| Factor | Score | Distribution | Value | Avg | Rank |
|---|---|---|---|---|---|
Valuation | 32 | — | 17.8x | Bottom tier | |
Growth | 56 | -8.2% | 7.1% | Around median | |
Quality | 58 | -4.2% | 4.5% | Around median | |
Safety | 17 | 6.2x | 2.6x | Bottom tier | |
Capital Return | 9 | 0.00% | 2.12% | Bottom tier | |
Momentum | 51 | -53.2% | 2.9% | Around median | |
Sentiment | 70 | 3 | 3 | Top tier |
Estimates — analyst targets and a simplified DCF, not investment advice.
Ten ratios that matter, each compared against its sector median and average — so you can see whether a number is rich or cheap relative to peers in the same sector.
Alvotech is a biopharmaceutical company specializing in the development, manufacturing, and commercialization of biosimilars through a business-to-business model, manufacturing products and supplying them to commercial partners in global markets. In the first half of fiscal year 2026, half of revenue came from product sales of $106 million, and the other half from licensing revenue of $106 million; therefore, results are affected by the timing of partner orders, inventory movements, and supply availability, as well as the timing of payments related to licensing and development milestones. The commercial base expanded to five biosimilars contributing to product revenue, including biosimilars for Humira, STELARA, Simponi, EYLEA, and Prolia/Xgeva.
In quarter 2 of fiscal year 2026, revenue was $106 million, down 39% year over year and at a level similar to the previous quarter, while gross margin was 51% and adjusted earnings before interest, taxes, depreciation, and amortization were $23 million, down 32% year over year. Product margin was 6%, affected by product mix and the manufacturing slowdown related to improvements at the Reykjavik facility, while manufacturing operations returned to planned operating levels by the end of the quarter. In the first half of fiscal year 2026, the company recorded revenue of $212 million, a gross margin of 54%, and adjusted earnings before interest, taxes, depreciation, and amortization of $47 million at a margin of 22%.
The annual financial statements show a substantial improvement between fiscal year 2023 and fiscal year 2025; revenue increased from $91.4 million to $586.3 million, and gross profit shifted from a loss of $69.4 million to a profit of $350.8 million. In fiscal year 2025, Alvotech recorded net income of $27.9 million and earnings per share of $0.10, compared with a net loss of $231.9 million and negative earnings per share of $0.87 in fiscal year 2024. This reflects the company’s shift to annual profitability, but the results for the first half of fiscal year 2026 showed that its growth remains sensitive to manufacturing capacity and the timing of licensing revenue.
Automated analysis for informational purposes only — not investment advice.
The analyst consensus is “Buy,” with an average price target of $8.60, a high of $10, and a low of $5; the average is below the top of the 52-week range of $9.25, while the breadth of the targets reveals a clear divergence in risk assessments. No price-to-earnings ratio is available for the stock, so the valuation depends more heavily on achieving fiscal year 2026 guidance, securing U.S. approvals, and improving product margin after manufacturing constraints, while the wide 52-week range between $2.94 and $9.25 remains evidence of the stock’s sensitivity to these outcomes.
Figures in the text are as of 2026-09-01; the live price is shown at the top of the page.
Revenue for the first half of fiscal year 2026 was approximately $212 million, down 31% year over year, because improvements to the Reykjavik facility and quality systems reduced production and constrained product availability. Management explained that the business-to-business model also makes revenue dependent on the timing of partner orders and inventory movements, not solely on end demand. Manufacturing operations returned to planned levels by the end of quarter 2 of fiscal year 2026, and the company is focused on rebuilding supply and safety stock. Based on the production and supply cycle, management expects momentum to begin recovering in quarter 3, followed by a stronger increase in quarter 4 of fiscal year 2026.
Alvotech had five biosimilars contributing to product revenue during the first half of fiscal year 2026. The portfolio includes biosimilars to Humira and STELARA, alongside biosimilars to Simponi, EYLEA, and Prolia/Xgeva that began adding new revenue. Product revenue was $106 million, representing half of total first-half revenue of $212 million. The rollout of AVT05 and AVT06 also expanded to more than ten European markets, and both products reached Japan during fiscal year 2026.
Alvotech resubmitted four Biologics License Applications for biosimilars to Simponi, Simponi ARIA, EYLEA, and Prolia/Xgeva in June 2026. In acknowledgment letters, FDA confirmed that the applications constituted complete responses to the action letters issued in quarter 4 of fiscal year 2025 and set target dates consistent with a six-month review cycle. In July 2026, the agency closed the surveillance inspection it conducted in May with a “Voluntary Action Indicated” classification, while the Reykjavik facility remained approved for manufacturing. The targeted approvals in quarter 4 of fiscal year 2026 represent an important catalyst, but they remain subject to completion of the regulatory review, and AVT05 is also subject to an ongoing patent dispute.
Management reaffirmed a revenue range of $650 million to $700 million and adjusted earnings before interest, taxes, depreciation, and amortization of $180 million to $220 million for fiscal year 2026. This compares with revenue of $212 million and adjusted earnings of $47 million in the first half, requiring a substantially larger contribution in the second half. The company expects quarter 4 of fiscal year 2026 to be the strongest due to product availability, licensing milestones, and new transactions, while quarter 3 remains affected by the gradual production ramp-up. Therefore, achieving guidance depends on strong product execution and the timing of volatile licensing revenue.
Alvotech is developing more than 30 candidates and expects the next wave of products to receive approvals between 2027 and 2029. The programs include AVT16 and AVT80 as proposed biosimilars to presentations of ENTYVIO; FDA accepted the AVT16 application, while the applications for both products were validated in Europe. The company also began, with Dr. Reddy's, a pharmacokinetic similarity study for a KEYTRUDA biosimilar and launched the ALVOEYE-HD study for candidate AVT29 targeting EYLEA HD. On August 21, 2026, the Lotus Pharmaceutical agreement added AVT34 and AVT87, targeting biosimilars to Imfinzi and Hemlibra in the United States and eight Asian markets.
Alvotech ended June 2026 with $143 million in cash after a share issuance generated approximately $165 million in gross proceeds. It also secured an additional loan facility of up to $75 million and drew from it in quarter 3 of fiscal year 2026. In contrast, net interest payments were $37 million in quarter 2, capital expenditures were $28 million, and investments in intangible assets were $17 million. These resources provide financing for the portfolio, launches, and manufacturing, but high interest, investment spending, and the new share issuance are important factors when assessing financial risk.
