Will Harrow's (HROW) Return to Profitability Reshape Its Growth Narrative?

• Harrow, Inc. recently reported its third quarter 2025 financial results, posting revenue of US$71.64 million and achieving net income of US$1.02 million after a net loss in the prior year.
• This marks a shift in profitability for the company, with a swing from a net loss a year ago to positive earnings this quarter.
• Following this return to profitability, we'll examine how these results influence Harrow's investment narrative and future growth outlook.

Find companies with promising cash flow potential yet trading below their fair value.

Harrow Investment Narrative Recap

To own Harrow stock, an investor needs confidence in the continued expansion of its flagship ophthalmic portfolio and the company’s ability to execute on high-growth product launches while maintaining profitability. The Q3 earnings announcement, marking a break into positive net income as revenue continued to climb, reinforces progress toward near-term profitability, but does not meaningfully resolve the key risk: sustaining growth in the face of competitive threats and the potential for normalization after recent surges in demand.

Among recent company developments, the launch of the Harrow Access for All (HAFA) program stands out as highly relevant. By capping out-of-pocket expenses for patients, this initiative aims to drive wider adoption and reduce barriers to prescription volume growth, directly supporting revenue catalysts at a time when operational execution remains central to the company’s investment thesis.

However, investors should pay close attention to the possibility that rapid growth in Harrow’s leading products may not be sustainable if demand patterns shift, as...

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

Harrow's narrative projects $586.7 million revenue and $209.0 million earnings by 2028. This requires 37.1% yearly revenue growth and a $219.2 million increase in earnings from -$10.2 million today.

Uncover how Harrow's forecasts yield a $68.18 fair value, a 72% upside to its current price.

Exploring Other Perspectives

Fair value estimates from the Simply Wall St Community range widely, from US$42 to US$271.56, across five unique perspectives. While community opinions differ, the company’s exposure to competitive and generic risk underscores why it’s critical to explore several points of view before forming your own outlook.

Explore 5 other fair value estimates on Harrow - why the stock might be worth just $42.00!

Build Your Own Harrow 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 Harrow research is our analysis highlighting 3 key rewards that could impact your investment decision.
• Our free Harrow research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate Harrow's 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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