Allogene Therapeutics (ALLO) AI Stock Analysis

• Market Cap: $257.38M
• Dividend Yield: N/A
• Average Volume (3M): 4.90M
• Price to Earnings (P/E): ―
• Beta (1Y): 2.09
• Revenue Growth: -100.00%
• EPS Growth: 30.91%
• Country: US
• Employees: 226
• Sector: Healthcare
• Sector Strength: 45
• Industry: Biotechnology
• EPS (TTM): -0.23
• Shares Outstanding: 221,881,030
• 10 Day Avg. Volume: 4,493,059
• 30 Day Avg. Volume: 4,898,806
• 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: 0.24
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: -4.85
• Enterprise Value/Ebitda: -0.26
• 1Y Price Target: $7.44
• Price Target Upside: 541.38% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 14

• Rating: 41 Neutral
• Price Target: $1.00 ▼(-13.79% Downside)

Allogene Therapeutics' overall stock score is primarily impacted by its weak financial performance, characterized by declining revenues and persistent losses. The technical analysis indicates bearish momentum, and the valuation metrics are poor due to negative earnings. While the earnings call provided some positive developments, safety concerns and financial challenges remain significant risks. The corporate event related to the ALPHA3 trial adjustment further underscores the operational hurdles the company faces.

Positive Factors

Clinical Trial Progress

The company activated roughly 50 sites for the ALPHA3 trial, indicating robust progress in its clinical trial efforts.

Regulatory Milestones

The FDA agreed to a single-arm study in relapsed/refractory patients, which is a significant regulatory milestone.

Safety and Efficacy

Encouraging MRD conversion rate and safety profile with FC regimen seen with early, unplanned review of data.

Negative Factors

Commercial Prospects

The commercial prospects of cema-cel are now uncertain due to the absence of ALLO-647.

Program Confidence

A fatal event in cema-cel’s pivotal front-line consolidation LBCL ALPHA 3 study impacts confidence in the program.

Safety Concerns

The shift in lymphodepletion regimen strategy is viewed as necessary due to safety concerns.

Allogene Therapeutics Business Overview & Revenue Model

Company Description

Allogene Therapeutics is a biotechnology company focused on developing allogeneic T cell therapies for the treatment of cancer. The company is pioneering an innovative approach to immunotherapy, leveraging genetically engineered T cells derived from healthy donors to create therapies that are designed to be off-the-shelf and readily available for patients. Allogene's core products include its proprietary AlloCAR T™ platform, which aims to provide more accessible and scalable treatments for various hematologic malignancies and solid tumors.

How the Company Makes Money

Allogene Therapeutics generates revenue primarily through the development and commercialization of its allogeneic CAR T cell therapies. The company may achieve earnings through several key revenue streams, including licensing agreements, collaborations with larger pharmaceutical companies, and potential product sales once therapies receive regulatory approval. Significant partnerships with larger biopharmaceutical firms enhance its capabilities in research, development, and market access, contributing to its financial growth. Additionally, the company may receive milestone payments and royalties from its partners based on the progress of its product candidates.

Allogene Therapeutics Financial Statement Overview

Summary

Allogene Therapeutics faces significant financial challenges, with declining revenues, persistent losses, and dependence on external funding. While the balance sheet shows some resilience with cash reserves and moderate leverage, the lack of profitability and cash flow growth indicates the company must address operational inefficiencies to achieve sustainable growth.

Income Statement

Allogene Therapeutics has struggled to generate revenue, with a sharp decline from $38.5M in 2021 to negligible amounts in 2023 and 2024. Consistently negative EBIT and net income reflect ongoing operational challenges. The lack of revenue growth and persistent losses highlight significant financial hurdles.

Balance Sheet

The company maintains a relatively low debt-to-equity ratio, indicating moderate leverage. However, a declining equity base from $1.08B in 2020 to $422M in 2024 signals potential financial strain. The substantial cash reserves provide a buffer, but the shrinking equity ratio raises concerns about long-term stability.

