ADC Therapeutics Ltd (ADCT)
NYSE:ADCT
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ADC Therapeutics
(NYSE:ADCT)
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Rating:44Neutral
Price Target:
$3.00
▼(-29.91% Downside)
Action:Reiterated
Date:05/09/26
The score is primarily held down by weak financial performance (persistent losses, cash burn, and negative equity with rising debt) and bearish technicals (price below key moving averages with negative MACD). Offsetting factors include a somewhat constructive earnings update (revenue growth, lower adjusted opex, runway into 2028) and near-term clinical catalysts, though outcomes are uncertain; valuation support is limited due to negative earnings and no dividend.
Positive Factors
Product Revenue Growth
ZYNLONTA's mid-teens YoY product revenue growth indicates an established commercial foothold in third-line-plus DLBCL. Durable product sales provide a recurring revenue base that supports commercialization infrastructure, reduces sole dependence on near-term trial readouts, and underpins partner/royalty economics over the next 2–6 months.
Negative Factors
Negative Equity & Rising Debt
Persistent negative shareholders' equity and increasing debt materially constrain financial flexibility and raise leverage risk. This condition limits capacity to secure favorable financing, could increase borrowing costs, complicates deal negotiations, and heightens downside in adverse scenarios over the coming quarters.
Read all positive and negative factors
Positive Factors
Negative Factors
Product Revenue Growth
ZYNLONTA's mid-teens YoY product revenue growth indicates an established commercial foothold in third-line-plus DLBCL. Durable product sales provide a recurring revenue base that supports commercialization infrastructure, reduces sole dependence on near-term trial readouts, and underpins partner/royalty economics over the next 2–6 months.
Read all positive factors
ADC Therapeutics (ADCT) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$431.18M
Dividend YieldN/A
Average Volume (3M)1.16M
Price to Earnings (P/E)―
Beta (1Y)1.95
Revenue Growth4.43%
EPS Growth27.41%
CountryUS
Employees263
SectorHealthcare
Sector Strength45
IndustryBiotechnology
Share Statistics
EPS (TTM)-1.05
Shares Outstanding127,191,154
10 Day Avg. Volume985,157
30 Day Avg. Volume1,158,707
Financial Highlights & Ratios
PEG Ratio0.10
Price to Book (P/B)-2.41
Price to Sales (P/S)5.51
P/FCF Ratio-3.17
Enterprise Value/Market Cap1.44
Enterprise Value/Revenue7.85
Enterprise Value/Gross Profit8.65
Enterprise Value/Ebitda-7.08
Forecast
1Y Price Target
$8.00Price Target Upside86.92% Upside
Rating ConsensusStrong Buy
Number of Analyst Covering3
EPS Forecast (FY)-0.85
Revenue Forecast (FY)$81.39M
ADC Therapeutics Business Overview & Revenue Model
Company Description
ADC Therapeutics SA, a commercial-stage biotechnology company, develops antibody drug conjugates (ADC) for patients suffering from hematological malignancies and solid tumors. Its flagship product ZYNLONTA that is in Phase II clinical trial for th...
How the Company Makes Money
ADC Therapeutics makes money primarily through product revenue from sales of ZYNLONTA in its approved markets. This includes revenue recognized from commercialization activities (selling the drug via specialty distribution channels to healthcare p...
ADC Therapeutics Earnings Call Summary
Earnings Call Date:May 04, 2026
(Q1-2026)
| % Change Since: |
Next Earnings Date:Aug 11, 2026
Earnings Call Sentiment Positive
The call balanced solid operational and financial execution (revenue growth ~15%, 13% reduction in adjusted operating expenses, improved GAAP and non-GAAP losses, and a cash runway into 2028) with near-term risks tied to clinical outcomes and ongoing cost reallocation (higher COGS and quarter-over-quarter cash decline). Management highlighted multiple upcoming data catalysts (LOTIS-5, LOTIS-7, IITs) that could materially drive future growth if positive, but outcome uncertainty and no expected 2026 revenue upside temper near-term outlook.Positive Updates
Net Product Revenue Growth
Q1 2026 net product revenues of $20.0M versus $17.4M in Q1 2025, an increase of approximately 15%, driven primarily by quarter-to-quarter customer ordering variability with underlying demand described as broadly stable.
Negative Updates
Decrease in Licensing Revenues and Royalties
Licensing revenues and royalties were lower in Q1 2026 compared with Q1 2025 due to a $5M milestone received in the prior-year period, reducing non-product revenue comparatives.
Read all updates
Q1-2026 Updates
Positive
Negative
Net Product Revenue Growth
Q1 2026 net product revenues of $20.0M versus $17.4M in Q1 2025, an increase of approximately 15%, driven primarily by quarter-to-quarter customer ordering variability with underlying demand described as broadly stable.
