SXTP Stock Forecast & Price Target

60 Degrees Pharmaceuticals Inc has demonstrated significant growth, with FY24 net product revenues increasing 140% to $607.6k, showcasing the company's robust trajectory in the specialty pharmaceuticals market. The firm reported a 223% year-over-year increase in Q3 FY25 net product revenue, largely driven by heightened ARAKODA deliveries, indicating a strong demand and market acceptance of its products. Additionally, the anticipated growth in revenues for FY26, raising estimates to $1.7 million, coupled with tafenoquine's favorable safety profile and potential for expansion into new therapeutic areas, reinforces a positive outlook for the company's financial performance.

The negative outlook on 60 Degrees Pharmaceuticals Inc is primarily driven by a significant reduction in forecasted revenue due to a lack of visibility on its revenue ramp and ongoing supply constraints, which resulted in product revenues falling to $100,000. Furthermore, the company reported a gross loss of approximately $9,000 in Q3 FY24, attributed to a one-time inventory write-off, dampening expectations of profitability. Additionally, the major risks highlighted include uncertainty surrounding regulatory approvals for new therapies and potential dilution from future financing, both of which could severely affect the company's financial prospects.