ANI Pharmaceuticals Powers Higher While Specialty Pharma Investor Reshuffles Portfolio

The Stock’s Impressive Run Continues

ANI Pharmaceuticals (NASDAQ: ANIP) shares have delivered impressive returns this year, climbing 49% and substantially outpacing the broader market—the S&P 500 has gained roughly 15% in the same timeframe. Trading at $82.41 as of the latest market close, the specialty pharmaceutical manufacturer demonstrates the kind of momentum that typically attracts institutional capital rather than prompts exits.

Yet one fund chose a different path entirely.

Capital Rotation in Action

Stonepine Capital Management, based in Oregon, disclosed in a November 13 SEC filing that it completely liquidated its entire ANI position during the third quarter. The fund divested all 38,597 shares worth approximately $2.52 million, moving to zero holdings as of September 30.

The move warrants closer examination. Why would a fund walk away from a name posting near 50% annual gains? The answer likely lies in portfolio strategy rather than confidence concerns.

A Business Undergoing Transformation

Recent financial results paint a compelling picture of operational momentum. In Q3, ANI’s revenue surged 54% year-over-year to $227.8 million, while adjusted EBITDA increased nearly 70% to $59.6 million. Management subsequently raised full-year guidance, now projecting up to $873 million in revenue and as much as $228 million in adjusted EBITDA.

The company’s specialty pharmaceutical focus, which includes rare disease therapies, is expected to represent approximately half of 2025 sales. This diversification into higher-margin therapeutic niches marks a meaningful evolution from ANI’s earlier positioning.

Stonepine’s New Strategic Direction

After the ANI exit, Stonepine’s portfolio shifted noticeably toward earlier-stage biotechnology positions with greater upside potential:

• NASDAQ:VSTM: $23.58 million (19.17% of AUM)
• NASDAQ:ADMA: $10.83 million (8.81% of AUM)
• NASDAQ:EOLS: $9.43 million (7.67% of AUM)
• NASDAQ:ZVRA: $7.70 million (6.26% of AUM)
• NASDAQ:NKTR: $4.84 million (3.93% of AUM)

What ANI Actually Does

ANI Pharmaceuticals develops and manufactures a diverse range of branded and generic prescription medications. The company specializes in controlled substances, oncology products, hormones, steroids, injectables, and oral formulations. Beyond its proprietary product line, ANI generates significant revenue through contract development and manufacturing partnerships with other pharmaceutical companies.

The business serves a broad customer base including retail pharmacy chains, wholesalers, distributors, mail order pharmacies, and group purchasing organizations across North America.

The Exit Through an Investment Lens

Stonepine’s decision reflects rational capital allocation rather than a loss of faith. ANI has matured from a lower-priced name into an execution-driven specialty pharma story. The company’s near-50% annual gain means future returns will depend far more on sustained operational performance—particularly rare disease revenue growth and margin discipline—than on multiple expansion or rerating opportunities.

Early-stage biotech names, by contrast, still carry pricing that leaves room for upside surprises. For a fund seeking asymmetric returns, the math pointed toward redeployment.

Looking Ahead

ANI Pharmaceuticals has transitioned into a phase where fundamentals matter more than momentum. With double-digit revenue growth accelerating, a diversified rare disease portfolio emerging, and management executing against raised guidance, the business appears structurally sound. However, investors expecting continued explosive percentage gains may need to reset expectations—this is now a story about consistent execution rather than category-wide rerating.