Lake Street Analyst Recommends Buy for Aquestive Therapeutics with $8 Price Target

Aquestive Therapeutics (AQST) has received a Buy rating from Lake Street with a price target of $8.00, following a quarterly revenue of $8.72 million and a GAAP net loss of $22.93 million. The analyst consensus is a Strong Buy with an average price target of $6.79.

Aquestive Therapeutics (AQST) recently released its second-quarter 2025 earnings report, which showed a mixed performance with a quarterly loss of $0.14 per share, surpassing the Zacks Consensus Estimate of a loss of $0.18 [1]. This compares to a loss of $0.03 per share a year ago. The company's revenue for the quarter ended June 2025 was $10 million, missing the Zacks Consensus Estimate by 9.62% [1].

The earnings report marked an earnings surprise of +22.22%, as the company beat the EPS estimate by 17.65%, despite missing revenue expectations by 11.66% [2]. The stock showed a modest premarket increase of 1.04%, reaching $3.90 following the announcement [2].

Aquestive Therapeutics has seen its stock price increase by about 9.6% since the beginning of the year, compared to the S&P 500's gain of 8.6% [1]. The company's performance in Q2 2025 was marked by a 3% year-over-year increase in total revenues, excluding one-time revenue. The company's net loss for the quarter was $13.5 million, with cash and cash equivalents standing at $60.5 million as of June 30, 2025 [2].

Aquestive Therapeutics is preparing for the potential FDA approval of its lead product, ANNAFILM, with a decision expected by January 31, 2026. The company maintains its full-year revenue guidance between $44 million and $50 million, with a non-GAAP adjusted EBITDA loss projected between $47 million and $51 million [2]. The company's gross profit margin stands at 68.4%, indicating strong operational efficiency [2].

Analysts remain optimistic about the company's prospects. Lake Street has given AQST a Buy rating with a price target of $8.00, while the analyst consensus is a Strong Buy with an average price target of $6.79 [1]. The company's strategic focus on enhancing patient outcomes and innovation in its products has been highlighted by executives during the earnings call [2].

However, the company faces several challenges, including regulatory approval risks for ANNAFILM, competitive pressures in the rescue market for severe allergic reactions, and potential market access challenges, including reimbursement and pricing pressures [2]. Investors should closely monitor the company's earnings outlook and future FDA approvals to gauge its potential for growth.

References:
[1] https://www.nasdaq.com/articles/aquestive-therapeutics-aqst-reports-q2-loss-lags-revenue-estimates
[2] https://www.investing.com/news/transcripts/earnings-call-transcript-aquestive-therapeutics-q2-2025-sees-eps-beat-revenue-miss-93CH-4185185