Adverum Biotechnologies (ADVM) AI Stock Analysis

• Market Cap: $55.78M
• Dividend Yield: N/A
• Average Volume (3M): 253.88K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.87
• Revenue Growth: N/A
• EPS Growth: 37.54%
• Country: US
• Employees: 155
• Sector: Healthcare
• Sector Strength: 37
• Industry: Biotechnology
• EPS (TTM): -2.25
• Shares Outstanding: 20,890,734
• 10 Day Avg. Volume: 138,013
• 30 Day Avg. Volume: 253,885
• PEG Ratio: 0.04
• Price to Book (P/B): 2.05
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -0.48
• Enterprise Value/Market Cap: 1.77
• Enterprise Value/Revenue: -8.68
• Enterprise Value/Gross Profit: -8.61
• Enterprise Value/Ebitda: -0.25
• 1Y Price Target: $15.33
• Price Target Upside: 467.78% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 4

• Rating: 44 Neutral
• Price Target: $2.50 ▼(-7.41%Downside)

Adverum Biotechnologies' overall stock score is primarily impacted by its weak financial performance and concerning valuation metrics. Although technical analysis shows some short-term strength, the long-term outlook remains weak. The absence of earnings call data and corporate events further limits the positive factors influencing the score.

Positive Factors

Clinical Trials

Patient enrollment for ARTEMIS, the first P3 study for ixo-vec, is ahead of schedule, indicating strong interest and potential success in the clinical trial.

Efficacy and Safety

Ixo-vec has demonstrated paradigm shifting potential in the treatment of neovascular or wet AMD patients with its differentiated injection durability profile, and safety and tolerability with reliable inflammation management.

Funding and Financial Strategy

The $125.7M in cash and equivalents is anticipated to fund operations into the second half of 2025, supporting the ongoing pivotal program.

Negative Factors

Clinical Trial Dependency

The second P3 study, AQUARIUS, won't start until financing is secured, creating a dependency on new funding to progress.

Financing Needs

Given very limited cash and the need for a second pivotal P3 study for ixo-vec, a near-term announcement on meaningful financing or a significant partnership is critical.

Liquidity Challenges

Partnership discussions are still active, with significant business development interest, despite current liquidity challenges.

Adverum Biotechnologies Business Overview & Revenue Model

Company Description

Adverum Biotechnologies, Inc., a clinical-stage gene therapy company, develops gene therapy product candidates to treat ocular and rare diseases. Its lead product candidate is ADVM-022, a single intravitreal injection gene therapy candidate used for the treatment of patients with chronic retinal, including wet age-related macular degeneration and diabetic macular edema. Adverum Biotechnologies, Inc. has license and collaboration agreements with University of California; Cornell University; GenSight; Lexeo; and Virovek. The company was formerly known as Avalanche Biotechnologies, Inc. and changed its name to Adverum Biotechnologies, Inc. in May 2016. Adverum Biotechnologies, Inc. was incorporated in 2006 and is headquartered in Redwood City, California.

How the Company Makes Money

Adverum Biotechnologies generates revenue primarily through collaboration and licensing agreements with other pharmaceutical and biotechnology companies. These partnerships often involve upfront payments, milestones, and royalties based on the successful development and commercialization of product candidates. Additionally, Adverum may receive funding from grants and research contracts to advance its gene therapy programs. The company's earnings are influenced significantly by the progress of its clinical trials and the potential market approval of its therapies.

Adverum Biotechnologies Financial Statement Overview

Summary

Adverum Biotechnologies is facing significant financial challenges. The income statement shows ongoing operational losses, the balance sheet indicates increasing leverage and a shrinking equity base, and cash flows are consistently negative, highlighting liquidity risks and the need for operational improvements.

