📊 CPIX Key Takeaways
Is Cumberland Pharmaceuticals Inc. (CPIX) a Good Investment?
Cumberland Pharmaceuticals is unprofitable with negative operating and net margins (-6.3% and -6.4% respectively), though revenue growth of 17.6% YoY shows some market traction. While the company generates positive free cash flow of $4.8M, weak liquidity (current ratio 1.01x) and continued negative returns on equity (-11.4%) indicate operational challenges that outweigh growth potential.
Cumberland Pharmaceuticals shows improving top-line momentum, with revenue up 17.6% year over year and positive operating and free cash flow, which suggests the business is generating real cash despite reported losses. However, profitability remains weak with negative operating and net margins, returns on capital are negative, and liquidity is only marginally adequate, so the fundamentals support a cautious rather than aggressive stance.
Why Buy Cumberland Pharmaceuticals Inc. Stock? CPIX Key Strengths
- Revenue growth of 17.6% year-over-year demonstrates market demand and potential expansion
- Positive free cash flow of $4.8M with 10.9% FCF margin provides some financial flexibility
- Low leverage with 0.00x debt-to-equity ratio reduces financial distress risk
- Significant insider activity with 15 Form 4 filings suggests management engagement
- Revenue growth is strong at 17.6% year over year, indicating improving commercial traction.
- The company generated positive operating cash flow of $4.93M and free cash flow of $4.83M, showing better cash earnings than net income suggests.
- Balance sheet leverage appears conservative with 0.00x debt-to-equity and a meaningful cash balance of $11.44M.
CPIX Stock Risks: Cumberland Pharmaceuticals Inc. Investment Risks
- Persistent unprofitability with negative net income of -$2.8M and net margin of -6.4%
- Weak liquidity position with current ratio of 1.01x and quick ratio of 0.84x creates cash flow vulnerability
- Negative returns on equity (-11.4%) and ROA (-3.7%) indicate inefficient asset utilization and shareholder value destruction
- Negative interest coverage ratio of -5.6x reflects inability to cover obligations from operating results
- Operating margin of -6.3% suggests structural profitability challenges despite revenue growth
- The business is still unprofitable, with negative operating income, net income, and negative returns on assets and equity.
- Liquidity is tight, with a current ratio of 1.01x and quick ratio of 0.84x, leaving limited cushion if working capital weakens.
- Negative interest coverage highlights weak earnings support for fixed obligations even if reported debt is low.
Key Metrics to Watch
- Path to operating profitability and margin expansion
- Cash burn rate and sustainability of free cash flow generation
- Liquidity improvement through working capital optimization
- Revenue growth sustainability and product pipeline effectiveness
- Sustained improvement in operating margin and net income
- Current ratio and operating cash flow consistency
Cumberland Pharmaceuticals Inc. (CPIX) Financial Metrics & Key Ratios
💡 AI Analyst Insight
Cumberland Pharmaceuticals Inc. presents a mixed fundamental picture. Review the detailed metrics above to form your own investment thesis.
CPIX Profit Margin, ROE & Profitability Analysis
CPIX vs Healthcare Sector: How Cumberland Pharmaceuticals Inc. Compares
How Cumberland Pharmaceuticals Inc. compares to Healthcare sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Cumberland Pharmaceuticals Inc. Stock Overvalued? CPIX Valuation Analysis 2026
Based on fundamental analysis, Cumberland Pharmaceuticals 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.
Cumberland Pharmaceuticals Inc. Balance Sheet: CPIX Debt, Cash & Liquidity
CPIX Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Cumberland Pharmaceuticals Inc.'s revenue has grown significantly by 24% over the 5-year period, indicating strong business expansion. The most recent EPS of $-0.46 indicates the company is currently unprofitable.
