Cash Burn And Financing RiskPre-revenue status combined with operating expenses running above expectations indicates ongoing cash burn that may necessitate dilutive financing, increasing liquidity risk for investors.
Share Dilution From Capital RaisesAnalysts expect a capital raise that would dilute existing shares and reduce per-share value, creating downward pressure on the stock until dilution is addressed.
Valuation Sensitivity To Funding And Trial OutcomesLowered price targets reflect sensitivity of the company's valuation to financing outcomes and clinical milestones, meaning funding shortfalls or trial setbacks could prompt further downside in the stock.