Amphastar: Perplexing Pipeline, Lumpy Revenues - I'm On Sidelines

Summary

• Amphastar Pharmaceuticals has seen significant growth since its 2014 IPO, with its stock price increasing over 500% to $45 per share.
• The acquisition of Baqsimi from Eli Lilly is a key revenue driver, but its long-term profitability remains uncertain due to milestone payments.
• Amphastar's revenue growth from epinephrine and Primatene MIST may not be sustainable, and the company faces intense competition in these markets.
• The pipeline's future is unclear, with several FDA rejections and no standout products, leading to a "Hold" rating on Amphastar stock.