AbSci (ABSI) AI Stock Analysis

• Market Cap: $638.46M
• Dividend Yield: N/A
• Average Volume (3M): 6.32M
• Price to Earnings (P/E): ―
• Beta (1Y): 2.33
• Revenue Growth: 27.32%
• EPS Growth: -1.34%
• Country: US
• Employees: 156
• Sector: Healthcare
• Sector Strength: 45
• Industry: Biotechnology
• EPS (TTM): -0.24
• Shares Outstanding: 149,522,640
• 10 Day Avg. Volume: 6,631,965
• 30 Day Avg. Volume: 6,319,409
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 0.32
• Enterprise Value/Revenue: 48.73
• Enterprise Value/Gross Profit: -66.25
• Enterprise Value/Ebitda: -2.02
• 1Y Price Target: $7.22
• Price Target Upside: 64.09% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 6

• Rating: 58 Neutral
• Price Target: $4.50 ▲(2.27% Upside)

AbSci's stock score is primarily impacted by its financial performance challenges, including negative profitability and cash flow issues. However, technical analysis suggests positive momentum, which is a significant strength. The earnings call provided some optimism with strategic partnerships and clinical progress, but valuation concerns due to negative earnings remain a risk.

Positive Factors

Strategic Partnerships

The expansion of the Almirall partnership enhances AbSci's revenue potential through significant milestone payments, strengthening its market position and collaborative network in the biotechnology sector.

Financial Position

The successful capital raise provides AbSci with financial stability and operational funding for several years, supporting long-term strategic initiatives and reducing financial risk.

AI-Driven Drug Creation

The investment in AI technology positions AbSci at the forefront of innovative drug development, potentially accelerating discovery processes and enhancing competitive advantage.

Negative Factors

Negative Profit Margins

Persistent negative profit margins indicate operational inefficiencies and challenges in achieving profitability, which could hinder long-term financial health and investment appeal.

Increased R&D Expenses

Rising R&D expenses, while necessary for innovation, strain financial resources and may impact short-term profitability, requiring careful management to ensure sustainable growth.

Low Revenue Generation

Low revenue generation suggests challenges in commercializing products and services, which may affect cash flow and the ability to fund future growth initiatives.

AbSci Business Overview & Revenue Model

Company Description

AbSci (ABSI) is a biotechnology company specializing in the development of innovative solutions for protein production and drug development. The company focuses on utilizing its proprietary platform, which combines advanced cell-free protein synthesis technology with synthetic biology, to create high-quality proteins for various applications in the pharmaceutical and biotechnology sectors. AbSci’s core offerings include its contract development and manufacturing services, as well as its proprietary pipeline of therapeutic proteins aimed at addressing unmet medical needs.

How the Company Makes Money

AbSci generates revenue primarily through its contract development and manufacturing services, where it collaborates with pharmaceutical and biotech companies to produce proteins for research and therapeutic purposes. This includes providing services for protein engineering, optimization, and large-scale production. Additionally, AbSci earns revenue from partnerships and collaborations with major pharmaceutical companies, where it may receive milestone payments and royalties based on the success of developed products. The company's proprietary pipeline of therapeutic proteins also has the potential to contribute to revenue through licensing agreements or direct sales once products are commercialized.

AbSci Financial Statement Overview

Summary

AbSci is struggling with profitability and cash flow generation, as evidenced by negative margins and cash flow metrics. The balance sheet remains relatively stable, with a solid equity base and low leverage, but operational inefficiencies and growth challenges present substantial risks that need to be addressed to improve financial health.

Income Statement

The income statement reveals persistent revenue stagnation and consistent net losses. The Gross Profit Margin and Net Profit Margin are negative, highlighting ongoing operational challenges. Revenue growth remains unstable with a decline in recent periods, while negative EBIT and EBITDA margins indicate significant operational inefficiencies.

Balance Sheet

The balance sheet shows a strong equity position with a low debt-to-equity ratio, indicating financial leverage is not a major concern. However, the continued net losses impede returns, as evidenced by the negative ROE. The equity ratio is relatively stable but has been decreasing, reflecting potential asset allocation challenges.

