At a glance
Innoviva Inc is worth $1.53B, about 6 times its fiscal 2025 earnings. Revenue grew 14.7% to $411.3M in fiscal 2025, with 65.9% kept as profit; over 5 years it has grown 4.1% a year. It pays no dividend; it spent $497.7M buying back its shares over FY2021–FY2025. The stock returned +19.4% over the past year with dividends reinvested and +4.1% a year over five years, against +11.5% and +11.7% for the S&P 500. At its worst it fell 46.7% in the 2020 crash (S&P 500: 33.7%) and 42.7% in the 2022 bear market (S&P 500: 24.5%), and was back at its earlier high 3 months and 25 months after the lows.
The business in plain English
Innoviva, Inc. is a drug company with two main businesses. The larger is royalties: a share of global sales of two lung inhalers that GSK develops and markets for asthma and chronic obstructive pulmonary disease (COPD). Innoviva receives 15% of RELVAR/BREO ELLIPTA's first $3.0 billion in annual global net sales and 5% above that, plus 6.5% to 10% on ANORO ELLIPTA. Royalties brought in $236.5 million, or 57.5% of $411.3 million in revenue, in the fiscal year ended December 31, 2025.
The second is Innoviva Specialty Therapeutics, a hospital-focused business formed through the 2022 acquisitions of Entasis Therapeutics and La Jolla Pharmaceutical. XACDURO, for pneumonia caught in hospitals or on ventilators and caused by Acinetobacter bacteria, brought in $74.4 million (18.1% of revenue). GIAPREZA, which raises blood pressure in adults in septic or other shock, added $73.6 million (17.9%), and XERAVA, for complicated abdominal infections, $23.5 million (5.7%). ZEVTERA, an antibiotic licensed from Basilea and launched in the third quarter of 2025, added 0.1%. NUZOLVENCE, for gonorrhea, won FDA approval on December 12, 2025.
Innoviva also holds stakes in other healthcare companies, including a significant one in Armata Pharmaceuticals, which develops bacteriophages (viruses that attack bacteria). The company began in 1996 as Advanced Medicine, was later called Theravance and became Innoviva in January 2016.
Price history
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INVA +19.4% over the year to Oct 28, 2026, total return with dividends reinvested.
How it makes money
By product or service
| Royalty | $236.5M | 57.5% |
| Xacduro | $74.4M | 18.1% |
| Giapreza | $73.6M | 17.9% |
| Xerava | $23.5M | 5.7% |
| License And Other Revenue | $2.7M | 0.7% |
| ZEVTERA | $610K | 0.1% |
Latest results
- In Q2 FY2026 (ended Jun 30, 2026), revenue was $119.6M, up 19.3% from a year earlier, and net income was $-83.4M (-231.0%).
- For fiscal 2025, revenue was $411.3M (+14.7% year over year; +4.1% a year from FY2020 to FY2025) with a 65.9% net margin.
Financial health check
| Revenue growth a year (FY2020–FY2025) | +4.1% watch |
|---|---|
| Operating margin | 39.8% good |
| Free cash flow margin | 47.6% good |
| Return on equity (FY2025) | 23.1% good |
| Return on assets (FY2025) | 16.6% good |
| Net cash (cash minus debt) | $753.2M good |
| Fiscal year | Revenue | Net income | Free cash flow |
|---|---|---|---|
| FY2020 | $336.8M | $224.4M | $313.1M |
| FY2021 | $391.9M | $265.9M | $363.8M |
| FY2022 | $331.3M | $213.9M | $201.7M |
| FY2023 | $310.5M | $179.7M | $140.7M |
| FY2024 | $358.7M | $23.4M | $188.4M |
| FY2025 | $411.3M | $271.2M | $195.8M |
Valuation snapshot
| Market value | $1.53B |
|---|---|
| P/E ratio | 6.4 |
| Dividend yield | 0% |
Rank among 1514 US companies
Market value at each year end
Innoviva’s market value went from $1.16B at the end of 2016 to $1.53B on Oct 28, 2026, up 31%; since the end of 2025 it is up 2%.
