Catalyst Pharmaceuticals (CPRX) has come onto investors’ radar after appearing on an “Affordable Growth” screen. The screen highlights a mix of double-digit earnings and revenue growth, solid profitability and a debt-free balance sheet.

At a share price of US$24.30, Catalyst Pharmaceuticals has seen a 14.25% 90 day share price return. The 1 year total shareholder return of 7.71% and very large 5 year total shareholder return suggest momentum has built over the longer term rather than just a short burst.

If Catalyst’s rare disease focus has caught your attention, it could be a good moment to scan other specialist names using our healthcare stocks and see what stands out to you.

With double digit earnings and revenue growth, a debt free balance sheet and analysts seeing upside from US$24.30, the key question is whether Catalyst still trades at an attractive discount or if the market is already pricing in future growth.

Most Popular Narrative: 29.1% Undervalued

The most followed narrative sees fair value for Catalyst Pharmaceuticals at $34.29 compared with the recent price of $24.30, and ties that gap to a specific earnings and revenue path.

Earlier detection and improved diagnostic accuracy of neuromuscular and rare diseases, enabled by advancements in genetic and biomarker-based diagnostics, are increasing the eligible patient pool, propelling higher-than-expected adoption rates and boosting long-term revenue visibility across the Catalyst portfolio.

Curious how an expanding patient pool, a defined margin profile and a richer share count all still support that higher value? The narrative lays out a clear earnings trajectory, along with a future valuation multiple that sits above the broader biotech group. The full story connects those moving parts into one fair value number.

Result: Fair Value of $34.29 (UNDERVALUED)

However, the story hinges on Firdapse concentration and pending patent litigation, while Fycompa’s loss of exclusivity already pressures revenues and could challenge those upbeat assumptions.

Build Your Own Catalyst Pharmaceuticals Narrative

If you see the numbers differently or prefer to work from your own assumptions, you can test them directly and build a custom view in under three minutes, starting with Do it your way.

A great starting point for your Catalyst Pharmaceuticals research is our analysis highlighting 5 key rewards and 1 important warning sign that could impact your investment decision.

Looking for more investment ideas?

If you only stop at one company today, you could miss out on other opportunities that fit your style, so take a few minutes to scan wider.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.