ALX Oncology Holdings (ALXO) AI Stock Analysis

• Market Cap: $108.98M
• Dividend Yield: N/A
• Average Volume (3M): 670.12K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.34
• Revenue Growth: N/A
• EPS Growth: 31.98%
• Country: US
• Employees: 65
• Sector: Healthcare
• Sector Strength: 45
• Industry: Biotechnology
• EPS (TTM): -0.41
• Shares Outstanding: 54,218,002
• 10 Day Avg. Volume: 555,214
• 30 Day Avg. Volume: 670,121
• PEG Ratio: 0.02
• Price to Book (P/B): 0.77
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -0.71
• Enterprise Value/Market Cap: 0.85
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: -0.88
• 1Y Price Target: $3.33
• Price Target Upside: 65.67% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 4
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 61 Neutral
• Price Target: $2.00 ▼(-0.50% Downside)

The score is held back primarily by weak financial performance (no revenue, large losses, and heavy cash burn despite lower debt). Offsetting this, technicals are constructive with price above major moving averages and positive momentum, while recent updates point to encouraging clinical progress and improved funding via a sizeable equity raise. Valuation remains challenged due to negative earnings and no dividend support.

Positive Factors

Biomarker-driven efficacy of evorpacept

Demonstrated biomarker-linked efficacy (CD47 expression) materially de-risks development and supports a precision-medicine pathway. A validated predictive biomarker can improve trial success, speed regulatory review, and enable targeted commercial positioning, increasing long-term probability of a viable product.

Pipeline diversification with ALX2004 ADC progress

Advancement of an EGFR-targeted ADC alongside evorpacept spreads program risk and creates multiple value pathways. Early absence of DLT in Phase I supports continued development, potentially creating optionality for partnerships or later-stage programs independent of the lead asset's outcome.

Material equity raise strengthens funding

A sizable underwritten financing materially improves near- to medium-term funding for clinical programs, reducing immediate financing risk. This funding enables execution of ongoing trials and strategic optionality over the next 2-6 months, increasing probability programs reach meaningful inflection points.

Negative Factors

No revenue and high cash burn

As a pre-revenue biotech ALX relies on financing to fund R&D. Persistent negative operating cash flow and near-term free-cash-flow deficits mean continued dilution or partnerships are required. This structural cash burn constrains runway and strategic flexibility absent clinical or partnership milestones.

Contracting equity base reduces balance-sheet cushion

A sharply smaller equity and asset base limits the company’s ability to absorb clinical setbacks or extend development timelines without dilution. Weaker balance-sheet cushion raises cost of capital and narrows strategic options for licensing, M&A, or self-funding later-stage programs.

Market positioning uncertainty and ADC safety risk

Competitive dynamics (no clear SOC post-ENHERTU) create commercialization uncertainty for evorpacept. Separately, historical EGFR-ADC toxicity is a program-level risk for ALX2004. Together they represent durable execution and market-adoption risks that could slow approvals or limit addressable patient populations.

ALX Oncology Holdings Business Overview & Revenue Model

Company Description

ALX Oncology Holdings Inc., a clinical-stage immuno-oncology company, focuses on developing therapies for patients fighting cancer. Its lead product candidate is ALX148, a CD47 blocking therapeutic that is in Phase 1b/2 clinical trial used for the treatment of myelodysplastic syndromes; and for the treatment of acute myeloid leukemia and non-Hodgkin's lymphoma, as well as a range of solid tumor indications, including head and neck squamous cell carcinoma, human epidermal growth factor receptor 2 (HER2) positive gastric/gastroesophageal junction carcinoma, HER2-expressing breast cancer, and other solid tumors. The company's pre-clinical products include ALTA-002, a SIRPa TRAAC that offers ways to engage the innate and adaptive immune response to cancer. ALX Oncology Holdings Inc. has a collaboration agreement with Merck for a Phase 2 trial evaluating ALX148 in combination with pembrolizumab with and without chemotherapy in patients with head and neck cancer; Zymeworks on a Phase 1 trial evaluating ALX148 with the HER2-targeting bispecific antibody zanidatamab in patients with HER2-expressing breast cancer and other solid tumors; and Tallac Therapeutics for the development, manufacturing and commercialization of a novel class of cancer immunotherapeutics. It also has a license agreement with Selexis SA and Crystal Bioscience, Inc. The company was founded in 2015 and is headquartered in South San Francisco, California.