Cash Flow

Operating Cash Flow remains negative, reflecting ongoing cash burn, while Free Cash Flow also faces significant challenges. The company’s cash flow from operations compared to net income shows issues in converting income into cash, despite positive financing activities in recent periods providing liquidity support.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	4.14M	4.53M	5.72M	5.75M	4.78M	4.78M
Gross Profit	-3.04M	-8.86M	-41.85M	-7.29M	-1.87M	-6.67M
EBITDA	-100.08M	-89.08M	-95.46M	-91.36M	-99.77M	-12.59M
Net Income	-113.30M	-103.11M	-110.57M	-104.90M	-100.96M	-14.35M
Balance Sheet
Total Assets	209.89M	213.61M	217.30M	321.01M	426.19M	88.57M
Cash, Cash Equivalents and Short-Term Investments	117.46M	112.42M	97.66M	164.43M	252.57M	69.87M
Total Debt	7.25M	10.11M	15.96M	22.98M	20.01M	14.50M
Total Liabilities	36.52M	34.48M	41.12M	46.59M	60.09M	178.00M
Stockholders Equity	173.37M	179.13M	176.18M	274.41M	366.11M	67.00M
Cash Flow
Free Cash Flow	-76.73M	-72.81M	-65.50M	-97.51M	-98.64M	-13.15M
Operating Cash Flow	-76.41M	-72.40M	-64.64M	-81.34M	-60.60M	-10.97M
Investing Cash Flow	27.84M	-41.58M	81.94M	-126.98M	-67.38M	-2.17M
Financing Cash Flow	43.27M	82.53M	-4.48M	5.24M	336.19M	70.97M

AbSci Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 4.40
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ABSI, the sentiment is Positive. The current price of 4.4 is above the 20-day moving average (MA) of 4.13, above the 50-day MA of 3.20, and above the 200-day MA of 3.18, indicating a bullish trend. The MACD of 0.38 indicates Positive momentum. The RSI at 59.41 is Neutral, neither overbought nor oversold. The STOCH value of 36.48 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for ABSI.

AbSci Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ABSI	―	$638.46M	―	-57.39%	―	27.32%	-1.34%
FDMT	―	$529.61M	―	-38.87%	―	―	―
ADCT	―	$460.12M	―	―	―	15.73%	38.73%
Sector *	―	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
AUTL	―	$407.20M	―	-52.18%	―	187.52%	26.32%
DSGN	―	$326.31M	-5.12	-26.77%	―	―	-24.60%
RAPT	―	$734.44M	-2.08	-77.83%	―	―	43.16%

AbSci Corporate Events

Absci Corp. Earnings Call: Strategic Gains Amid Challenges

Absci Corp. recently held its earnings call, showcasing a mixed sentiment. The company reported significant progress in clinical trials and strategic partnerships, which are pivotal in strengthening its financial position and enhancing its drug development capabilities. However, challenges such as increased R&D expenses and low revenue figures were also highlighted, indicating areas that need attention.

Absci Corporation Reports Q2 2025 Financial Results

Absci Corporation is a clinical-stage biopharmaceutical company that leverages generative AI to advance breakthrough therapeutics, primarily focusing on drug discovery and development in the biotechnology sector.

Absci Reports Strong Q2 2025 Financial Results

On August 12, 2025, Absci Corporation announced its second quarter financial results and business updates, highlighting a strengthened balance sheet with $64 million raised in July 2025, sufficient to fund operations into 2028. The company expanded its collaboration with Almirall, focusing on dermatological indications, and reported progress in its internal pipeline, including clinical trials for ABS-101 and ABS-201. Despite a net loss of $30.6 million for the quarter, Absci continues to advance its AI Drug Creation platform and anticipates further partnerships in 2025.

The most recent analyst rating on (ABSI) stock is a Buy with a $7.00 price target. To see the full list of analyst forecasts on AbSci stock, see the ABSI Stock Forecast page.

Absci Announces Public Offering to Raise Capital

On July 24, 2025, Absci Corporation announced an underwritten public offering of 16,670,000 shares of its common stock at $3.00 per share, potentially raising approximately $46.7 million, or $53.7 million if additional shares are purchased. The proceeds will support the development of Absci’s internal asset programs, investment in its Integrated Drug Creation platform, and general corporate purposes, positioning the company for further growth in the biopharmaceutical industry.

The most recent analyst rating on (ABSI) stock is a Buy with a $7.00 price target. To see the full list of analyst forecasts on AbSci stock, see the ABSI Stock Forecast page.