Read all positive updates
Company Guidance
The company guided that LOTIS‑5 top‑line data are expected in Q2 2026 (before end of June) and that the program remains blinded and not yet database‑locked but is on track; if positive they plan an sBLA submission by year‑end 2026 with full publication and compendia inclusion in H1 2027 and confirmatory approval thereafter, and they reiterated potential U.S. peak annual revenues of $600M–$1B (assuming compendia listing and approval). Other milestones: LOTIS‑7 enrollment (~100 patients at selected dose) to complete in Q2 with full data by year‑end 2026; indolent lymphoma IIT data expected end‑2026 to mid‑2027. Q1 financial and operating metrics: net product revenue $20.0M (vs $17.4M YoY), licensing/royalties lower (prior $5M milestone), cost of product sales $3.6M (+$1.6M), total operating expenses $46.1M, adjusted operating expenses $42.9M (down 13% YoY), GAAP net loss $33M or $0.21/share (vs $38.6M or $0.36), adjusted net loss $19.7M (vs $24M), cash $231M (vs $261.3M at 12/31/25) providing an expected runway at least into 2028; a quiet/blackout period has been in effect since April 1.ADC Therapeutics Financial Statement Overview
Summary
Income Statement
26
Negative
Balance Sheet
18
Very Negative
Cash Flow
24
Negative
| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 79.17M | 81.36M | 70.84M | 69.56M | 209.91M | 33.92M |
| Gross Profit | 71.82M | 73.68M | 64.89M | 67.03M | 206.61M | 32.52M |
| EBITDA | -87.83M | -106.50M | -102.65M | -145.83M | -107.70M | -230.53M |
| Net Income | -136.99M | -142.62M | -157.85M | -240.05M | -157.13M | -230.03M |
Balance Sheet | ||||||
| Total Assets | 291.50M | 323.15M | 321.98M | 354.78M | 490.86M | 617.97M |
| Cash, Cash Equivalents and Short-Term Investments | 231.01M | 261.34M | 250.87M | 278.60M | 326.44M | 466.54M |
| Total Debt | 421.36M | 439.01M | 123.00M | 124.38M | 129.85M | 139.70M |
| Total Liabilities | 507.87M | 508.98M | 524.62M | 503.03M | 411.41M | 451.88M |
| Stockholders Equity | -216.38M | -185.83M | -202.64M | -148.25M | 79.45M | 166.09M |
Cash Flow | ||||||
| Free Cash Flow | -114.59M | -141.44M | -124.70M | -121.90M | -139.00M | -239.75M |
| Operating Cash Flow | -114.55M | -141.17M | -123.83M | -118.69M | -138.31M | -233.38M |
| Investing Cash Flow | 653.73K | 395.00K | -867.00K | -3.22M | -687.00K | -6.67M |
| Financing Cash Flow | 151.21M | 150.94M | 97.05M | 73.88M | -897.00K | 267.39M |
ADC Therapeutics Technical Analysis
Negative
4.28
Price Trends
3.79
Negative
3.86
Negative
3.81
Negative
Market Momentum
-0.17
Positive
41.47
Neutral
45.38
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ADCT, the sentiment is Negative. The current price of 4.28 is above the 20-day moving average (MA) of 3.54, above the 50-day MA of 3.79, and above the 200-day MA of 3.81, indicating a bearish trend. The MACD of -0.17 indicates Positive momentum. The RSI at 41.47 is Neutral, neither overbought nor oversold. The STOCH value of 45.38 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for ADCT.
ADC Therapeutics Risk Analysis
ADC Therapeutics disclosed 61 risk factors in its most recent earnings report. ADC Therapeutics reported the most risks in the "Tech & Innovation" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
ADC Therapeutics Peers Comparison
UnderperformOutperform
Sector (51)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
55 Neutral | $1.10B | -5.03 | -51.34% | 14.68% | ― | 94.97% | |
51 Neutral | $7.86B | -0.30 | -43.30% | 2.27% | 22.53% | -2.21% | |
49 Neutral | $353.72M | -2.34 | -57.01% | ― | ― | -28.75% | |
48 Neutral | $292.85M | -4.17 | -107.23% | ― | ― | ― | |
48 Neutral | $1.19B | -7.22 | -45.95% | ― | ― | -3.83% | |
44 Neutral | $431.18M | -4.38 | 65.27% | ― | 4.43% | 27.41% | |
44 Neutral | $162.55M | ― | -1115.29% | ― | 1.48% | -244.25% |
* Healthcare Sector Average
ADCT
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ADC Therapeutics Corporate Events
Business Operations and StrategyPrivate Placements and Financing
ADC Therapeutics Amends Royalty Deal, Issues New Warrants
Positive
Feb 23, 2026
On February 18, 2026, ADC Therapeutics amended its 2021 royalty-based funding agreement with entities managed by HealthCare Royalty Management, which have provided $300 million to the company. The amendment significantly revises the company’...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.