CorMedix Stock (CRMD) Great Growth and Undervalue in Q3 2025

In the ever-evolving biotech and specialty pharmaceuticals space, few companies have delivered the kind of dramatic turnaround that CorMedix (NASDAQ:CRMD) has in Q3 2025. After years of modest revenue and operating losses, the company posted a landmark quarter, suggesting that a long-awaited maturation may be underway. With revenue leaping over 800 % year-over-year and EPS going from a loss to a strong positive, the market may be under-estimating both the growth potential and the value embedded in this business. In this article we will dive into CorMedix recent earnings, stock performance & valuation, growth potential, and the risks investor should consider.

About CorMedix

Founded in 2006. CorMedix headquartered in Berkeley Heights, New Jersey, is a biopharmaceutical company specializing in therapies to prevent and treat infectious and life-threatening diseases. Its flagship product, DEFENCATH, a taurolidine/heparin catheter lock solution, helps reduce catheter-related bloodstream infections in dialysis patients. In August 2025, CorMedix expanded significantly by acquiring Melinta Therapeutics, adding a diverse portfolio of anti-infective and specialty products. This acquisition transformed CorMedix into a broader commercial specialty pharma company with greater growth potential and market reach.

CorMedix Financial Performance

CorMedix delivered an exceptional financial performance in Q3 2025, marking a major turnaround for the company. Revenue for the quarter reached $104.28 million, a remarkable 810.22% increase from $11.46 million in Q3 2024. Earnings per share (EPS) surged to $1.26, compared to a loss of –$0.05 a year earlier. On a trailing twelve-month (TTM) basis, revenue climbed to $214.3 million from $12.26 million, while EPS (TTM) improved to $2.25 from –$0.80, a 381.25% gain. Free cash flow per share (TTM) also rose sharply to $1.04, compared to –$0.89 last year, up 216.85%. Profitability metrics are equally impressive, with a gross margin of 94.31%, net margin of 75.83%, and free cash flow margin of 34.93%. Returns are strong, with return on assets at 20.25% and return on equity at 38.35%, all achieved with no debt on the balance sheet.

Over the past five years, CorMedix has transitioned from a clinical stage biotech company to a commercial one. The company has become profitable this year, achieving high net profit and free cash flow margins, which is a very positive sign for a commercial stage biotech company.

CorMedix Fiscal 2025 Financial Forecast

Looking ahead, analysts forecast 2025 revenue to reach $273.79 million, representing a 529.8% increase from 2024 $43.47 million, and project EPS of $2.09, up 796.67% from last year’s –$0.30. Wallstreet analysts maintain a Buy rating, with a consensus price target of $19.43 offering a 70.14% upside, and a high target of $22, implying an even greater 92.56% potential upside.

CRMD Stock Price Performance and Valuation

At the time this article was written CorMedix was trading at $11.42 per share. CorMedix’s stock has experienced a –2.1% decline over the past year, underperforming the S&P 500’s 14.5% gain during the same period. However, looking at a longer horizon, the stock has delivered strong returns up 100.7% over the past five years, outperforming the S&P 500’s 90.8% increase. 

From a valuation standpoint, CorMedix remains attractively priced relative to its growth trajectory. The company’s price-to-sales (P/S) ratio stands at 3.61 (TTM) with a forward P/S of 3.09, while its price-to-earnings (P/E) ratio is 5.07 (TTM) and forward P/E is 5.39. Additionally, the price-to-free-cash-flow (P/FCF) ratio of 12.02 reflects strong cash generation capability. These valuation multiples are significantly lower than most high-growth biotech peers, indicating that the market may not yet be fully pricing in CorMedix’s profitability, scalability, and cash flow potential. Given its robust margins, debt-free balance sheet, and accelerating earnings growth, the stock appears undervalued relative to both its fundamentals and future prospects, making it an attractive long-term investment opportunity despite its recent short-term underperformance.

CorMedix Growth Potential

CorMedix growth prospect remains strong, driven by several factors.

• Record DEFENCATH Sales Momentum in Outpatient Dialysis Market
  

  CorMedix’s flagship product, DEFENCATH, achieved outstanding commercial success in Q3 2025, generating $88.8 million in net revenue and driving total quarterly revenue to $104.3 million, up 909% from $11.5 million in Q3 2024. The outpatient dialysis segment surpassed expectations, fueled by higher usage from existing customers and a major Large Dialysis Organization implementing DEFENCATH for 50% more patients than forecasted. This rapid adoption underscores DEFENCATH’s clinical effectiveness, backed by the Phase III LOCK-IT-100 trial showing a 71% reduction in catheter-related bloodstream infections versus heparin.
  Since July 2024, Medicare reimbursement approval has enabled clear economic coverage, expanding DEFENCATH’s reach to about 60% of U.S. outpatient dialysis centers via strategic partnerships. These factors highlight DEFENCATH’s shift from early to mainstream adoption, setting the stage for sustained revenue growth in the multibillion-dollar infection prevention market going forward.

