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Buy Day today: Neutral (53) Mixed market breadth · no major macro event

Innoviva Inc (INVA)

Healthcare Biotechnology
21.00 $
-1.2% vs. previous close
Closing price · As of: 31. Jul 2026
🔔 Watch stock

symbol.quality_heading

Open questions

The business works in principle, but one material question is open. As long as it stays open, our findings do not carry a quality verdict.

The operating business clearly works: royalty income without selling costs, a 74.1 percent gross margin, $196.9 million in operating cash flow in 2025 and a balance sheet carrying $603.1 million in cash against $261.0 million in convertible notes — this is not a fragile company. Yet one material operating question remains open, and it is unusually large: the reported result is generated mostly outside the business. In 2025, $161.6 million of $326.9 million in pre-tax income came from fair-value changes; in the first quarter of 2026 it was $191.2 million of $234.6 million, and the driver is Armata — a company that reported a $124.3 million loss on $1.1 million of revenue in the quarter ended December 31, 2025 and whose loans Innoviva itself provides. That is not an existential issue for Innoviva; cash covers the single bond more than twice over. But it makes earning power hard to measure. Hence yellow: demonstrated operating strength, unprovable repeatability of the reported profit. The decision is yours.

symbol.quality_note

Read the Full Deep Dive
Innoviva: $271 Million in Profit — and Roughly Half of It Nobody Paid

Innoviva collects royalties on two GSK asthma and COPD medicines and sells five hospital products of its own. That business generated $411.3 million in revenue and $196.9 million in operating cash flow in 2025. Reported net income, however, was $271.2 million — $161.6 million of it from fair-value marks on investments, mainly the share price of Armata Pharmaceuticals. In the first quarter of 2026, $191.2 million of $234.6 million in pre-tax income came from the same line. And Armata is funded by Innoviva itself: most recently on May 12, 2026, with another $25.0 million loan. Not investment advice — just the question of which line in this income statement you actually believe.

Read the analysis

Stock Watch

This analysis is as of July 26, 2026. Stock Watch will tell you what's changed at INVA since then.

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Appears in These Scanners

This stock currently matches 12 of our scanner strategies — each hit links to the scanner.

Only genuine hits from verified scanners count; pure ranking metrics (P/E, P/S, and similar, which just sort the whole universe) don't count as a hit. View all scanners

Trading Day

Previous Close
21.20$
Open
21.10$
Day High
21.10$
Day Low
20.80$
Volume
506,350shares

Key levels of the most recently completed trading day — not a live quote.

52-Week Range

52-Week Low 52-Week High
16.70 $ 24.20 $
10/14/2025 02/25/2026

Current price 21.00 $ — 57% of the range above the low.

Lowest and highest closing price over the last 52 weeks. The marker shows where the current price sits within that range: close to the high speaks for strength, close to the low for weakness.

Basics

Market Cap
1.5$B
Shares Outstanding
74Mio.
Float
93.8%
Beta
0.3

Performance

Perf. 1M
5.70%
Perf. 3M
2.10%
Perf. 6M
17.00%
YTD Performance (%)
17.80%
52-Week-High Distance
-7.1%
Perf. 1Y
15.41%
Perf. 3Y
54.76%
Perf. 5Y
47.88%
Perf. 10Y
62.94%
Perf. Since Inception
54.79%

Technical Indicators

MA 38 Days
22.20$
MA 50 Days
22.20$
MA 200 Days
21.50$
RSI (14)
38.9
Volatility 30 Days
26.9%
Volatility 250 Days
28.8%

Calculated from the price history · as of 08/03/2026

Valuation

P/E
Forward P/E
10.7
PEG
0.3
P/B
P/S
3.5
EV/EBITDA
1.9
Price/FCF
8.2

Profitability

Gross Margin
74.1%
EBIT Margin
40.1%
Net Margin
119.9%
Return on Equity
50.7%
Return on Assets
6.7%

Balance Sheet & Safety

Equity Ratio
73.1%
Debt/Equity
fortress balance sheet
Altman Z″
11.75
Piotroski
6 out of 9

Growth

Sales Growth Last Quarter
10.60%
EPS Growth Last Quarter
Sales Growth (Year)
18.52%
Forward Sales Growth
10.33%
Forward EPS Growth
15.70%

Dividend

This stock currently pays no dividend.

