Arquitos Capital Partners, an investment management firm, released its Q4 2025 investor letter. A copy of the letter can be downloaded here. Arquitos Capital Management reported a standout year in which the fund returned 82.1% net of fees in 2025, significantly outperforming the Russell 2000’s 12.8% gain. The manager noted that market conditions became increasingly selective, with capital favoring established, cash-generating businesses while smaller and less liquid growth names faced volatility, particular ...

Core Viewpoint - Investors in the Medical - Biomedical and Genetics sector should consider Exelixis (EXEL) and Liquidia Corporation (LQDA) for potential value opportunities [1] Group 1: Company Rankings - Exelixis has a Zacks Rank of 1 (Strong Buy), while Liquidia Corporation has a Zacks Rank of 2 (Buy) [3] - EXEL has likely seen a stronger improvement in its earnings outlook compared to LQDA [3] Group 2: Valuation Metrics - EXEL has a forward P/E ratio of 12.65, whereas LQDA has a significantly higher forward P/E of 62.04 [5] - EXEL's PEG ratio is 0.65, indicating better value relative to its expected earnings growth compared to LQDA's PEG ratio of 1.13 [5] - EXEL's P/B ratio is 5.33, in contrast to LQDA's P/B ratio of 158.47, suggesting a more favorable valuation for EXEL [6] Group 3: Value Grades - Based on various valuation metrics, EXEL holds a Value grade of B, while LQDA has a Value grade of D [6] - EXEL stands out in both Zacks Rank and Style Scores models, making it a more attractive option for value investors [6]

Core Insights - Liquidia Corporation is set to present three posters at the PVRI 2026 Annual Congress, focusing on clinical data related to pulmonary arterial hypertension (PAH) and pulmonary hypertension associated with interstitial lung disease (PH-ILD) [1][2] Group 1: Presentation Details - The presentations will include interim data from the ASCENT study evaluating LIQ861 in PH-ILD and 48-week open-label data for L606 in PAH and PH-ILD [2] - The titles and schedules of the presentations are as follows: - "Safety and Exploratory Efficacy data of LIQ861 Dry Powder Inhaled Treprostinil in PH-ILD patients: ASCENT to Week 24" on January 29, 2026 [2] - "Open-label Study to Evaluate the Safety, Tolerability and Efficacy of Liposomal Treprostinil Inhalation Suspension (L606) in Subjects with PAH or PH-ILD" on January 30, 2026 [2] - "Changes in Cardiac Effort in Pulmonary Hypertension-Interstitial Lung Disease: Insights from the ASCENT Trial" on January 31, 2026 [2] Group 2: Study Overview - The ASCENT study is an open-label, prospective, multicenter study aimed at evaluating the safety and tolerability of LIQ861 in subjects with WHO Group 1 and 3 pulmonary hypertension [3] - The study includes a cohort of 54 subjects with WHO Group 3 PH-ILD, with scheduled visits at various intervals [3] - The primary objective is to assess the safety and tolerability of LIQ861, while exploratory objectives include evaluating its effects on exercise capacity and relevant biomarkers [3] Group 3: Product Information - YUTREPIA™ (treprostinil) is an inhaled dry-powder formulation designed for the treatment of PAH and PH-ILD, utilizing Liquidia's PRINT® Technology for enhanced drug delivery [4][7] - L606 is an investigational extended-release formulation of treprostinil, administered twice daily, designed to provide controlled drug release for improved therapeutic exposure [6][7]