How the Company Makes Money

ALX Oncology primarily makes money through partnerships and collaborations with other pharmaceutical companies, aiming to co-develop and commercialize its lead product candidate, evorpacept. Revenue is also generated from milestone payments and licensing fees associated with these partnerships. Additionally, the company may earn income from grants or funding to support its research and development activities. As a clinical-stage company, ALX Oncology's revenue model is heavily reliant on the successful progress and eventual approval of its therapies, leading to potential future sales.

ALX Oncology Holdings Financial Statement Overview

Summary

Financial fundamentals remain weak for a development-stage biotech: no meaningful revenue (TTM revenue 0), large losses (TTM net income -$108.0M), and significant cash burn (TTM FCF -$97.4M). Offsetting positives include narrowing losses versus prior years and reduced debt (down to $4.3M TTM), but the shrinking equity/asset base signals limited balance-sheet cushion.

Income Statement

Operating performance remains deeply negative with no meaningful revenue base in the most recent periods (including TTM (Trailing-Twelve-Months) revenue of 0). Losses are sizable, with TTM net income of -$108.0M and negative operating profit, reflecting continued R&D and operating spend without offsetting commercial income. A positive is that losses have narrowed versus 2023 (annual net loss improved from -$160.8M in 2023 to -$134.9M in 2024 and -$108.0M in TTM (Trailing-Twelve-Months)), but profitability is still far from breakeven.

Balance Sheet

Leverage is modest and improving, with total debt down to $4.3M in TTM (Trailing-Twelve-Months) from $17.0M+ in 2023–2024, and a manageable debt-to-equity level (0.25 in TTM (Trailing-Twelve-Months)). However, the equity base has contracted sharply over time (from $429.8M in 2020 to $44.8M in TTM (Trailing-Twelve-Months)), alongside a smaller asset base ($82.7M TTM (Trailing-Twelve-Months) vs. $242.6M in 2023), indicating sustained burn and reduced balance-sheet cushion. Returns on equity are also strongly negative in recent periods due to ongoing losses.

Cash Flow

Cash generation remains a key weakness: TTM (Trailing-Twelve-Months) operating cash flow is -$97.2M and free cash flow is -$97.4M, meaning the business is still consuming significant cash to fund operations. Free cash flow improved versus 2024 (from -$122.4M to -$97.4M), but the reported free-cash-flow growth is negative in TTM (Trailing-Twelve-Months), highlighting continued volatility. Cash burn broadly tracks net losses (free cash flow to net income ~1x), which is typical for a pre-revenue biotech, but still implies ongoing financing needs if revenue does not ramp.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	0.00	0.00	0.00	0.00	0.00	1.18M
Gross Profit	0.00	-872.00K	-836.00K	0.00	-736.00K	107.00K
EBITDA	-105.59M	-132.25M	-158.40M	-122.84M	-83.42M	-43.46M
Net Income	-108.01M	-134.85M	-160.81M	-123.48M	-83.46M	-45.74M
Balance Sheet
Total Assets	82.72M	147.78M	242.55M	306.49M	380.18M	436.05M
Cash, Cash Equivalents and Short-Term Investments	60.63M	127.76M	182.74M	266.21M	363.67M	434.22M
Total Debt	4.35M	16.98M	17.20M	10.43M	742.00K	0.00
Total Liabilities	37.92M	34.16M	52.84M	43.02M	17.13M	6.21M
Stockholders Equity	44.80M	113.62M	189.71M	263.46M	363.05M	429.85M
Cash Flow
Free Cash Flow	-97.43M	-122.36M	-131.64M	-90.65M	-73.02M	-38.32M
Operating Cash Flow	-97.21M	-121.91M	-130.36M	-89.22M	-68.10M	-38.29M
Investing Cash Flow	104.54M	86.26M	44.66M	-235.42M	-4.92M	610.00K
Financing Cash Flow	12.00K	30.82M	59.29M	9.86M	2.47M	462.88M