Cash Flow

Negative operating and free cash flows indicate poor cash generation from operations. While financing activities have bolstered cash levels, the reliance on external funding to sustain operations could pose risks. The absence of positive cash flow growth further underscores operational inefficiencies.

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	-12.64M	22.00K	-242.82M	-14.14M	103.64M	-11.54M
EBITDA	-232.47M	-243.33M	-313.07M	-321.24M	-169.74M	-238.68M
Net Income	-236.91M	-257.59M	-327.26M	-340.41M	-182.05M	-250.22M
Balance Sheet
Total Assets	470.59M	548.71M	642.84M	817.08M	1.05B	1.23B
Cash, Cash Equivalents and Short-Term Investments	273.12M	292.48M	448.70M	517.32M	457.30M	827.91M
Total Debt	79.24M	90.76M	95.12M	101.12M	73.13M	53.78M
Total Liabilities	126.03M	126.53M	130.60M	154.70M	122.23M	148.21M
Stockholders Equity	344.56M	422.18M	512.23M	665.87M	916.41M	1.08B
Cash Flow
Free Cash Flow	-173.60M	-200.99M	-239.25M	-225.71M	-206.26M	-181.05M
Operating Cash Flow	-172.77M	-200.30M	-237.73M	-220.52M	-184.81M	-115.09M
Investing Cash Flow	28.95M	75.69M	163.29M	106.16M	163.66M	-505.12M
Financing Cash Flow	25.48M	116.67M	95.69M	2.95M	11.96M	633.59M

Allogene Therapeutics Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 1.16
• 50DMA: Negative
• 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 ALLO, the sentiment is Neutral. The current price of 1.16 is above the 20-day moving average (MA) of 1.10, below the 50-day MA of 1.21, and below the 200-day MA of 1.66, indicating a neutral trend. The MACD of -0.03 indicates Negative momentum. The RSI at 50.27 is Neutral, neither overbought nor oversold. The STOCH value of 71.37 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for ALLO.

Allogene Therapeutics Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CMPX	60 Neutral	$518.15M	―	-51.84%	―	-100.00%	-25.75%
ZBIO	58 Neutral	$715.88M	―	-88.40%	―	―	―
Sector *	51 Neutral	$7.83B	-0.15	-40.10%	2.29%	21.46%	-2.01%
ALLO	41 Neutral	$257.38M	―	-55.12%	―	-100.00%	30.91%
AUTL	41 Neutral	$428.49M	―	-52.18%	―	187.52%	26.32%
ANNX	38 Underperform	$236.26M	―	-66.75%	―	―	-5.57%
SANA	33 Underperform	$833.02M	―	-109.12%	―	―	7.58%

Allogene Therapeutics Corporate Events

Allogene Therapeutics Adjusts ALPHA3 Trial After Adverse Event

On August 1, 2025, Allogene Therapeutics announced the selection of standard fludarabine and cyclophosphamide as the lymphodepletion regimen for its ALPHA3 study, following a Grade 5 adverse event linked to ALLO-647. The decision to close the arm testing FC plus ALLO-647 was made after consultation with the FDA and the DSMB due to severe viral infections attributed to immunosuppression from ALLO-647. The amended ALPHA3 trial will now proceed with two arms, comparing cema-cel after standard FC lymphodepletion to observation, with the next milestone being a futility analysis expected in the first half of 2026. The company will focus on advancing its AlloCAR T product candidates using the Dagger® Platform Technology, which aims to reduce the need for standard lymphodepletion.

Allogene Therapeutics Holds Annual Stockholder Meeting

On June 18, 2025, Allogene Therapeutics held its Annual Meeting of Stockholders, where key decisions were made. Stockholders elected three Class I Directors to serve until 2028, approved executive compensation on an advisory basis, and ratified Ernst & Young LLP as the independent accounting firm for 2025.