Show as a table
| Year end | Market value | Change |
|---|---|---|
| Oct 28, 2026 | $1.53B | +2.1% |
| 2025 | $1.49B | +37.6% |
| 2024 | $1.09B | +5.7% |
| 2023 | $1.03B | +11.2% |
| 2022 | $924.6M | -22.9% |
| 2021 | $1.20B | -4.6% |
| 2020 | $1.26B | -12.4% |
| 2019 | $1.43B | -18.7% |
| 2018 | $1.76B | +15.0% |
| 2017 | $1.53B | +31.7% |
| 2016 | $1.16B |
Price behavior
| YTD | 1 yr | 3 yr | 5 yr | 10 yr | |
|---|---|---|---|---|---|
| INVA price data to Oct 28, 2026 | +5.7% | +19.4% | +19.7% | +4.1% | +8.2% |
Show as a table
| Year | Price data |
|---|---|
| 2026 (to date) | +5.7% |
| 2025 | +15.2% |
| 2024 | +8.2% |
| 2023 | +21.1% |
| 2022 | -23.2% |
| 2021 | +39.2% |
| 2020 | -12.5% |
| 2019 | -18.9% |
| 2018 | +23.0% |
| 2017 | +32.6% |
| 2016 | +1.5% |
| 2015 | -22.1% |
| 2014 | -49.3% |
| 2013 | +60.3% |
| 2012 | +0.6% |
| 2011 | -11.8% |
| 2010 | +91.8% |
| 2009 | +5.5% |
| 2008 | -36.5% |
| 2007 | -36.9% |
| 2006 | +37.2% |
| 2008 financial crisis stocks fell Oct 9, 2007 – Mar 9, 2009 | Lost 55.7% over that stretch · deepest drop along the way 78.9%, back to its old high 24.7 months after the low |
|---|---|
| 2020 COVID crash stocks fell Feb 19, 2020 – Mar 23, 2020 | Lost 41.8% over that stretch · deepest drop along the way 46.7%, back to its old high 3.2 months after the low |
| 2022 bear market stocks fell Jan 3, 2022 – Oct 12, 2022 | Lost 25.8% over that stretch · deepest drop along the way 42.7%, back to its old high 25.4 months after the low |
Insider activity
Form 4 filings from 2025-10-29 to 2026-10-29 (21 read): 0 open-market purchases and 0 sales ($0.00).
Who owns it
Large shareholders (13G filings)
| BlackRock, Inc. | 15.4% | Sep 30, 2026 |
| Dimensional Fund Advisors LP | 5.8% | Dec 31, 2025 |
| Vanguard Portfolio Management | 5.79% | Mar 31, 2026 |
| Renaissance Technologies LLC | 5.63% | Dec 31, 2025 |
| Vanguard Capital Management | 5.01% | Jun 30, 2026 |
| Franklin Resources, Inc. | 4.5% | Jun 30, 2025 |
| BANK OF NOVA SCOTIA | 3.37% | Sep 30, 2025 |
ETFs with the most weight in INVA
| PJP Invesco Pharmaceuticals ETF | 3.02% |
| SIXS ETC 6 Meridian Small Cap Equity ETF | 2.33% |
| HSMV First Trust Horizon Managed Volatility Small/Mid ETF | 1.66% |
| DEEP Acquirers Small and Micro Deep Value ETF | 1.17% |
| XSLV Invesco S&P SmallCap Low Volatility ETF | 1.15% |
| USVM VictoryShares US Small Mid Cap Value Momentum ETF | 0.81% |
| CAFG Pacer US Small Cap Cash Cows Growth Leaders ETF | 0.76% |
| QQQS Invesco NASDAQ Future Gen 200 ETF | 0.66% |
What could go wrong
- Most revenue depends on GSK's inhalers. Royalties on GSK's RELVAR/BREO and ANORO ELLIPTA made up 57.5% of FY2025 revenue. Innoviva has no control over GSK's marketing, and GSK could shift effort to products that pay Innoviva no royalties.
- Generic inhalers could cut royalty income. The FDA has issued draft guidance on how to show that generic copies of both royalty drugs are equivalent. Once generics arrive, branded drugs typically lose a large share of sales.
