ALX Oncology Holdings (ALXO) AI Stock Analysis

• Market Cap: $72.11M
• Dividend Yield: N/A
• Average Volume (3M): 670.12K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.40
• 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: -0.57
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: 0.39
• 1Y Price Target: $3.00
• Price Target Upside: 125.56% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 4
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 48 Neutral
• Price Target: $1.50 ▲(12.78% Upside)

The score is held down primarily by weak financial performance (no revenue, sizable losses, and significant cash burn with a shrinking equity cushion) and soft technicals (below key moving averages with negative MACD). These are partly offset by a constructive earnings-call backdrop, including strong ASPEN-06 efficacy signals and a stated cash runway into Q1 2027.

Positive Factors

Biomarker-driven efficacy of evorpacept

Robust, biomarker-linked efficacy in ASPEN-06 supports a targeted development strategy. Durable biomarker selection increases trial success probability, enables more efficient patient enrichment, and strengthens differentiation versus non‑selected competitors, aiding regulatory and commercial positioning over time.

Advancement of ALX2004 ADC program

A progressing first‑in‑human ADC program diversifies the pipeline beyond CD47. Early tolerability and on‑schedule dose escalation reduce technical risk; if ALX2004 overcomes historical EGFR ADC toxicity it could open multiple EGFR‑expressing indications, creating a durable product franchise.

Near-term funding runway

Having cash to fund operations into Q1 2027 provides operational stability to complete pivotal/enabling trials and report data without immediate dilution. This multi‑quarter runway reduces near‑term financing pressure and allows management to execute clinical milestones that materially affect long‑term value.

Negative Factors

Sustained cash burn and no product revenue

As a pre‑revenue biotech, ALX consumes significant cash to fund R&D. Persistent high burn without commercial inflows means the company will require further financing or partnerships, creating structural dilution risk and potential disruptions to development timelines if capital markets or deal terms shift unfavorably.

Shrinking equity and reduced balance-sheet cushion

A sharply contracted equity base and smaller asset pool limit the company's ability to absorb setbacks or leverage assets for financing. This reduced cushion increases refinancing and operational risk, making the company more dependent on capital raises or strategic deals to sustain long‑term development.

Uncertain market positioning post‑ENHERTU

There is no clear standard of care after ENHERTU, complicating commercial strategy for evorpacept in HER2 disease. Persistent market positioning uncertainty can hinder trial design, payer acceptance, and adoption, making long‑term revenue prospects and partner interest more contingent on narrowly positive, biomarker‑driven results.

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

ALX Oncology Holdings exhibits significant financial challenges, with no revenue generation and persistent losses. The negative equity and cash flow issues highlight a need for strategic change to improve its financial health and operational effectiveness.

Income Statement

The company has been unable to generate revenue since 2020, reflecting a challenge in monetizing its operations. This lack of revenue leads to negative profit margins, with a consistent net loss over the years. The absence of revenue growth and negative EBIT and EBITDA margins indicate significant operational challenges.

Balance Sheet

The company's equity is negative, which is a red flag for financial stability. Although debt levels are low, the negative stockholders' equity suggests underlying financial struggles. The equity ratio is negative, indicating more liabilities than assets, which poses a risk to solvency.

Cash Flow

The company consistently reports negative free cash flow, showing cash outflows exceed inflows, especially concerning operating activities. This negative trend in cash flow from operations highlights ongoing liquidity challenges. Despite occasional positive financing cash flow, it hasn't translated into improved operational cash performance.

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: 1.33
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• 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 1.33 is above the 20-day moving average (MA) of 1.31, below the 50-day MA of 1.36, and above the 200-day MA of 0.98, indicating a neutral trend. The MACD of -0.02 indicates Negative momentum. The RSI at 49.82 is Neutral, neither overbought nor oversold. The STOCH value of 75.62 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
CNTX	56 Neutral	$144.25M	-5.61	-33.68%	―	―	69.30%
ADAG	52 Neutral	$84.84M	-2.79	-63.41%	―	-87.59%	11.53%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
ALXO	48 Neutral	$72.11M	-0.66	-118.95%	―	―	31.98%
QNCX	47 Neutral	$167.60M	-2.47	-247.78%	―	―	2.26%
IFRX	43 Neutral	$71.83M	-1.02	―	―	―	―