Can AQST sustain its Q3 2024 EPS growth momentum?
4/11/2025 01:20pm
**Aquestive Therapeutics Inc (AQST) is poised to sustain its Q3 2024 EPS growth momentum**, based on the following points:
1. **Consistent Revenue Growth**: AQST has demonstrated a 52% increase in total revenue in Q2 2024, reaching $20.1 million. This significant growth trajectory is a strong indicator of the company's ability to generate income, which is a key factor for sustaining EPS growth.
2. **Positive Analyst Outlook**: Recent analyst upgrades have resulted in a more optimistic consensus for AQST's revenue and earnings per share (EPS) for 2024. This shift in analyst sentiment reflects confidence in AQST's business prospects, which could lead to continued EPS growth in Q3 2024.
3. **Financial Stability**: AQST's financial position, with approximately $90 million in cash and cash equivalents as of June 30, 2024, provides a solid foundation for supporting ongoing development and commercialization efforts. This financial stability is crucial for sustaining growth initiatives, including those aimed at enhancing EPS.
4. **Strategic Advancements**: The company's strategic advancements, such as the FDA approval for Libervant diazepam Buccal Film for the 2 to 5-year-old age group, and the positive top-line data from supportive studies for Anaphylm epinephrine Sublingual Film, are likely to contribute to future revenue growth. As these products continue to gain market traction, they could further enhance AQST's EPS growth momentum.
5. **Operational Efficiency**: Despite the increase in net loss, AQST has shown improvements in operational efficiency, as evidenced by the non-GAAP Adjusted EBITDA income of $1.8 million in Q2 2024 compared to a loss in the same period last year. Enhanced operational efficiency can lead to better resource allocation, which is essential for sustaining EPS growth.
In conclusion, AQST's strong revenue growth, positive analyst sentiment, robust financial position, strategic product advancements, and improved operational efficiency suggest that the company is well-positioned to sustain its Q3 2024 EPS growth momentum.