Group 1 - Significant bearish sentiment observed among wealthy investors regarding Liquidia (NASDAQ:LQDA), indicating potential upcoming events or changes [1] - The overall sentiment among large traders is mixed, with 37% bullish and 41% bearish positions noted [2] - Recent trading activity suggests that significant investors are targeting a price range of $25.0 to $47.5 for Liquidia over the past three months [3] Group 2 - The average open interest for Liquidia options is 3,181, with total trading volume reaching 19,200 [4] - A detailed overview of significant options trades shows a mix of bullish and bearish sentiments, with notable trades including calls and puts [7] - Liquidia is a biopharmaceutical company focused on developing treatments for pulmonary hypertension, utilizing its proprietary PRINT technology for drug production [8] Group 3 - Recent expert ratings on Liquidia indicate an average target price of $51.0, with one analyst lowering their rating to Buy with a new target of $49, while another maintains a Buy rating with a target of $55 [10][11] - Current trading volume for Liquidia stands at 872,768, with the stock price at $40.26, reflecting a decrease of 1.97% [11]

Performance Overview - Arquitos Capital achieved a net return of 82.1% in 2025, significantly outperforming the Russell 2000's return of 12.8% [2][3] - The fund's annualized returns since inception are 14.5%, with notable performance in the last year and six out of fourteen years exceeding 40% [3] Investment Strategy - The company focuses on a concentrated portfolio, primarily in three positions: Liquidia Corporation, ENDI Corp, and Finch Therapeutics, while exploring new investment opportunities [5][6] - The investment approach targets company-specific situations where potential rewards outweigh risks, particularly in smaller companies undergoing transitions [6][7] Liquidia Corporation - Liquidia was the largest contributor to Arquitos in 2025, with shares rising from $11.76 to $34.49, primarily driven by long-dated call options [10] - The company successfully launched its medication Yutrepia, capturing 25% market share and targeting a potential 80-90% of UTC's market share in the inhaled treprostinil market [16][19] - Liquidia's innovative PRINT manufacturing process enhances drug effectiveness and reduces side effects, positioning it favorably against competitors [17] ENDI Corp - ENDI's stock rose from $11.43 to $16.75 in 2025, with an increase in annual EBITDA run rate from $8 million to $12.5 million and AUM growing from $3.4 billion to $4.1 billion [26][27] - The company addressed a major overhang by executing an early cashless exercise of outstanding warrants, improving financial clarity for potential investors [29] Finch Therapeutics - Finch shares increased by 19% in 2025, following a jury trial win against Ferring Pharmaceuticals, resulting in a $30 million award and potential ongoing royalties [31][32] - The company is awaiting a post-trial decision that could further enhance its financial position, with accrued interest on the judgment benefiting shareholders [33]

分组1 - Laughing Water Capital reported a fourth-quarter 2025 return of approximately 6.8%, with full-year returns at around 3.9% net of fees and expenses, outperforming the SP500TR and R2000 indexes in the previous year [1] - The cumulative returns since inception for Laughing Water Capital are about 400%, compared to approximately 332% for the SP500TR and 175% for the R2000 benchmark [1] - The portfolio is positioned to deliver strong long-term results despite recent underperformance in the current year [1] 分组2 - Liquidia Corporation (NASDAQ:LQDA) is highlighted as a key stock, with a one-month return of 12.34% and a 52-week gain of 200.93% [2] - As of January 15, 2026, Liquidia Corporation's stock closed at $38.79 per share, with a market capitalization of $3.375 billion [2] - Liquidia's drug, Yutrepia, has been approved for treating pulmonary arterial hypertension and has exceeded early sales expectations due to its superior delivery and tolerability compared to incumbent products [3]

Group 1 - The article does not provide any relevant content regarding the company or industry [1]

Core Viewpoint - Momentum investing focuses on following a stock's recent price trends, with the aim of buying high and selling higher, capitalizing on established price movements [1] Company Overview: Liquidia Corporation (LQDA) - Liquidia Corporation currently holds a Momentum Style Score of B, indicating a favorable position in momentum investing [2] - The company has a Zacks Rank of 1 (Strong Buy), suggesting strong potential for outperformance in the market [3] Price Performance - Over the past week, LQDA shares have increased by 14.2%, significantly outperforming the Zacks Medical - Biomedical and Genetics industry, which rose by 1.07% [5] - In a longer time frame, LQDA's shares have risen by 79.01% over the past quarter and 229.41% over the last year, while the S&P 500 has only moved 4.57% and 19.92% respectively [6] Trading Volume - LQDA's average 20-day trading volume is 1,651,140 shares, which serves as a bullish indicator when combined with rising stock prices [7] Earnings Outlook - In the past two months, one earnings estimate for LQDA has increased, raising the consensus estimate from -$0.89 to -$0.88 [9] - For the next fiscal year, one estimate has also moved upwards with no downward revisions during the same period [9] Conclusion - Given the strong performance metrics and positive earnings outlook, LQDA is positioned as a 1 (Strong Buy) stock with a Momentum Score of B, making it a compelling option for investors seeking short-term gains [11]

