Kamada (KMDA) Stock Forecast & Price Target

Kamada Ltd is projected to generate revenues of $43.5 million in 2Q25, reflecting a 7% annual increase, alongside a slight rise in earnings per share from $0.07 to $0.08. The anticipated revenue growth is underpinned by a robust 19% increase in proprietary product sales during 1Q25, particularly from Glassia and Kamrab, as well as contributions from royalty income and additional product shipments under a significant contract in Latin America. Continued momentum from proprietary products in the U.S., new biosimilars in Israel, and expanding distribution channels are expected to sustain positive financial performance through the remainder of the year.

Kamada Ltd has faced challenges in generating consistent revenue growth, primarily due to its heavy reliance on the Proprietary Products segment, which encounters competition and pricing pressures in the specialty therapeutics market. Additionally, the company has reported fluctuating profit margins and rising operational costs associated with research and development, further impacting its overall profitability. The dependency on a limited product portfolio, combined with potential regulatory hurdles and market dynamics, raises concerns about the sustainability of its financial performance moving forward.