Phathom's 15min chart shows Bollinger Bands Narrowing and KDJ Death Cross signal.

The 15-minute chart of Phathom's stock price has recently exhibited Bollinger Bands Narrowing and a KDJ Death Cross, which occurred at 14:00 on July 1, 2025. This indicates a decline in the magnitude of stock price fluctuations and a shift in momentum towards the downside, potentially leading to further decreases in stock price.

Phathom Pharmaceuticals (PHAT) stock experienced a notable decline of 6.8% during trading on Monday, June 23, 2025, following a positive FDA decision. The stock traded as low as $10.14 and last traded at $9.71. This drop comes despite the FDA granting the company's novel gastric acid-reducing drug, vonoprazan (VOQUEZNA), regulatory exclusivity through 2032, providing a full 10-year patent protection as a new chemical entity [1].

The 15-minute chart of Phathom's stock price has recently exhibited Bollinger Bands Narrowing and a KDJ Death Cross, which occurred at 14:00 on July 1, 2025. This indicates a decline in the magnitude of stock price fluctuations and a shift in momentum towards the downside, potentially leading to further decreases in stock price [2].

Phathom Pharmaceuticals' stock price has been influenced by several factors. The company's revenue has shown impressive growth, with $81.9 million in the last 12 months and $28.5 million in Q1 2025, up from $1.9 million in Q1 2024. The gross margin in Q1 2025 was $24.8 million, with a gross margin of 87%. However, the company is still not profitable and has a long-term debt of $547 million [1].

The FDA's decision to grant vonoprazan 10-year exclusivity is a significant milestone for Phathom Pharmaceuticals. The drug offers several advantages over traditional proton pump inhibitors (PPIs), including rapid and potent acid suppression and sustained 24-hour heartburn relief. It has shown a 93% esophageal healing rate at 8 weeks, compared to 85% shown by lansoprazole. The company is also developing an orally disintegrating tablet formulation for pediatric use and plans to launch a Phase 2 trial in treating eosinophilic esophagitis this year [1].

Despite the positive FDA news, Phathom Pharmaceuticals faces several challenges. The stock's recent technical indicators suggest a potential downward trend. Additionally, the company's revenue is largely dependent on a single product, and it is competing in a crowded GERD market where cheap PPI drugs are frequently used [1].

Phathom Pharmaceuticals' stock has received mixed analyst ratings. While several analysts have given the company a "buy" rating with price targets ranging from $12.00 to $28.00, one analyst has given a "neutral" rating [2]. Institutional investors have also shown interest in the company, with several hedge funds and institutional investors increasing their stakes in the business [2].

Phathom Pharmaceuticals' stock price may face further challenges in the near term, but the company's strong pipeline and positive FDA news could provide opportunities for long-term investors. It is essential for investors to conduct thorough research and consult with financial advisors before making any investment decisions.

References:
[1] https://seekingalpha.com/article/4797079-phathom-pharmaceuticals-potential-blockbuster-gastric-acid-reducing-drug
[2] https://www.marketbeat.com/instant-alerts/phathom-pharmaceuticals-nasdaqphat-trading-down-68-time-to-sell-2025-06-23/