Harrow's Internal $100 Price Target Is Ambitious, But New Bloomberg Data Backs It Up

Summary

  • Harrow's new 3-year share-based compensation plan sets ambitious share price targets, with awards at $50, $60, $75, and $100. The two previous plan targets were quickly surpassed, suggesting management is willing to set easily achievable SBC target prices.
  • HROW acquired BYQLOVI for US distribution with minimal upfront cost, leveraging its proven distribution-focused business model to add another drug with $100M potential.
  • Bloomberg reported stellar growth for HROW's most important drugs in Q2 2025, with growth coming in at 30% to more than 60% compared to Q1.
  • Full Vevye data is no longer available to the third-party data source IQVIA. Since sell-side reports typically rely on IQVIA data, many investors might not be aware of Vevye's stellar growth since the end of Q1 2025.
  • This idea was discussed in more depth with members of my private investing community, Concentrated Value with MVI. Learn More »

Bull Casting

allanswart

Harrow, Inc. (NASDAQ:HROW) achieved its first revenue in 2015 as an ophthalmic compounding pharmacy and now dominates this tiny niche with a roughly 35% share, perhaps 10 times the size of its nearest competitor. Roughly half of ophthalmic drug prescribers

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My handle is the Michigan Value Investor, but everyone calls me MVI. I have a PhD in theoretical physics from UC Berkeley and worked briefly in the field before switching my interests to investing. I worked as an analyst at a billion dollar fund for several years before starting my own very small fund in 2009. During this time I have developed a group of stocks that I understand well, and I have excellent relations with management in many cases. This long standing familiarity with a select group of companies means I have a pool of investable ideas available to me where I don’t have to take time to get up to speed.


I first became interested in investing when I read an article about Warren Buffett, and my investing style reflects his teachings and those of Charlie Munger. Unlike many value investors, I am not impressed with Ben Graham as an investor.

Analyst’s Disclosure:I/we have a beneficial long position in the shares of HROW 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.

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