Analyst’s Disclosure:I/we have a beneficial long position in the shares of GRFS either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article. While this article may sound like financial advice, please observe that the author is not a CFA or in any way licensed to give financial advice ...

Core Viewpoint - Grifols (GRFS) has faced significant selling pressure, resulting in a 10.4% decline over the past four weeks, but analysts anticipate improved earnings in the near future [1] Group 1: Technical Indicators - The Relative Strength Index (RSI) is utilized to determine if a stock is oversold, with a reading below 30 indicating oversold conditions [2] - GRFS has an RSI reading of 28.86, suggesting that the heavy selling may be nearing exhaustion, potentially leading to a price rebound [5] Group 2: Fundamental Indicators - Analysts have raised earnings estimates for GRFS by 0.5% over the last 30 days, indicating a positive trend that typically correlates with price appreciation [7] - GRFS holds a Zacks Rank 2 (Buy), placing it in the top 20% of over 4,000 ranked stocks, further supporting the potential for a turnaround [8]

Core Insights - Grifols is a significant player in the medical sector, focusing on plasma-derived medicines and healthcare products, operating among 954 peers and ranked 5 in the Zacks Sector Rank [1] Financial Performance - On November 4, 2025, Grifols reported an earnings per share (EPS) of $0.24, meeting market expectations, with revenue of approximately $2.14 billion, slightly below the estimated $2.15 billion [2][6] - The company holds a Zacks Rank of 2 (Buy), indicating potential to outperform the broader market [2][6] Financial Metrics - Grifols has a price-to-earnings (P/E) ratio of 18.58, a price-to-sales ratio of 0.91, and an enterprise value to sales ratio of 2.02, suggesting attractive pricing relative to sales [3] - The enterprise value to operating cash flow ratio is 13.62, and the earnings yield is 5.38%, indicating strong cash flow generation and return on investment [4] - The debt-to-equity ratio stands at 1.71, reflecting financial leverage, while the current ratio is 2.64, demonstrating the ability to cover short-term liabilities [4] Competitive Positioning - Grifols' year-to-date performance is noteworthy compared to peers like Arcutis Biotherapeutics, Inc. (ARQT), suggesting strong potential for growth and stability in the competitive medical sector [5]

Financial Data and Key Metrics Changes - Year-to-date revenue reached €5.5 billion, reflecting a year-over-year increase of 7.7% and 10.5% like-for-like after adjustments [5][26] - Adjusted EBITDA for Q3 was €482 million, contributing to a year-to-date adjusted EBITDA of €1.358 billion, up 11.2% and 17.3% like-for-like [6][29] - Free cash flow pre-M&A and pre-dividends improved to €188 million year-to-date, marking a significant €257 million year-over-year improvement [7][35] - The leverage ratio at the end of Q3 was 4.2 times, showing nearly one-time improvement over the prior year [7][27] Business Line Data and Key Metrics Changes - The biopharma portfolio grew by 10.9% in Q3, with Immunoglobulins franchise leading at 18% growth for the quarter [11][12] - Albumin volumes contracted by 4.5% in Q3 due to pricing pressure in China, with a year-to-date contraction of 3.9% [12] - Alpha-1 and specialty proteins franchises saw revenue growth of 3.3% in Q3, bringing year-to-date growth to 4.3% [13] Market Data and Key Metrics Changes - The U.S. market for Immunoglobulins showed strong growth, with Xembify growing over 60% in the last 12 months [16] - The market for albumin in China faced challenges due to government-imposed cost controls, impacting pricing and demand [12][52] Company Strategy and Development Direction - The Value Creation Plan focuses on commercial growth, margin expansion, and pipeline execution, with a strong emphasis on operational leverage and optimized plasma sourcing [8][10] - The company aims to launch fibrinogen in Europe by the end of 2025, with a U.S. launch planned for the first half of 2026 [9][21] - Innovation remains a cornerstone, with ongoing advancements in product formulations and new therapeutic areas [20][24] Management's Comments on Operating Environment and Future Outlook - The management acknowledged a complex external environment but expressed confidence in the company's ability to navigate challenges [4][5] - The company reaffirmed its full-year 2025 revenue and adjusted EBITDA guidance, despite external pressures [43][42] Other Important Information - The company is actively managing the impact of the Inflation Reduction Act and foreign exchange headwinds, with a focus on maintaining financial discipline [3][30] - The company is committed to strengthening its balance sheet and capital allocation priorities to create long-term value [8][43] Q&A Session Questions and Answers Question: Clarification on the delay of fibrinogen and AFD in the U.S. - Management indicated that the delay is due to the need for more solid clinical data to support the standard of care change in the U.S. market [46][47] Question: Dynamics of albumin in China - The pricing pressure in China is primarily driven by government-imposed cost controls affecting both prices and demand [51][52] Question: Clarification on EBITDA guidance for the year - Management explained that the guidance reflects a robust Q4 expectation, despite a tough comparison to Q4 2024 due to phasing [54][56]

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 Form 6-K REPORT OF FOREIGN PRIVATE ISSUER PURSUANT TO RULE 13a-16 OR 15d-16 UNDER THE SECURITIES EXCHANGE ACT OF 1934 For the month of November 2025 Commission File No. 001-35193 Grifols, S.A. (Translation of registrant's name into English) Avinguda de la Generalitat, 152-158 Parc de Negocis Can Sant Joan Sant Cugat del Valles 08174 Barcelona, Spain (Address of registrant's principal executive office) Indicate by check mark whether the ...