Quality & Screener

Stage
2
RS Rating
54
Top 10%
EPS Rating
95
Piotroski
6 out of 9
Fundamental Rating
A (77 out of 100)
fortress balance sheet
Altman Z″
11.75

AI Rating

Uses AI

Innoviva setzt Künstliche Intelligenz laut Geschäftsbericht 10-K für 2025 in ausgewählten Anwendungen zur Unterstützung des eigenen Betriebs ein; KI ist keine Umsatzquelle — Erlöse stammen aus GSK-Lizenzen und dem Verkauf eigener Krankenhausmedikamente. Eine Beteiligung an dem KI-Neurotechnologie-Unternehmen Beacon Biosignals über 17,5 Mio. US-Dollar ist eine Kapitalanlage, kein eigenes KI-Produkt.

View the full file — quotes, sources, reviewed filings
„Additionally, we utilize artificial intelligence (AI) and other emerging technologies in select applications to support our operations."

Darüber hinaus setzen wir Künstliche Intelligenz (KI) und andere aufkommende Technologien in ausgewählten Anwendungen ein, um unseren Geschäftsbetrieb zu unterstützen.

10-K · 2026-02-25 · View SEC filing
„AI technologies offer numerous potential benefits, such as creating or increasing operational efficiencies, and we expect the use of AI and generative AI by us, third parties on our behalf, and other market actors, including our competitors, to increase."

KI-Technologien bieten zahlreiche mögliche Vorteile, etwa das Schaffen oder Steigern betrieblicher Effizienz, und wir erwarten, dass die Nutzung von KI und generativer KI durch uns, durch Dritte in unserem Auftrag und durch andere Marktteilnehmer einschließlich unserer Wettbewerber zunehmen wird.

10-K · 2026-02-25 · View SEC filing
„In October 2025, Innoviva invested $17.5 million in the Series B Preferred Stock of Beacon Biosignals, Inc., an AI-driven neurotechnology company developing treatments for neurological, psychiatric, and sleep disorders."

Im Oktober 2025 investierte Innoviva 17,5 Millionen US-Dollar in die Serie-B-Vorzugsaktien von Beacon Biosignals, Inc., einem KI-gestützten Neurotechnologie-Unternehmen, das Therapien für neurologische, psychiatrische und Schlafstörungen entwickelt.

10-K · 2026-02-25 · View SEC filing

Filings Reviewed: 10-Q 2026-05-06 · 10-K 2026-02-25 · 10-Q 2025-11-05 · 10-Q 2025-08-06 · 10-Q 2025-05-07 · 10-K 2025-02-26

Rated on July 26, 2026 · How the Rating Is Built

Highlighted are things our editorial team noticed: green = stands out as strong, red = deserves a closer look. No single metric is a verdict on its own — always read it in context.

Analysts & Price Target

Current Price 21.00 $
Price Target (average) 35.50 $

The price target sits 69.0% above the current price.

Consensus
Sell
Analyst Ratings
1
Distribution of Recommendations
Strong Buy 0
Buy 1
Hold 0
Sell 0
Strong Sell 0

Combined picture of the price targets and recommendations of every analyst covering the stock. Price targets are expectations for the next 12 months, not promises — and they often follow the price rather than predict it.

Estimates by Fiscal Year

Estimates by Fiscal Year
Fiscal Year EPS Estimate ($) EPS Range ($) Revenue Estimate ($M) Expected Growth Analysts
12/31/2026 1.91 1.91 – 1.91 441 1.9% 1
12/31/2027 2.21 2.21 – 2.21 486 15.7% 1

Average of the analyst estimates for the coming fiscal years. The range shows how far the most optimistic and the most cautious estimate sit apart — the wider it is, the less certain the expectation.

Next Reporting Date

5. Aug 2026 · after the close · Q2 2026
Expected Earnings per Share
0.56 $

Expected date of the next quarterly or annual figures. Dates do shift occasionally — only the invitation issued by the company is binding.

Revenue & Profit

Cash Flow

Balance Sheet

Margins

Per Share

Click the chart or tab into it, then use ← and → to step through the periods.