Company Overview - Liquidia is a biopharmaceutical company focused on improving inhaled drug delivery through proprietary formulations, particularly in the prostacyclin class of therapeutics [4]. Performance Highlights - The company had a spectacular year in 2025, indicating strong performance and growth [2]. Leadership Team - The presentation included key members of the leadership team, such as the CEO Roger Jeffs, CFO Michael Kaseta, and other executives, highlighting the collaborative effort in driving the company's vision [3].

Liquidia Conference Call Summary Company Overview - **Company**: Liquidia - **Industry**: Biopharmaceuticals, specifically focused on inhaled drug delivery for pulmonary diseases - **Key Product**: Yutrepia, FDA approved on May 23, 2025, for pulmonary arterial hypertension (PAH) and pulmonary hypertension associated with interstitial lung disease (PH-ILD) [3][5] Financial Performance - **2025 Performance**: Achieved profitability in the first quarter post-launch with net product sales of $148.3 million, growing from $51.7 million in Q3 2025 to $90.1 million in Q4 2025, representing a 75% quarter-over-quarter growth [5][6] - **Cash Flow**: Generated over $30 million in positive cash flow, strengthening the balance sheet [6][31] Market Opportunity - **Market Size**: The prostacyclin market for PAH and PH-ILD is estimated at $4.3 billion annually, with inhaled therapies generating $1.7 billion, oral therapies nearly $2 billion, and parenteral therapies about $572 million [6][7] - **Patient Population**: Approximately 18,000 patients for PAH, 60,000 for PHALD, 30,000 for scleroderma, 200,000 for idiopathic pulmonary fibrosis (IPF), and 300,000 for pulmonary hypertension associated with chronic obstructive pulmonary disease (PH-COPD) [24] Product Development and Pipeline - **Yutrepia Launch**: Launched in June 2025, with 2,800 new prescriptions and a conversion rate from referral to start of 85% [8][9] - **Clinical Studies**: Ongoing studies include the ASCENT study for PH-ILD, transitioning patients from Tyvaso to Yutrepia, and a study for transitioning patients from oral therapies [14][15][16] - **L606 Development**: An extended-release liposomal formulation expected to provide more consistent exposure and potentially better tolerability compared to existing therapies [25][27] Competitive Landscape - **Market Share**: Liquidia has captured approximately 25% market share in the inhaled treprostinil space within seven months of launch, compared to competitors who have been in the market longer [39] - **Transition from Competitors**: 30% of new patients on Yutrepia are transitioning from oral therapies, indicating a successful displacement strategy [10][32] Future Outlook - **Growth Projections**: The company aims to achieve over $1 billion in product sales by 2027, driven by increasing prescriptions and market penetration [32][33] - **New Indications**: Plans to explore additional indications for Yutrepia and L606, including studies in IPF and PH-COPD, with potential market opportunities approaching $20 billion cumulatively [24][25] Legal Considerations - **Litigation Status**: Ongoing litigation with United Therapeutics, with confidence in the arguments presented and anticipation of a ruling soon [34] Summary Liquidia is positioned for significant growth in the biopharmaceutical market, particularly in the inhaled drug delivery segment for pulmonary diseases. With a strong financial performance, a robust pipeline, and strategic market penetration, the company is set to capitalize on the substantial unmet needs in this therapeutic area.