Financial Performance - YTD Q3 2025 Revenue reached €5542 million, a 77% increase at constant currency[11] - YTD Q3 2025 Adjusted EBITDA grew to €1358 million, an 112% increase at constant currency[11] - YTD Q3 2025 Free Cash Flow (pre-M&A) was €188 million, an increase of €257 million[11] - The company's leverage ratio decreased to 42x compared to the previous year[11] - Q3 2025 Net Revenue was €18654 million, a 40% increase[75] - YTD Group Profit reached €304 million, a 2454% increase[40] Business Segment Performance - Biopharma revenue increased by 91% YTD at constant currency, and 109% in Q3[45, 17] - IG (Immunoglobulin) franchise is a key driver of Biopharma growth, with overall growth ahead of the market[17] - Alpha-1 and specialty proteins also contributed to the growth of Biopharma[45] - Diagnostic revenue increased by 14% YTD at constant currency[45] Future Outlook - The company improved its revenue guidance for FY25 to €7600+ million at guidance FX rate[63] - The company improved its FCF pre-M&A pre-dividends guidance for FY25 to €400-425 million[63]

Core Insights - Grifols (GRFS) is currently outperforming its peers in the Medical group, with a year-to-date gain of approximately 26.2% compared to the average gain of 4% for Medical stocks [4] - The Zacks Rank system indicates a positive outlook for Grifols, currently holding a Zacks Rank of 2 (Buy), with a 1% increase in the consensus earnings estimate over the past 90 days [3] Company Performance - Grifols is part of the Medical - Drugs industry, which consists of 145 companies and is ranked 90 in the Zacks Industry Rank, with an average gain of 7.3% year-to-date [5] - The stock's performance is significantly better than the industry average, indicating strong relative strength within its sector [5] Comparison with Peers - Arcutis Biotherapeutics, Inc. (ARQT) is another standout in the Medical sector, having returned 81.6% year-to-date, with a Zacks Rank of 1 (Strong Buy) and a 19.9% increase in the consensus EPS estimate over the past three months [4][5] - The Medical group is currently ranked 5 within the Zacks Sector Rank, which evaluates the strength of 16 different groups based on the average Zacks Rank of individual stocks [2]

Core Insights - Investors in the Medical - Drugs sector should consider Grifols (GRFS) and Zoetis (ZTS) for potential value opportunities [1] Group 1: Zacks Rank and Value Assessment - Grifols has a Zacks Rank of 2 (Buy), indicating a strong earnings estimate revision trend, while Zoetis has a Zacks Rank of 3 (Hold) [3] - Value investors analyze a range of traditional figures and metrics to assess whether a company is undervalued at its current share price levels [3][4] Group 2: Valuation Metrics - GRFS has a forward P/E ratio of 9.23, significantly lower than ZTS's forward P/E of 22.99 [5] - GRFS's PEG ratio is 0.32, while ZTS's PEG ratio is 2.35, indicating GRFS may offer better value based on expected EPS growth [5] - GRFS has a P/B ratio of 0.75 compared to ZTS's P/B of 13.02, further supporting GRFS's superior valuation metrics [6] Group 3: Overall Value Proposition - Grifols stands out due to its solid earnings outlook and favorable valuation figures, making it the superior value option compared to Zoetis [7]

Core Viewpoint - Investors in the Medical - Drugs sector should consider Grifols (GRFS) and Stevanato Group (STVN) for potential value opportunities, with GRFS currently appearing to offer better value based on various metrics [1]. Valuation Metrics - Grifols has a Zacks Rank of 2 (Buy), indicating a more favorable earnings estimate revision activity compared to Stevanato Group, which has a Zacks Rank of 3 (Hold) [3]. - GRFS has a forward P/E ratio of 9.26, significantly lower than STVN's forward P/E of 41.82, suggesting GRFS may be undervalued [5]. - The PEG ratio for GRFS is 0.32, while STVN's PEG ratio is 2.38, indicating that GRFS has a better valuation relative to its expected earnings growth [5]. - GRFS's P/B ratio is 0.76, compared to STVN's P/B of 4.65, further supporting the notion that GRFS is more attractively valued [6]. Conclusion - Overall, GRFS exhibits stronger estimate revision activity and more appealing valuation metrics than STVN, leading to the conclusion that GRFS is the superior option for value investors at this time [7].

Core Points - Spain's High Court has summoned Daniel Yu, the founder of Gotham City Research, to testify regarding allegations of disseminating misleading information about pharmaceutical companies [1] Group 1 - The High Court's action indicates a legal response to concerns over the impact of short-selling activities on the pharmaceutical sector [1] - The case highlights the ongoing scrutiny of short sellers and their influence on market perceptions of companies [1] - Allegations against Gotham City Research suggest potential regulatory implications for short-selling practices in the industry [1]