- New hospital drugs may not catch on. ZEVTERA launched in the third quarter of 2025 and NUZOLVENCE won FDA approval in December 2025. If doctors, hospitals and insurers are slow to adopt them, expected growth could fall short.
- Debt ranks ahead of shareholders. Innoviva had $258.5 million of debt, including convertible notes, as of June 30, 2026, against $1.01 billion in cash and investments. Lenders get paid before shareholders, and convertible notes can become new shares.
- Acquisitions and investments may not pay off. Innoviva has grown through deals such as Entasis, La Jolla and its Armata stake. Deals can be hard to integrate, distract management, dilute shareholders or simply fail to pay off.
- Price controls could squeeze drug revenue. Government price controls, the Inflation Reduction Act and pressure from insurers can lower drug prices and reimbursement. That could reduce both GSK royalties and sales of Innoviva's own hospital drugs.
Recent events
- Quarterly results released
- Executive or board change
- Quarterly results released
- Shareholder vote results
- Quarterly results released
- Quarterly results released
For income and retirement investors
Innoviva pays no dividend: it paid none from FY2021 through FY2025, and its yield was 0% as of October 28, 2026. Income investors get no cash payouts; any return depends on the share price. The company has returned cash through buybacks instead, $497.7 million over FY2021–FY2025, but $394.1 million of that came in FY2021 and only $4.5 million in FY2025. Shares outstanding still rose about 4%, from 69.5 million in October 2021 to 72.2 million in July 2026.
In past downturns the stock often fell harder than the market. It dropped 46.7% in the 2020 COVID crash, against the market's 41.8%, but recovered about three months after its low. In the 2022 bear market it fell 42.7%, versus 25.8% for the market, and needed about 25 months after its low to recover. In the 2008 financial crisis, when the company was still Theravance, it lost 78.9%. A single stock like this carries more risk than a diversified fund.
Questions investors ask
How does Innoviva make money?
Mainly through royalties and hospital drugs. Royalties on GSK's RELVAR/BREO ELLIPTA and ANORO ELLIPTA lung inhalers brought in 57.5% of Innoviva's $411.3 million in revenue in FY2025. Most of the rest came from its own hospital products: XACDURO (18.1%), GIAPREZA (17.9%) and XERAVA (5.7%). ZEVTERA, launched in the third quarter of 2025, added 0.1%, and NUZOLVENCE won FDA approval in December 2025. Innoviva also holds stakes in other healthcare companies, including Armata Pharmaceuticals.
Does Innoviva pay a dividend?
No. Innoviva paid no dividends from FY2021 through FY2025, and its dividend yield was 0% as of October 28, 2026. Instead, it returned $497.7 million to shareholders through buybacks over those five years, though $394.1 million of that came in FY2021 alone. For someone who needs regular income, that means this stock provides none; any return comes only from changes in the share price.
How much of Innoviva's revenue comes from GSK?
More than half. Royalties made up $236.5 million, or 57.5%, of Innoviva's revenue in FY2025, and the company says most of its revenue comes from GSK. It earns 15% of RELVAR/BREO ELLIPTA's first $3.0 billion in yearly global net sales and 5% above that, plus 6.5% to 10% on ANORO ELLIPTA. GSK handles development and marketing, so Innoviva depends on GSK's efforts and on how well the inhalers hold up against rival and generic products.
What is Innoviva's P/E ratio?
About 6.4 as of October 28, 2026, based on FY2025 diluted earnings of $3.30 per share. The price-to-earnings (P/E) ratio divides the share price by a year's profit per share, so a low figure means paying less for each dollar of earnings. Innoviva's profits swing widely, though. Diluted earnings were $0.36 per share in FY2024, and the company reported an $83.4 million net loss in the quarter ended June 30, 2026, so one year's P/E can mislead.
How has Innoviva stock performed?
Unevenly. As of October 28, 2026, the share price was up 19.4% over one year, an average of 4.1% a year over five years and 8.2% a year over 10 years. Calendar years have swung widely, from a 23.2% drop in 2022 to a 21.1% gain in 2023. Over more than 21 years of trading history, its deepest fall from a peak was 84.3%.