Allogene Therapeutics (ALLO) AI Stock Analysis

• Market Cap: $510.14M
• Dividend Yield: N/A
• Average Volume (3M): 6.11M
• Price to Earnings (P/E): ―
• Beta (1Y): 1.61
• Revenue Growth: -100.00%
• EPS Growth: 37.10%
• Country: US
• Employees: 226
• Sector: Healthcare
• Sector Strength: 45
• Industry: Biotechnology
• EPS (TTM): -0.19
• Shares Outstanding: 224,730,150
• 10 Day Avg. Volume: 4,461,215
• 30 Day Avg. Volume: 6,109,006
• PEG Ratio: 0.04
• Price to Book (P/B): 0.98
• Price to Sales (P/S): 18861.34
• P/FCF Ratio: -2.06
• Enterprise Value/Market Cap: 1.00
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: -13.55
• Enterprise Value/Ebitda: -2.56
• 1Y Price Target: $6.50
• Price Target Upside: 284.62% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 4
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 53 Neutral
• Price Target: $1.50 ▼(-11.24% Downside)
• Action: Reiterated Date: 01/30/26
• Date: Action: Reiterated 01/30/26

The score is held back primarily by very weak financial performance (no revenue and significant ongoing losses/cash burn). Offsetting this are a relatively better-funded position and runway discussed on the earnings call, plus mildly constructive technicals (price above key moving averages and positive MACD). Valuation contributes limited support due to negative earnings and no dividend.

Positive Factors

Cash runway

A cash balance of $277.1M and runway into H2 2027 materially reduces near-term financing pressure, allowing Allogene to fund pivotal trials and development milestones through multiple clinical inflection points without immediate dilution or deal-driven capital raises.

Scalable allogeneic platform

A proprietary off-the-shelf CAR T approach targets structural advantages: manufacturing scale, faster patient access, and lower per-treatment logistics versus autologous models. If clinical efficacy and safety are proven, this supports durable commercial scale and cost advantage across indications.

Modest leverage

Relatively low debt reduces solvency risk and preserves flexibility to pursue R&D and partnerships. With modest financial leverage, Allogene can prioritize clinical development decisions without heavy interest/service obligations limiting strategic options over the medium term.

Negative Factors

No revenue / high cash burn

Zero trailing revenue and persistent net losses (TTM net loss ~$212M) mean the business relies on financing or partner deals to continue. Sustained negative free cash flow weakens runway if milestones slip and increases dilution risk, constraining long-term capital allocation.

Clinical safety risk

A fatal (grade 5) event that altered ALPHA3 design highlights significant safety risk inherent to CAR T development. Such events can delay approvals, require additional studies, and raise regulatory scrutiny, materially increasing timeline and cost uncertainty for commercialization.

Shrinking equity base

A materially reduced shareholder equity cushion and deeply negative ROE signal sustained value erosion from ongoing losses. This reduces balance sheet resilience to adverse outcomes and limits strategic optionality, making future financing more dilutive or costly if needed.

Allogene Therapeutics Business Overview & Revenue Model

Company Description

Allogene Therapeutics, Inc., a clinical stage immuno-oncology company, develops and commercializes genetically engineered allogeneic T cell therapies for the treatment of cancer. It develops, manufactures, and commercializes UCART19, an allogeneic chimeric antigen receptor (CAR) T cell product candidate for the treatment of pediatric and adult patients with R/R CD19 positive B-cell ALL. The company also develops ALLO-501, an anti-CD19 allogeneic CAR T cell product candidate that is in Phase I clinical trial for the treatment of R/R non-Hodgkin lymphoma; and ALLO-501A, which is in Phase I/II clinical trial for the treatment R/R large B-cell lymphoma or transformed follicular lymphoma. In addition, it is developing ALLO-715, an allogeneic CAR T cell product candidate that is in a Phase I clinical trial for treating R/R multiple myeloma; ALLO-605, an allogeneic CAR T cell product candidate for the treatment of multiple myeloma; ALLO-647, an anti-CD52 monoclonal antibody; CD70 to treat renal cell cancer; ALLO-819, an allogeneic CAR T cell product candidates for the treatment of acute myeloid leukemia; and DLL3 for the treatment of small cell lung cancer and other aggressive neuroendocrine tumors. The company has license and collaboration agreements with Pfizer Inc.; Servier; Cellectis S.A.; and Notch Therapeutics Inc., as well as clinical trial collaboration agreement with SpringWorks Therapeutics, Inc. It also has a strategic collaboration agreement with The University of Texas MD Anderson Cancer Center for the preclinical and clinical investigation of allogeneic CAR T cell product candidates. The company was incorporated in 2017 and is headquartered in South San Francisco, California.

