12 Most Profitable Pharmaceutical Stocks Right Now

5. Amphastar Pharmaceuticals, Inc. (NASDAQ:AMPH)

Net Income Growth 5Y: 24.93%

Amphastar Pharmaceuticals, Inc. (NASDAQ:AMPH) is a biopharmaceutical company that specializes in the development, manufacturing, marketing, and sale of generic and proprietary injectable, inhalation, and intranasal products. The company operates primarily in the United States, China, and France. AMPH is one of the most profitable stocks on our list.

In Q3 2024, Amphastar Pharmaceuticals, Inc. (NASDAQ:AMPH) reported net revenues of $191.2 million, a 6% year-over-year increase, driven by strong sales of products like Primatene Mist ($26.1 million), BAQSIMI ($40.4 million), and the launch of Albuterol MDI. Primatene Mist is on track for $100 million in annual sales by the end of 2024, and the corporation plans to expand the BAQSIMI market and strengthen its sales force.

Despite a decrease in adjusted net income to $49.6 million ($0.96 per share) due to lower gross margins (53% vs. 60% in 2023) and higher operating expenses, the company generated $60 million in cash flow and repurchased $35 million worth of shares. Amphastar Pharmaceuticals, Inc. (NASDAQ:AMPH) also announced a $50 million share buyback program. Ongoing discussions with the FDA regarding its insulin pipeline are expected to drive future growth.

Street analysts hold a consensus Strong Buy rating on the stock, with an average price target of $63.67 (high: $70, low: $55), implying a 40.89% upside from the current price of $45.19.