ALX Oncology Holdings Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 2.01
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ALXO, the sentiment is Positive. The current price of 2.01 is above the 20-day moving average (MA) of 1.46, above the 50-day MA of 1.40, and above the 200-day MA of 1.05, indicating a bullish trend. The MACD of 0.13 indicates Negative momentum. The RSI at 70.07 is Negative, neither overbought nor oversold. The STOCH value of 73.03 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for ALXO.

ALX Oncology Holdings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ALXO	61 Neutral	$108.98M	-0.99	-118.95%	―	―	31.98%
CNTX	57 Neutral	$211.32M	-8.22	-33.68%	―	―	69.30%
ADAG	53 Neutral	$133.85M	-4.41	-63.41%	―	-87.59%	11.53%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
IFRX	43 Neutral	$56.39M	-0.80	―	―	―	―
QNCX	40 Underperform	$8.85M	-0.13	-247.78%	―	―	2.26%

ALX Oncology Holdings Corporate Events

ALX Oncology announces major underwritten public equity offering

On January 30, 2026, ALX Oncology priced an underwritten public offering of 76,979,112 shares of common stock at $1.57 per share and pre-funded warrants to purchase 18,574,120 shares at $1.569 per warrant, for expected gross proceeds of approximately $150 million before fees, with the deal scheduled to close on or about February 2, 2026, subject to customary conditions. Led by new investors RA Capital Management and TCGX and joined by a roster of prominent new and existing healthcare investors, the financing strengthens ALX Oncology’s balance sheet and is expected to fund continued clinical development of evorpacept and the ALX2004 program, as well as working capital and general corporate purposes, potentially reinforcing the company’s position in the competitive immuno-oncology and antibody-drug conjugate landscape.

The most recent analyst rating on (ALXO) stock is a Hold with a $1.50 price target. To see the full list of analyst forecasts on ALX Oncology Holdings stock, see the ALXO Stock Forecast page.

ALX Oncology Highlights Biomarker Data and Cash Position

On January 30, 2026, ALX Oncology reported new data from a Phase 1b/2 trial of its CD47 inhibitor evorpacept in combination with Jazz Pharmaceuticals’ Ziihera (zanidatamab-hrii) in heavily pretreated patients with metastatic HER2-positive breast cancer, showing that higher CD47 expression was associated with response, reinforcing CD47 as a predictive biomarker as previously observed in HER2-positive gastric cancer. The company also disclosed preliminary, unaudited figures indicating it held approximately $48.3 million in cash, cash equivalents, and investments as of December 31, 2025, while stressing that these estimates are subject to change pending completion of its year-end close and audit, signaling both scientific momentum for its biomarker-driven development strategy and a constrained but defined financial runway for ongoing clinical programs.

The most recent analyst rating on (ALXO) stock is a Hold with a $1.50 price target. To see the full list of analyst forecasts on ALX Oncology Holdings stock, see the ALXO Stock Forecast page.

ALX Oncology Expands Inducement Equity Plan for Hiring

Effective January 21, 2026, ALX Oncology Holdings Inc.’s board amended its 2025 Inducement Equity Incentive Plan to increase the total number of shares of common stock reserved for issuance under the plan to 2,800,000, including an additional 1,300,000 shares. The expanded inducement plan, adopted without stockholder approval in line with Nasdaq listing rules, continues to mirror the company’s main equity incentive plan in structure and change‑of‑control treatment, and is designed to issue equity awards solely to new hires or rehires as a material inducement to employment, underscoring the company’s intention to use equity compensation more extensively in talent recruitment and retention.

The most recent analyst rating on (ALXO) stock is a Hold with a $1.00 price target. To see the full list of analyst forecasts on ALX Oncology Holdings stock, see the ALXO Stock Forecast page.