the company’s most important short-term catalyst, which remains data and approvals for late-stage cardiovascular candidates.

Among recent announcements, the July enrollment milestone in the YOSEMITE Phase 3 zodasiran trial is highly relevant, as it highlights Arrowhead’s increasing focus on cardiometabolic indications. Achievements in this area carry more immediate significance for Arrowhead’s valuation and risk-adjusted outlook than new early pipeline developments like ARO-DIMER-PA.

In contrast, Arrowhead’s heavy R&D costs and lack of market-approved products mean investors should be alert to…

Read the full narrative on Arrowhead Pharmaceuticals (it's free!)

Arrowhead Pharmaceuticals' narrative projects $398.8 million revenue and $64.0 million earnings by 2028. This requires an annual revenue decline of 11.4% and an earnings increase of $212.4 million from -$148.4 million today.

Uncover how Arrowhead Pharmaceuticals' forecasts yield a $45.00 fair value, a 23% upside to its current price.

Exploring Other Perspectives

Two community members from Simply Wall St submitted fair value estimates on Arrowhead Pharmaceuticals, ranging from as low as US$0.33 to as high as US$45. While perspectives vary, the company’s reliance on clinical progression and key regulatory milestones remains central to future outcomes. Explore more diverse viewpoints below.

Explore 2 other fair value estimates on Arrowhead Pharmaceuticals - why the stock might be worth as much as 23% more than the current price!

Build Your Own Arrowhead Pharmaceuticals Narrative

Disagree with existing narratives? Create your own in under 3 minutes - extraordinary investment returns rarely come from following the herd.

• A great starting point for your Arrowhead Pharmaceuticals research is our analysis highlighting 2 key rewards and 1 important warning sign that could impact your investment decision.
• Our free Arrowhead Pharmaceuticals research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate Arrowhead Pharmaceuticals' overall financial health at a glance.

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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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