| Valuation method | Value, £ | Upside, % |
|---|---|---|
| Artificial intelligence (AI) | 244.80 | -80 |
| Intrinsic value (DCF) | 291.00 | -76 |
| Graham-Dodd Method | n/a | |
| Graham Formula | 0.20 | -100 |
Indivior PLC is a global pharmaceutical company specializing in the development, manufacture, and commercialization of buprenorphine-based treatments for opioid use disorder (OUD) and co-occurring conditions. Headquartered in North Chesterfield, Virginia, but listed on the London Stock Exchange (LSE), Indivior operates in approximately 40 countries, focusing on addiction medicine and mental health. Its flagship products include SUBLOCADE (a long-acting injectable) and SUBOXONE (sublingual film/tablet), which are critical in medication-assisted treatment (MAT) for OUD. The company also markets legacy products like Temgesic and Buprenex. Indivior collaborates with Addex Therapeutics to advance its pipeline, targeting schizophrenia and addiction therapies. With a market cap of ~£1.03 billion, Indivior is a key player in the specialty pharmaceuticals sector, addressing the growing opioid crisis—a public health priority in the U.S. and globally. Its revenue of £1.19 billion (2023) underscores its commercial reach, though net income remains modest due to legal and R&D expenses.
Indivior presents a high-risk, high-reward opportunity tied to the opioid epidemic and regulatory landscape. The company’s niche focus on OUD treatments provides a defensible market position, with SUBLOCADE’s long-acting formulation driving growth. However, risks include litigation over past marketing practices (notably the 2019 Suboxone antitrust case), generic competition for Suboxone, and pipeline dependency. Financials show resilience (operating cash flow of £36 million in 2023), but net income is thin (£2 million), and debt (£375 million) outweighs cash (£319 million). The lack of dividends reflects reinvestment needs. Investors should weigh Indivior’s innovation potential against legal liabilities and sector volatility (beta: 0.34).
Indivior’s competitive advantage lies in its specialized focus on opioid addiction, a market with high barriers to entry due to regulatory complexity and stigma. Its buprenorphine-based portfolio, particularly SUBLOCADE’s once-monthly injection, differentiates it from daily-dose competitors. However, the company faces intense competition from generics (e.g., Dr. Reddy’s Suboxone copy) and branded alternatives like Alkermes’ Vivitrol (naltrexone). Indivior’s U.S.-centric revenue (70%+) exposes it to pricing pressures and Medicaid reimbursement changes. Its R&D collaboration with Addex Therapeutics aims to diversify into schizophrenia, but late-stage pipeline gaps remain. The company’s legal settlements (e.g., $600 million in 2020) have strained finances, though resolved cases reduce uncertainty. Competitively, Indivior’s scale is smaller than giants like Teva but more agile in addiction therapeutics. Its direct-to-provider marketing and opioid crisis tailwinds support growth, but reliance on a few products and patent cliffs (Suboxone film exclusivity expired in 2023) necessitate pipeline execution.