None of the selected stocks reports this metric. Pick another metric or switch between annual and quarterly.

These companies report in different currencies — switch on “Indexed” or pick a margin for a fair comparison.

The figures could not be loaded right now.

Sales Per Quarter ($M)
2024: Q4 · 91.8 $M Q4 2025: Q1 · 88.6 $M Q1 2025: Q2 · 100.3 $M Q2 2025: Q3 · 107.8 $M Q3 2025: Q4 · 118.0 $M Q4 2026: Q1 · 98.0 $M Q1

Source: fundamental data

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Quarterly Figures

Quarterly Figures
Quarter EPS (Earnings Per Share) EPS YoY (%) Sales ($M) Sales YoY (%) Net Margin (%) OCF ($M) FCF ($M)
2024: Q4 0.24 -66.60 92 7.00 22.10 59 55
2025: Q1 -0.74 -271.90 89 14.40 -52.60 49 49
2025: Q2 0.75 100 -3.00 63.50 44 44
2025: Q3 1.06 5,391.70 108 20.40 83.40 50 49
2025: Q4 1.93 697.30 118 28.60 139.10 55 53
2026: Q1 2.20 98 10.60 190.40 35 35
What Do These Terms Mean?
EPS (Earnings Per Share):
Quarterly profit divided by the total share count — how much of the profit works out to a single share.
YoY (Year over Year):
Change versus the same quarter a year ago — this is how you compare without seasonal distortion (e.g. the holiday shopping season).
Sales:
All revenue for the quarter, before any costs are deducted — the top line of the income statement.
Net Margin:
What percentage of sales is left over as profit in the end. Negative means the company is posting a loss.
OCF (Operating Cash Flow):
The cash that actually flows into the till from the core business during the quarter — harder to dress up than book profit.
FCF (Free Cash Flow):
Operating cash flow minus capital expenditures — the money that's genuinely free to use, say for paying down debt, buybacks, or dividends.

Annual Figures

Annual Figures
Fiscal Year Revenue ($M) EBIT ($M) Net Income ($M) EPS ($) Operating Cash Flow ($M) Equity ($M) Total Assets ($M)
2016 134 109 60 0.48 61 -353 379
2017 217 184 134 1.12 142 -243 367
2018 261 238 395 3.48 224 154 548
2019 261 246 157 1.39 257 314 725
2020 337 321 224 1.98 313 608 1,000
2021 392 375 266 2.82 364 415 926
2022 331 207 214 2.25 202 566 1,232
2023 310 114 180 2.07 141 675 1,244
2024 359 167 23 0.32 189 691 1,301
2025 425 164 271 3.20 197 1,173 1,635

Fiscal years from the audited annual reports, oldest first. EBIT is the operating profit before interest and taxes; total assets are everything the company owns.

Assessment: Opportunities & Risks

Royalty business

The GSK royalties are a business without a factory: Innoviva carries neither selling nor manufacturing costs and collects 15 percent on the first $3.0 billion in annual net sales of RELVAR/BREO ELLIPTA plus 6.5 to 10 percent on ANORO ELLIPTA. That produced $236.5 million net of amortization in 2025. Group gross margin was 74.1 percent and the operating margin 40.1 percent (data as of July 24, 2026).

Quality of earnings

Reported profit largely measures share prices, not operations. In 2025, $161.6 million of $326.9 million in pre-tax income came from fair-value marks; in the first quarter of 2026 it was $191.2 million of $234.6 million. In the prior-year quarter the same line turned negative at minus $78.8 million and converted $41.4 million of operating income into a net loss of $46.6 million. Extrapolating earnings per share here means extrapolating a share price.

Armata concentration

As of March 31, 2026, $603.4 million of $773.3 million in carried investments sat in a single name, at an ownership stake of 68.4 percent. Armata itself reported $1.1 million in revenue and a $124.3 million net loss for the quarter ended December 31, 2025. Innoviva is also its principal creditor and advanced a further $25.0 million on May 12, 2026, lifting beneficial ownership to 82.7 percent.