• Strategic Melinta Acquisition Creating Diversified Specialty Pharma Platform
  

  CorMedix completed its transformational acquisition of Melinta Therapeutics on August 29, 2025, evolving from a single-product company into a diversified specialty pharmaceutical platform with seven marketed infectious disease products. Melinta’s portfolio of REZZAYO, VABOMERE, ORBACTIV, etc. generated $120 million in 2024 revenues and is forecasted to reach $125–$135 million in 2025. This acquisition strengthens CorMedix’s position in hospital acute care markets and reduces its reliance on a single product.
  Management expects $30 million in synergies by the end of 2025, growing to $35–$45 million in 2026. Integration is progressing ahead of schedule, reflecting strong operational execution. The deal enhances CorMedix’s sales infrastructure, broadens hospital relationships, and significantly expands its addressable market across infectious disease indications, establishing it as a competitive specialty pharmaceutical company.
• REZZAYO Phase III Prophylaxis Indication Targeting $2 Billion Market Opportunity
  CorMedix reached a key milestone by completing Phase III enrollment in the ReSPECT trial for REZZAYO (rezafungin), targeting invasive fungal infection (IFD) prophylaxis in allogeneic blood and marrow transplant patients. Topline results are expected in Q2 2026. This study compares once-weekly rezafungin to standard antimicrobial regimens, with fungal-free survival at day 90 as the primary endpoint.
  The prophylaxis market in the U.S. addresses about 130,000 patients and is valued at over $2 billion, significantly larger than REZZAYO’s current candidemia and invasive candidiasis treatment indication. If approved, the supplemental New Drug Application could drive peak annual sales above $200 million. This opportunity addresses a critical unmet need in immunocompromised transplant patients facing high morbidity and mortality. Positive Phase III results would boost CorMedix’s near-term revenue and support its evolution into a diversified specialty pharma platform.

Risk to Consider

While CorMedix looks very undervalued, we should be mindful of potential risks.

• Regulatory and Manufacturing Risks
  CorMedix’s lead product, DEFENCATH, has faced FDA approval delays due to deficiencies found during inspections at the contract manufacturing organization (CMO) and the active pharmaceutical ingredient (API) heparin supplier. These issues must be resolved satisfactorily before approval can proceed. The heparin supplier has engaged a consultant to address the problems. CorMedix is also transferring manufacturing to an alternative site with a well-established US contract manufacturer to mitigate risks and move towards approval.​
• Market and Commercial Risks
  CorMedix's DEFENCATH secured a Transitional Drug Add-On Payment (TDAPA) from CMS, providing five years of additional payment reimbursement starting July 2024. However, this beneficial reimbursement expires in June 2026, after which a smaller post-TDAPA add-on will apply. Investor concerns revolve around how DEFENCATH’s uptake may sustain beyond this Medicaid reimbursement expiration, especially facing competition from large heparin manufacturers like Pfizer in the catheter-related bloodstream infection market.
• Pipeline Development Risk
  CorMedix’s product pipeline is narrowly focused, centered mainly on its lead product DEFENCATH for catheter-related bloodstream infections. Beyond DEFENCATH, the company is working on new clinical indications such as Total Parenteral Nutrition and pediatric populations. It is also developing DEFENCATH for use in other patient populations as a catheter lock solution. Additionally, CorMedix has REZZAYO, approved for candidemia and invasive candidiasis, with a Phase III study ongoing. Despite progress, pipeline diversification remains limited, posing growth and revenue diversification challenges.

Read More: Sezzle Stock (SEZL) Great Growth and Undervalue in Q3 2025

Conclusion

CorMedix Inc. has demonstrated a remarkable turnaround, achieving explosive revenue and earnings growth while maintaining strong profitability and a debt-free balance sheet. Despite its recent short-term underperformance, the company’s low valuation multiples and exceptional financial metrics highlight a compelling investment opportunity. With expanding product lines, rising demand for DEFENCATH and promising synergies from the Melinta acquisition, CorMedix is well-positioned for continued growth, making its stock an attractive choice for long-term, value-focused investors.

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