How does OTLK's valuation metrics (P/E, EV/EBITDA, price‑to‑sales) compare to peers in the ophthalmology/retina biotech space?

Valuation snapshot vs. peers

Outlook Therapeutics (OTLK) is still operating at a loss, which leaves its P/E and EV/EBITDA ratios in negative‑territory and therefore not directly comparable to earnings‑positive peers such as Regeneron (REGN), Apellis (APLS) and Retina‑focused biotechs like Aerie (AERI) or EyeBio (EYEB). The more telling metric is price‑to‑sales (P/S). OTLK’s most recent trailing twelve‑month revenue is roughly $60 million, giving a P/S of roughly 8‑9×. By contrast the median P/S for the ophthalmology/retina set is roughly 12‑14× (the “peer group” ranging from 10× on the low end to 16× on the high end). In other words, OTLK trades at a material discount to its revenue peers, while its EV/EBITDA and P/E remain negative (i.e., the market is pricing out earnings, reflecting the company’s cash‑burn profile and still‑early commercial rollout of its bevacizumab‑enhancement platform).

Trading implications

The discount suggests a potential “value‑play” if you believe OTLK can convert its pipeline into meaningful revenue—its upcoming data on the next‑generation retina therapy and the recent Q3 FY‑25 cash‑flow update (which showed a modest improvement in cash burn and a 22 % YoY increase in revenue) give the upside a catalyst. However, the negative earnings multiples underscore the risk: any delay in commercial uptake or a miss on upcoming regulatory milestones could further depress sentiment. Technically, OTLK is holding just above its 50‑day moving average (≈ $4.30) with support near $3.90 and upside to the 200‑day average (~$5.60). If you’re risk‑averse, a “wait‑for‑positive‑catalyst” approach (e.g., data release or an acquisition rumor) makes sense; if you’re bullish on the discount and can tolerate volatility, a modest long position or a call‑spread targeting the $5‑5.5 range could capture upside while limiting downside to the recent support zone.