Dependence on GSK

The 2025 annual report says it outright: the majority of revenue comes from GSK, and near-term success depends largely on GSK's commercialization. Innoviva has no influence over marketing or sales. Gross royalty revenue slipped to $250.3 million in 2025 (2024: $255.6 million) and to $58.6 million in the first quarter of 2026 from $61.3 million a year earlier — all recent growth came from the company's own product business.

Balance sheet and liquidity

As of March 31, 2026, $603.1 million in cash faced a single financial liability: the 2028 convertible notes with a $261.0 million principal at 2.125 percent interest, maturing only in March 2028. Equity stood at $1,341.7 million, the equity ratio at 73.05 percent and the Altman Z-score at 11.75 (data as of July 24, 2026). Operating cash flow was $196.9 million in 2025.

Valuation

Against reported 2025 earnings of $4.02 per share, the average buyback price of $21.06 documented in the quarterly report implies a price-to-earnings ratio of 5.2 — against the single available analyst estimate of $1.91 for 2026 it is 11.0. Subtract cash and investments from the market value of about $1,582.5 million (data as of July 26, 2026) and add back the debt, and roughly $467 million is left for an operating business that produced $163.7 million in operating income in 2025.

Bottom Line

Innoviva is two companies in one shell: a highly profitable royalty and medicines business with $411.3 million in revenue, $163.7 million in operating income and $196.9 million in operating cash flow in 2025 — and an investment vehicle whose largest position is $603.4 million in a clinical-stage biotech company that Innoviva itself funds. The first company delivers cash; the second delivers the headline: $161.6 million of $326.9 million in 2025 pre-tax income and $191.2 million of $234.6 million in the first quarter of 2026 came from fair-value marks. The balance sheet, with $603.1 million in cash against only $261.0 million in convertible notes, is beyond question. Whoever buys here has to decide which of the two companies is being valued. Not investment advice.

Worth Noting:
  • Innoviva reached our research list through our in-house stock scanner: the stock appears in the U.S. selection of the list "Fundamental Rank (A / A+)", which counted 38 U.S. hits on July 26, 2026 and displays at most 25 of them. On the same day INVA appeared in 14 scanner lists, among them "Stan Weinstein: Stage 2", "Above 50- and 200-day SMA" and the EBIT margin ranking. These lists are recalculated daily.
  • Risk of confusion: Innoviva, Inc. (CIK 1080014) was named Theravance, Inc. until January 2016 and Advanced Medicine, Inc. before that. It is not the same company as Theravance Biopharma, a separate entity spun out in 2014 with its own SEC file number. The metrics also need care: because fair-value marks sit inside profit, the net margin stood at 119.9 percent as of July 24, 2026 — an arithmetic side effect, not a business achievement.
  • Valuation figures are dated and evergreen: the $21.06 anchor is not a daily price but the average price of share repurchases in the first quarter of 2026 as stated in the quarterly report (971,066 shares for $20.4 million). The cover page of the annual report supplies a second anchor: the market value of common equity held by non-affiliates on June 30, 2025 was $1.26 billion. Analyses are evergreen; daily prices are not a buy argument.

About the Company

Innoviva, Inc. ist als biopharmazeutisches Unternehmen in den USA und international tätig.

Employees159
HeadquartersBurlingame, CA
Address1350 Old Bayshore Highway, 94010 Burlingame, United States
Phone650 238 9600
Websiteinva.com
IPO Date5. Oct 2004
ISINUS45781M1018
Stock Split1241:1000 on 06/03/2014

Management

Management
Name Title Birth Year
Pavel Raifeld C.F.A. CEO & Director 1984
Stephen Basso M.B.A. Chief Financial Officer 1966
Marianne Zhen CPA Chief Accounting Officer & Secretary 1969
Patricia M. Drake Chief Commercial Officer-Innoviva Specialty Therapeutics, Inc. 1967
David Altarac M.D., MPA Chief Medical Officer of IST 1962

Executives per the latest required filings; titles kept in their original language. Source: fundamental data.

Chart

Interactive price chart (TradingView).

Data as of: July 31, 2026 · Source: fundamental data & SEC filings (annual and quarterly reports, 10-K/10-Q)

Note: pure fact-based analysis, not investment advice and not a solicitation to buy or sell. All figures without guarantee.

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