Income Statement

Adverum Biotechnologies has experienced significant challenges in its income statement. The company reported negative EBIT and net income for several years, indicating ongoing operational losses. The gross profit margin fluctuates with occasional positive figures, but the net profit margin remains negative, highlighting profitability issues. Revenue growth is erratic with periods of no revenue, showing instability in generating consistent revenue streams.

Balance Sheet

The balance sheet of Adverum Biotechnologies reveals a moderately leveraged position with a debt-to-equity ratio that suggests manageable debt levels relative to its equity. However, the company's equity has decreased over time, reflecting a reduction in financial stability. The equity ratio shows a decline, indicating that liabilities are becoming a larger portion of the company's financial structure, potentially increasing financial risk.

Cash Flow

Adverum Biotechnologies faces challenges in cash flow management. Operating cash flow has been consistently negative, which signifies operational struggles to generate cash. Free cash flow remains negative, indicating heavy cash outflows relative to inflows. Despite occasional financing inflows boosting cash reserves, the reliance on external financing could indicate potential liquidity risks without operational improvements.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.00M	3.60M	0.00	7.50M	0.00
Gross Profit	-2.65M	-2.04M	-6.53M	2.85M	-4.16M
EBITDA	-127.27M	-123.30M	-147.93M	-140.90M	-112.23M
Net Income	-130.93M	-117.17M	-154.54M	-145.54M	-117.51M
Balance Sheet
Total Assets	179.84M	173.01M	308.37M	439.73M	482.57M
Cash, Cash Equivalents and Short-Term Investments	125.69M	96.53M	185.59M	305.19M	429.73M
Total Debt	91.70M	75.04M	106.80M	102.99M	30.71M
Total Liabilities	109.13M	89.54M	126.85M	123.54M	48.22M
Stockholders Equity	70.71M	83.47M	181.52M	316.19M	434.35M
Cash Flow
Free Cash Flow	-92.85M	-91.71M	-119.91M	-122.95M	-91.14M
Operating Cash Flow	-92.46M	-90.90M	-108.09M	-107.83M	-79.29M
Investing Cash Flow	-41.89M	96.88M	141.72M	78.71M	-280.17M
Financing Cash Flow	120.00M	69.00K	607.00K	2.40M	355.99M

Adverum Biotechnologies Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 2.70
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ADVM, the sentiment is Neutral. The current price of 2.7 is above the 20-day moving average (MA) of 2.53, above the 50-day MA of 2.45, and below the 200-day MA of 4.51, indicating a neutral trend. The MACD of 0.07 indicates Negative momentum. The RSI at 54.48 is Neutral, neither overbought nor oversold. The STOCH value of 43.79 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for ADVM.

Adverum Biotechnologies Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	52 Neutral	$7.62B	0.05	-63.03%	2.44%	16.33%	0.31%
TCRX	52 Neutral	$105.26M	―	-78.93%	―	-70.15%	―
IGMS	46 Neutral	$76.95M	―	-245.59%	―	27.36%	23.82%
ADAG	44 Neutral	$90.77M	―	-55.14%	―	-99.43%	-69.40%
ADVM	44 Neutral	$55.78M	―	-127.99%	―	―	37.54%
ELTX	30 Underperform	$156.93M	―	-744.59%	―	―	27.65%
ANL	―	$54.24M	―		―	―	―

Adverum Biotechnologies Corporate Events

Adverum Biotechnologies Holds Annual Meeting with Key Votes

On June 17, 2025, Adverum Biotechnologies held its Annual Meeting, where stockholders voted on several key proposals. The election of Class II directors, ratification of Ernst & Young LLP as the independent accounting firm, and approval of executive compensation were among the decisions made. Additionally, stockholders approved amendments to the 2024 Equity Incentive Award Plan and the reduction of exercise prices for certain stock options, reflecting strategic adjustments to enhance shareholder value.

The most recent analyst rating on (ADVM) stock is a Buy with a $25.00 price target. To see the full list of analyst forecasts on Adverum Biotechnologies stock, see the ADVM Stock Forecast page.