Will Liquidia's (LQDA) Eutrebia Momentum Define Its Path to Sustainable Profitability?

• Earlier this month, Liquidia presented an update at Wells Fargo’s Annual Healthcare Conference, highlighting strong early adoption of its new pulmonary treatment, Eutrebia, which achieved over 900 prescriptions and began treatment for 550 patients within eleven weeks of launch.
• A key insight is that robust prescription volume, positive real-world adoption, and new payer contracts have supported Liquidia’s plan to reach profitability within three to four quarters.
• We’ll explore how compelling ASCENT trial data and rapid Eutrebia uptake could influence Liquidia’s investment story moving forward.

We've found 19 US stocks that are forecast to pay a dividend yield of over 6% next year. See the full list for free.

What Is Liquidia's Investment Narrative?

Liquidia’s investment appeal has revolved around the promise of rapid commercial adoption for its pulmonary drug Eutrebia, supported by positive clinical trial results and a clear path toward potential profitability. The company’s recent update at Wells Fargo’s Healthcare Conference offered evidence of strong early Eutrebia uptake, with over 900 prescriptions and treatment starts for 550 patients in just eleven weeks. While this momentum strengthens the short-term catalyst of accelerating revenue growth, investors now need to assess how fast-rising prescription volumes could offset the company’s operating losses, which have grown in the first half of 2025. The latest news somewhat mitigates concerns about slower-than-expected adoption, though significant risks remain. Competitive pressures, ongoing legal disputes with United Therapeutics, and high valuation multiples continue to present headwinds that could impact future performance if not effectively managed.
However, patent litigation with United Therapeutics is an important risk investors should not overlook.

Despite retreating, Liquidia's shares might still be trading above their fair value and there could be some more downside. Discover how much.

Exploring Other Perspectives

The Simply Wall St Community’s three fair value estimates for Liquidia span from US$2.17 to nearly US$136, a very wide gap hinting at sharply divided future profit expectations. While robust initial Eutrebia adoption may shift near-term risks, the company’s ongoing legal battles remain a factor that cannot be ignored. Expect continued volatility as investor views and catalysts change.

Explore 3 other fair value estimates on Liquidia - why the stock might be worth over 6x more than the current price!

Build Your Own Liquidia Narrative

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

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

Want Some Alternatives?

Right now could be the best entry point. These picks are fresh from our daily scans. Don't delay:

• These 12 companies survived and thrived after COVID and have the right ingredients to survive Trump's tariffs. Discover why before your portfolio feels the trade war pinch.
• AI is about to change healthcare. These 31 stocks are working on everything from early diagnostics to drug discovery. The best part - they are all under $10b in market cap - there's still time to get in early.
• The end of cancer? These 29 emerging AI stocks are developing tech that will allow early identification of life changing diseases like cancer and Alzheimer's.

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.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com