How the Company Makes Money

Allogene Therapeutics generates revenue primarily through collaborations and partnerships with larger pharmaceutical companies, which often involve upfront payments, milestone payments upon achieving specific clinical or regulatory goals, and royalties on sales of products developed through these partnerships. The company may also seek funding through public offerings, grants, and strategic alliances to support its research and development efforts. As Allogene's therapies progress through clinical trials and reach commercialization, the potential for significant revenue generation increases, particularly as successful treatments can command high prices in the oncology market.

Allogene Therapeutics Financial Statement Overview

Summary

Operating fundamentals remain very weak: TTM revenue is $0 with sizable ongoing losses (TTM net loss ~$212M) and heavy cash burn (TTM FCF about -$159M). The balance sheet is comparatively better with modest leverage (debt-to-equity ~0.27), but equity has declined materially over time, reflecting continued losses.

Income Statement

The income statement remains weak, reflecting a pre-commercial profile. TTM (Trailing-Twelve-Months) revenue is $0 and annual revenue has fallen sharply from $114.1M (2021) to near-zero levels in 2022–2024, indicating limited recurring operating scale. Losses remain substantial (TTM net loss of ~$212.0M; 2024 net loss of ~$257.6M), showing the company has not yet achieved a path to profitability. A positive is that losses have improved versus 2022–2023 levels, suggesting some expense discipline, but profitability and revenue visibility are still the primary gaps.

Balance Sheet

The balance sheet is a relative strength despite ongoing losses. Leverage is modest (TTM debt-to-equity ~0.27; debt ~$85.1M versus equity ~$315.3M), which reduces financial risk compared with highly levered peers. However, the equity base has been shrinking materially over time (equity down from ~$1.08B in 2020 to ~$315M TTM), consistent with sustained losses, and returns on shareholders’ capital are deeply negative (TTM return on equity roughly -58%). Overall: reasonable leverage, but declining capital cushion is a clear watch item.

Cash Flow

Cash flow is pressured by heavy operating burn. TTM operating cash flow is about -$158.3M and TTM free cash flow is about -$159.0M, indicating continued reliance on funding rather than self-sustaining operations. Free cash flow burn improved versus 2024 (about -$201.0M), but still remains meaningfully negative, and the latest free cash flow growth is sharply lower (TTM vs prior period). A modest positive is that cash burn broadly tracks reported losses (free cash flow roughly in line with net loss), suggesting limited non-cash distortion, but the absolute cash usage remains the key risk.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	0.00	22.00K	95.00K	156.00K	114.09M	0.00
Gross Profit	-37.50M	22.00K	95.00K	-14.14M	114.09M	-11.54M
EBITDA	-198.19M	-243.33M	-313.07M	-321.24M	-169.74M	-238.68M
Net Income	-212.01M	-257.59M	-327.26M	-340.41M	-182.05M	-250.22M
Balance Sheet
Total Assets	439.77M	548.71M	642.84M	821.58M	1.05B	1.23B
Cash, Cash Equivalents and Short-Term Investments	252.19M	292.48M	448.70M	517.32M	457.30M	827.91M
Total Debt	85.14M	90.76M	95.12M	101.12M	73.13M	53.78M
Total Liabilities	124.44M	126.53M	130.60M	154.70M	125.63M	148.21M
Stockholders Equity	315.33M	422.18M	512.23M	666.88M	925.20M	1.08B
Cash Flow
Free Cash Flow	-158.99M	-200.99M	-239.25M	-225.71M	-206.26M	-181.05M
Operating Cash Flow	-158.34M	-200.30M	-237.73M	-220.52M	-184.81M	-115.09M
Investing Cash Flow	116.88M	75.69M	163.29M	106.16M	163.66M	-505.12M
Financing Cash Flow	28.04M	116.67M	95.69M	2.95M	11.96M	633.59M

Allogene Therapeutics Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1.69
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ALLO, the sentiment is Positive. The current price of 1.69 is below the 20-day moving average (MA) of 1.77, above the 50-day MA of 1.61, and above the 200-day MA of 1.32, indicating a bullish trend. The MACD of 0.14 indicates Negative momentum. The RSI at 61.04 is Neutral, neither overbought nor oversold. The STOCH value of 80.62 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for ALLO.

Allogene Therapeutics Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ABEO	60 Neutral	$277.46M	4.54	75.90%	―	―	―
ALLO	53 Neutral	$510.14M	-2.17	-54.43%	―	-100.00%	37.10%
NMRA	52 Neutral	$599.85M	-2.38	-104.35%	―	―	20.71%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
FHTX	49 Neutral	$331.57M	-4.91	―	―	-3.91%	37.89%
TNYA	43 Neutral	$136.64M	-0.80	-96.44%	―	―	46.68%