Innoviva, Inc. (INVA) AI Stock Analysis

Innoviva, Inc. is involved in the development and global commercialization of pharmaceuticals to enhance treatment options for patients in the United States and internationally. Its prominent products include RELVAR/BREO ELLIPTA, ANORO ELLIPTA, and TRELEGY ELLIPTA, which are once-daily combination medications for chronic obstructive pulmonary disease (COPD) and asthma. Innoviva maintains a collaboration agreement with Glaxo Group Limited focused on advanced therapies using once-daily delivery systems, and has strategically partnered with Sarissa Capital Management LP. Originally named Theravance, Inc., the company changed its name to Innoviva in January 2016 and is headquartered in Burlingame, California.

Innoviva's revenue grew at a 5-year CAGR of 4.8% between FY2020 and FY2025. Annual revenue dropped from $391.9M in FY2021 to $331.3M in FY2022 and $310.5M in FY2023, before rebounding to $358.7M in FY2024 and $425.1M in FY2025. Gross margin shifted from 100.0% in FY2021 down to 72.3% in FY2025, while operating margin went from 95.7% to 38.5% over the same period. Net income stood at $271.2M in FY2025, with EPS of $3.05. In the trailing twelve months ended June 30, 2026, revenue reached $440.0M with EPS of $4.28. In the latest quarter, quarterly revenue grew 19.3% year-over-year, while quarterly earnings grew 590.4%.

As of June 30, 2026, Innoviva reported $579.1M in cash and short-term investments against $269.7M in total debt, resulting in net cash of $309.4M. The company maintains a current ratio of 16.01 and a debt-to-equity ratio of 0.22, with total shareholders' equity of $1.23B on $1.70B in total assets. In FY2025, Innoviva generated $196.9M in operating cash flow and $186.4M in free cash flow. Capital expenditures were $10.5M and share buybacks totaled $4.7M in FY2025, contributing to a 5-year share count change of -10.2%.

Innoviva trades at a trailing P/E of 4.9x and a forward P/E of 8.5x, well below the median of its US-listed Healthcare peers of 24.6x and 17.3x, respectively. Its enterprise value to EBITDA ratio is 2.5x compared to the peer median of 12.0x, and its price-to-sales multiple is 3.4x versus 4.1x for peers. INVA stock gained 20.5% over the past 12 months, outperforming the S&P 500 (SPY) return of 16.8%. Over a 5-year span, however, the stock rose 25.1%, trailing the S&P 500's 83.0% gain.

Wall Street coverage includes 4 Strong Buy ratings and 1 Strong Sell rating. The mean price target is $35.00, representing a 68.4% upside to the last closing price of $20.78. For the fiscal year ending December 31, 2026, analysts estimate revenue of $451.3M and an EPS of $2.23, representing an EPS decline of 32.3%. For the following fiscal year, 5 analysts project revenue of $490.0M and EPS of $2.26. Innoviva has beaten EPS estimates in each of the last 4 quarters, and its next earnings date is November 4, 2026.

This page is an AI-written research summary of Innoviva, Inc. (INVA). The text was generated on October 30, 2026 from Quotelinks data as of October 16, 2026 (company profile, annual results, latest balance sheet, valuation, price performance and analyst estimates). An automatic check rejects any draft that contains a figure not found in that data. It is not investment advice; verify figures on the linked tabs before making decisions.

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