CPIX Revenue Growth, EPS Growth & YoY Performance
CPIX Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2025 | $8.3M | -$1.4M | $-0.10 |
| Q2 2025 | $9.8M | $516.3K | $0.03 |
| Q1 2025 | $8.5M | $1.3M | $0.08 |
| Q3 2024 | $9.1M | $15.1K | $0.00 |
| Q2 2024 | $9.8M | $872.2K | $0.06 |
| Q1 2024 | $8.5M | $192.2K | $0.01 |
| Q3 2023 | $10.1M | $15.1K | N/A |
| Q2 2023 | $10.3M | $872.2K | N/A |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Cumberland Pharmaceuticals Inc. Dividends, Buybacks & Capital Allocation
CPIX SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Cumberland Pharmaceuticals Inc. (CIK: 0001087294)
📋 Recent SEC Filings
| Date | Form | Document | Action |
|---|---|---|---|
| Mar 20, 2026 | 4 | xslF345X06/wk-form4_1774041843.xml | View → |
| Mar 20, 2026 | 4 | xslF345X06/wk-form4_1774041820.xml | View → |
| Mar 20, 2026 | 4 | xslF345X06/wk-form4_1774041759.xml | View → |
| Mar 20, 2026 | 4 | xslF345X06/wk-form4_1774041719.xml | View → |
| Mar 20, 2026 | 4 | xslF345X06/wk-form4_1774041699.xml | View → |
❓ Frequently Asked Questions about CPIX
What is the AI rating for CPIX?
Cumberland Pharmaceuticals Inc. (CPIX) has a Combined AI Rating of SELL from Claude (SELL) and ChatGPT (HOLD) with 75% combined confidence, based on fundamental analysis of SEC EDGAR filings.
What are CPIX's key strengths?
Claude: Revenue growth of 17.6% year-over-year demonstrates market demand and potential expansion. Positive free cash flow of $4.8M with 10.9% FCF margin provides some financial flexibility. ChatGPT: Revenue growth is strong at 17.6% year over year, indicating improving commercial traction.. The company generated positive operating cash flow of $4.93M and free cash flow of $4.83M, showing better cash earnings than net income suggests..
What are the risks of investing in CPIX?
Claude: Persistent unprofitability with negative net income of -$2.8M and net margin of -6.4%. Weak liquidity position with current ratio of 1.01x and quick ratio of 0.84x creates cash flow vulnerability. ChatGPT: The business is still unprofitable, with negative operating income, net income, and negative returns on assets and equity.. Liquidity is tight, with a current ratio of 1.01x and quick ratio of 0.84x, leaving limited cushion if working capital weakens..
What is CPIX's revenue and growth?
Cumberland Pharmaceuticals Inc. reported revenue of $44.5M.
Does CPIX pay dividends?
Cumberland Pharmaceuticals Inc. does not currently pay dividends.
Where can I find CPIX SEC filings?
Official SEC filings for Cumberland Pharmaceuticals Inc. (CIK: 0001087294) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is CPIX's EPS?
Cumberland Pharmaceuticals 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 rating reflects both perspectives for balanced insights.
Is CPIX a good stock to buy right now?
Based on our AI fundamental analysis in April 2026, Cumberland Pharmaceuticals Inc. has a SELL rating with 75% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.
Is CPIX stock overvalued or undervalued?
Valuation metrics for CPIX: ROE of -11.4% (sector avg: 15%), net margin of -6.4% (sector avg: 12%). Compare these metrics with sector averages to assess valuation.
Should I buy CPIX stock in 2026?
Our dual AI analysis gives Cumberland Pharmaceuticals Inc. a combined SELL rating for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is CPIX's free cash flow?
Cumberland Pharmaceuticals Inc.'s operating cash flow is $4.9M, with capital expenditures of $97.9K. FCF margin is 10.9%.
How does CPIX compare to other Healthcare stocks?
Vs Healthcare sector averages: Net margin -6.4% (avg: 12%), ROE -11.4% (avg: 15%), current ratio 1.01 (avg: 2).