📊 ADMA Key Takeaways
Is Adma Biologics, Inc.. (ADMA) a Good Investment?
ADMA demonstrates exceptional fundamental strength with 70.5% gross margins, 50.9% operating margins, and 19.6% revenue growth, generating substantial free cash flow (48.7% FCF margin) on a fortress balance sheet (0.50x debt/equity). However, the significant 25.9% YoY EPS decline despite positive net income growth indicates concerning capital structure changes or dilution requiring clarification before a stronger conviction.
ADMA Biologics shows strong underlying fundamentals with nearly 20% revenue growth, very high gross and operating margins, and a conservatively levered balance sheet. Financial health is robust given high liquidity, low debt, and strong interest coverage, but the decline in net income and modest free cash flow conversion suggest growth quality should be monitored closely. Overall, the business appears fundamentally strong, with some caution warranted around earnings durability and cash generation.
Adma Biologics, Inc.. Key Strengths (ADMA)
- Outstanding profitability: 70.5% gross margin and 50.9% operating margin demonstrate exceptional pricing power and operational efficiency
- Strong revenue growth at 19.6% YoY coupled with 48.7% free cash flow margin shows sustainable, cash-generative business model
- Fortress balance sheet: 6.95x current ratio, 0.50x debt/equity, 15.5x interest coverage, and $138.2M cash provide significant financial flexibility
- Capital-light operations: Low capex ($2.5M) relative to FCF generation ($55.7M) indicates minimal reinvestment needs
- Strong profitability profile with 57.4% gross margin, 37.5% operating margin, and 28.8% net margin
- Excellent balance sheet quality with 6.71x current ratio, 0.15x debt-to-equity, and 50.8x interest coverage
- Solid top-line growth of 19.6% YoY supported by strong returns on capital, including 30.8% ROE and 23.5% ROA
ADMA Stock Risks: Adma Biologics, Inc.. Investment Risks
- EPS declined 25.9% YoY despite net income growth, suggesting substantial share dilution that erodes shareholder value
- Biological products sector faces intense regulatory scrutiny and competitive pressures that could compress margins
- Moderate ROE (11.6%) relative to profitability levels suggests capital inefficiency or recent significant capital raises diluting existing shareholders
- Net income and diluted EPS declined about 26% YoY despite revenue growth, which may indicate normalization, higher costs, or non-operating pressure
- Free cash flow remains relatively modest at $27.82M, with only a 5.5% FCF margin versus much higher accounting profitability
- As a biologics manufacturer, sustaining current margins may depend on continued production efficiency, plasma economics, and product mix
Key Metrics to Watch
- Share count trend and EPS trajectory to understand dilution source and forward earnings power
- Gross margin sustainability under competitive and regulatory pressures
- Operating cash flow consistency and free cash flow deployment strategy (debt paydown vs. M&A vs. buybacks)
- Free cash flow conversion relative to net income
- Net margin and operating margin sustainability
Adma Biologics, Inc.. (ADMA) Financial Metrics & Key Ratios
💡 AI Analyst Insight
The 48.7% free cash flow margin provides substantial flexibility for dividends, buybacks, and strategic investments. Strong liquidity with a 6.95x current ratio provides a solid financial cushion.
ADMA Profit Margin, ROE & Profitability Analysis
ADMA vs Healthcare Sector: How Adma Biologics, Inc.. Compares
How Adma Biologics, Inc.. compares to Healthcare sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Adma Biologics, Inc.. Stock Overvalued? ADMA Valuation Analysis 2026
Based on fundamental analysis, Adma Biologics, Inc.. has mixed fundamental signals relative to the Healthcare sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
Adma Biologics, Inc.. Balance Sheet: ADMA Debt, Cash & Liquidity
ADMA Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Adma Biologics, Inc..'s revenue has grown significantly by 530% over the 5-year period, indicating strong business expansion. The most recent EPS of $-0.13 indicates the company is currently unprofitable.
ADMA Revenue Growth, EPS Growth & YoY Performance
ADMA Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q1 2026 | $114.5M | $26.9M | $0.11 |
| Q3 2025 | $119.8M | $17.8M | $0.15 |
| Q2 2025 | $107.2M | $17.8M | $0.13 |
| Q1 2025 | $81.9M | $17.8M | $0.08 |
| Q3 2024 | $67.3M | $2.6M | $0.01 |
| Q2 2024 | $60.1M | -$6.4M | $-0.03 |
| Q1 2024 | $56.9M | -$6.8M | $-0.03 |
| Q3 2023 | $41.1M | $2.6M | $0.01 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Adma Biologics, Inc.. Dividends, Buybacks & Capital Allocation
ADMA SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Adma Biologics, Inc.. (CIK: 0001368514)
📋 Recent SEC Filings
❓ Frequently Asked Questions about ADMA
What is the AI rating for ADMA?
Adma Biologics, Inc.. (ADMA) has a Combined AI Grade of A from Claude (A) and ChatGPT (A) with 76% combined confidence, based on fundamental analysis of SEC EDGAR filings.
What are ADMA's key strengths?
Claude: Outstanding profitability: 70.5% gross margin and 50.9% operating margin demonstrate exceptional pricing power and operational efficiency. Strong revenue growth at 19.6% YoY coupled with 48.7% free cash flow margin shows sustainable, cash-generative business model. ChatGPT: Strong profitability profile with 57.4% gross margin, 37.5% operating margin, and 28.8% net margin. Excellent balance sheet quality with 6.71x current ratio, 0.15x debt-to-equity, and 50.8x interest coverage.
What are the risks of investing in ADMA?
Claude: EPS declined 25.9% YoY despite net income growth, suggesting substantial share dilution that erodes shareholder value. Biological products sector faces intense regulatory scrutiny and competitive pressures that could compress margins. ChatGPT: Net income and diluted EPS declined about 26% YoY despite revenue growth, which may indicate normalization, higher costs, or non-operating pressure. Free cash flow remains relatively modest at $27.82M, with only a 5.5% FCF margin versus much higher accounting profitability.
What is ADMA's revenue and growth?
Adma Biologics, Inc.. reported revenue of $114.5M.
Does ADMA pay dividends?
Adma Biologics, Inc.. does not currently pay dividends.
Where can I find ADMA SEC filings?
Official SEC filings for Adma Biologics, Inc.. (CIK: 0001368514) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is ADMA's EPS?
Adma Biologics, Inc.. has a diluted EPS of $0.19.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined grade reflects both perspectives for balanced insights.
What is ADMA's fundamental grade?
Based on our AI fundamental analysis in June 2026, Adma Biologics, Inc.. has a A grade with 76% confidence. The AI analysis suggests favorable fundamentals based on SEC filings. This is not investment advice.
Is ADMA stock overvalued or undervalued?
Valuation metrics for ADMA: ROE of 11.6% (sector avg: 15%), net margin of 39.6% (sector avg: 12%). Compare these metrics with sector averages to assess valuation.
What is ADMA's AI grade for 2026?
Our dual AI analysis gives Adma Biologics, Inc.. a combined A grade for 2026. Revenue is data pending, with profitability above sector average. Always conduct your own research.
What is ADMA's free cash flow?
Adma Biologics, Inc..'s operating cash flow is $58.2M, with capital expenditures of $2.5M. FCF margin is 48.7%.
How does ADMA compare to other Healthcare stocks?
Vs Healthcare sector averages: Net margin 39.6% (avg: 12%), ROE 11.6% (avg: 15%), current ratio 6.95 (avg: 2).