Adverum Biotechnologies (ADVM) AI Stock Analysis

• Market Cap: $66.52M
• Dividend Yield: N/A
• Average Volume (3M): 87.73K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.82
• Revenue Growth: N/A
• EPS Growth: 1.80%
• Country: US
• Employees: 155
• Sector: Healthcare
• Sector Strength: 51
• Industry: Biotechnology
• EPS (TTM): -2.34
• Shares Outstanding: 20,984,161
• 10 Day Avg. Volume: 64,810
• 30 Day Avg. Volume: 87,727
• 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: 1.40
• Enterprise Value/Revenue: 93.00
• Enterprise Value/Gross Profit: -7.91
• Enterprise Value/Ebitda: -0.58
• 1Y Price Target: $15.00
• Price Target Upside: 326.14% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 4

• Rating: 41 Neutral
• Price Target: $2.50 ▼(-28.98% Downside)

Adverum Biotechnologies' overall stock score is primarily impacted by its poor financial performance, characterized by persistent losses and negative cash flows. Technical analysis indicates some short-term stability but lacks strong momentum. Valuation metrics are unfavorable due to the negative P/E ratio and absence of dividends, making the stock less attractive to investors seeking profitability and income.

Positive Factors

Enrollment Success

The ongoing Phase 3 ARTEMIS trial for lead gene therapy candidate Ixo-vec in wet AMD patients has exceeded enrollment expectations.

Investor Confidence

The company announced a $10M private placement with Frazier Life Sciences, notably one of the company’s largest investors, showing confidence in the therapeutic potential of Ixo-vec gene therapy.

Therapeutic Potential

Retinal specialists highlighted gene therapy as the most exciting upcoming treatment for wet AMD, surpassing other modalities.

Negative Factors

Dependency on Financing

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.

Financing Challenges

There is a financing overhang with cash and equivalents expected to fund operations into 4Q25, particularly in an investment environment that underappreciates novel gene therapy treatments.

Liquidity Concerns

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 primarily generates revenue through collaborations and partnerships with larger pharmaceutical companies, which may involve upfront payments, milestone payments based on development progress, and royalties on future sales of approved therapies. The company may also receive funding from government grants or research institutions to support its clinical trials and research initiatives. As Adverum advances its product candidates through clinical trials and towards potential commercialization, it aims to secure licensing agreements that can further enhance its revenue streams.

Adverum Biotechnologies Financial Statement Overview

Summary

Adverum Biotechnologies is facing significant financial challenges. The income statement shows persistent losses with negative EBIT and net income. The balance sheet indicates increasing leverage and a shrinking equity base, while cash flows are strained with consistent operational cash outflows. These issues highlight the need for improved operational efficiencies and revenue stabilization.

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	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.00M	1.00M	3.60M	0.00	7.50M	0.00
Gross Profit	-11.75M	-2.65M	-2.04M	-6.53M	2.85M	-4.16M
EBITDA	-161.36M	-127.27M	-117.55M	-147.93M	-140.90M	-112.23M
Net Income	-183.87M	-130.93M	-122.12M	-154.54M	-145.54M	-117.51M
Balance Sheet
Total Assets	96.18M	179.84M	173.01M	308.37M	439.73M	482.57M
Cash, Cash Equivalents and Short-Term Investments	44.40M	125.69M	96.53M	185.59M	305.19M	429.73M
Total Debt	92.22M	91.70M	74.04M	106.80M	102.99M	30.71M
Total Liabilities	116.40M	109.13M	89.54M	126.85M	123.54M	48.22M
Stockholders Equity	-20.22M	70.71M	83.47M	181.52M	316.19M	434.35M
Cash Flow
Free Cash Flow	-131.53M	-92.85M	-91.71M	-119.91M	-122.95M	-91.14M
Operating Cash Flow	-130.91M	-92.46M	-90.90M	-108.09M	-107.83M	-79.29M
Investing Cash Flow	45.65M	-41.89M	96.88M	141.72M	78.71M	-280.17M
Financing Cash Flow	359.00K	120.00M	69.00K	607.00K	2.40M	355.99M

Adverum Biotechnologies Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 3.52
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ADVM, the sentiment is Positive. The current price of 3.52 is above the 20-day moving average (MA) of 2.90, above the 50-day MA of 2.67, and below the 200-day MA of 3.73, indicating a neutral trend. The MACD of 0.19 indicates Negative momentum. The RSI at 71.34 is Negative, neither overbought nor oversold. The STOCH value of 88.99 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for ADVM.

Adverum Biotechnologies Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	51 Neutral	$7.92B	-0.43	-41.67%	2.21%	22.29%	-1.85%
TCRX	48 Neutral	$107.25M	―	-63.33%	―	-42.94%	―
ADAG	47 Neutral	$100.86M	―	-63.24%	―	-87.65%	11.76%
IGMS	44 Neutral		―		―	4882.82%	75.40%
ADVM	41 Neutral	$66.52M	―	-222.28%	―	―	1.80%
ELTX	30 Underperform	$177.27M	―	-9999.00%	―	―	-4.60%
ANL	―	$64.94M	―		―	―	―

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.