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ARWRBiotech TherapeuticsPharmaceutical Preparations

Arrowhead Pharmaceuticals, Inc.

Arrowhead has moved into material reported revenue and improving GAAP diluted EPS while trading in an established uptrend with heavy institutional ownership and strong relative strength.

Stage: Stage 2 (continuation)Rev growth: +171% YoYGAAP EPS growth: -133% YoYTrend template: 7/7 checksRS vs S&P (3m): +13.7%Institutional ownership: +85.6%
1 year · 9 EMA · 21 EMA$86.34+196.9% (1Y)
$40$60$80OCTJANAPRJUL$86.34

Arrowhead Pharmaceuticals operates in biotech therapeutics and is listed on NasdaqGS with a market capitalization near $12.2 billion. The stock sits in a confirmed uptrend, classified as Weinstein Stage 2, and features broad institutional sponsorship with 653 reporting institutions holding roughly 85.6% of shares.

The company’s financials show a clear shift toward sizable reported revenue in recent years. Revenue reached $542,709,000 in CY2025Q1 and $264,033,000 in CY2025Q4 after several quarters of minimal sales, then recorded $73,737,000 in CY2026Q1 and $75,253,000 in CY2026Q2. GAAP diluted EPS swung from losses in earlier quarters (for example, GAAP diluted EPS of -$1.24 in CY2023Q4) to a positive $2.78 in CY2025Q1 and $0.22 in CY2025Q4, before returning to negative GAAP diluted EPS in CY2026Q1 (-$0.93) and CY2026Q2 (-$1.36). Reported revenue growth and EPS dynamics have been volatile, and the company’s EPS acceleration metric is flagged as improving even while revenue acceleration is not consistent.

Within the Biotech Therapeutics theme, Arrowhead’s combination of large reported revenue quarters, intermittent positive GAAP diluted EPS, strong relative strength versus the S&P 500 (12‑month excess return +189.7%), and a validated technical uptrend position the company as a timely, high‑profile therapeutic developer transitioning toward commercial receipts. That profile explains why it scores highly on theme and institutional ownership filters despite mixed short‑term revenue acceleration.

Why now

Recent quarters show material, recurring reported revenue after a prior low-revenue period, GAAP diluted EPS has produced positive results in CY2025, institutional ownership is high at 85.6%, and price sits in a confirmed uptrend, making the company a current focus within Biotech Therapeutics.

The setup

Last close was $86.34 (as of 2026-09-04), above the 50-day SMA ($84.01) and the 200-day SMA ($71.14); the 9- and 21-day EMAs are near the price (EMA9 $85.92, EMA21 $86.04). The technical checklist shows 7/7 trend checks passed and a Weinstein Stage 2 classification, but entry readiness is labeled 'watch' because there is no recent verified breakout or fresh 9/21-day EMA add setup; short-term momentum is neutral (RSI 14 = 51.53).

Revenue trajectory

+57%$138M2021+76%$243M2022-1%$241M2023-99%$4M2024+23258%$829M2025-44%$461M2026E-25%$346M2027E

Reported (SEC filings)Analyst consensus

Full-year revenue with year-over-year growth. Solid bars are calendar-year actuals from SEC EDGAR filings (XBRL); dashed bars are analyst consensus via Yahoo Finance (13 analysts), which is published two fiscal years out.

Earnings trajectory

-322%-$1.02Q1 '24-$1.38Q2 '24-$1.39Q4 '24$2.78Q1 '25-$1.26Q2 '25$0.22Q4 '25-133%-$0.93Q1 '26-$1.36Q2 '26-785%-$1.59Q3 '26E-737%-$1.40Q4 '26E

GAAP actual (SEC filings)Analyst consensus (typically adjusted)

Solid bars are quarterly GAAP diluted EPS from SEC EDGAR filings. Dashed bars are analyst consensus, which is typically adjusted (non-GAAP). The two are measured differently, so a step between the last actual and the first estimate usually reflects that change in basis rather than a change in the business.

Analyst full-year EPS consensus (typically adjusted): FY'26E $-3.61 (-35973%) · FY'27E $-4.83 (-34%) — 13 analysts

Risks

Revenue and GAAP diluted EPS have been highly volatile from quarter to quarter, raising forecasting risk; very high institutional ownership (about 85.6%) can compress float and amplify price moves if large holders change positions; and as a therapeutics company, clinical and regulatory outcomes remain binary drivers that can quickly reverse momentum or revenue trends.

Framework fit

CANSLIM

4/7
  • CCurrent quarterly GAAP EPS growth ≥ 25%-133%
  • AAnnual GAAP EPS growth ≥ 25%insufficient data
  • NNew highs — within 15% of 52-week high-3.63%
  • SSupply/demand — up-day volume leads0.72x
  • LLeader — outperforming the S&P 500+30% 6m
  • IInstitutional sponsorshipmodel score 8/10
  • MMarket in a confirmed uptrendConfirmed uptrend

Minervini Trend Template

7/7

Stage 2 confirmation checklist: price versus rising long-term moving averages and the 52-week range.

Weinstein Stage

Stage 2 (continuation)Continuation

Established uptrend: price is above a rising 30-week proxy, with the 200-day line used as a separate confirmation.

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