What Arrowhead Pharmaceuticals, Inc.’s (NASDAQ:ARWR) 29% Share Price Gain Is Not Telling You
Despite an already strong run, Arrowhead Pharmaceuticals, Inc. (NASDAQ:ARWR) shares have been powering on, with a gain of 29% in the last thirty days. The last month tops off a massive increase of 107% in the last year.
In spite of the firm bounce in price, you could still be forgiven for feeling indifferent about Arrowhead Pharmaceuticals’ P/S ratio of 9x, since the median price-to-sales (or “P/S”) ratio for the Biotechs industry in the United States is also close to 10.3x. Although, it’s not wise to simply ignore the P/S without explanation as investors may be disregarding a distinct opportunity or a costly mistake.
