Amylyx Pharmaceuticals Inc (AMLX) AI Stock Analysis

• Market Cap: $477.80M
• Dividend Yield: N/A
• Average Volume (3M): 946.87K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.60
• Revenue Growth: -100.32%
• EPS Growth: -197.69%
• Country: US
• Employees: 123
• Sector: Healthcare
• Sector Strength: 41
• Industry: Biotechnology
• EPS (TTM): -0.42
• Shares Outstanding: 89,141,090
• 10 Day Avg. Volume: 1,114,071
• 30 Day Avg. Volume: 946,867
• PEG Ratio: 0.05
• Price to Book (P/B): 1.45
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -1.84
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: $11.00
• Price Target Upside: 127.27% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 4

Amylyx Pharmaceuticals' overall score is driven by significant financial challenges with declining revenues and operational losses. However, the company shows strong technical momentum and has made notable progress in clinical trials, as discussed in the earnings call. While the financial position has been fortified, these improvements are set against a backdrop of ongoing cash flow issues and the need for effective patient education. Valuation remains a concern due to negative earnings, typical of biotech firms in the R&D phase.

Positive Factors

Financial Performance

Analyst's recommendation upgrades the stock rating to Outperform with a price target increase from $4.00 to $10.00.

Market Potential

Avexitide is expected to derive real value to the name and is the reason for the recent upgrade of the stock.

Product Approval

Avexitide is expected to be the first drug approved for post-bariatric hypoglycemia, a chronic condition with no current treatment.

Negative Factors

Clinical Trial Complexity

The company continues to guide to an unblinded interim safety and efficacy analysis of the Phase 2b portion of the Phase 2b/3 ORION study of AMX0035 in progressive supranuclear palsy (PSP) to inform a go/no-go decision.

Regulatory Challenges

The company is currently engaging with the FDA and believes that the current data will inform the design of the Phase 3 trial.

Amylyx Pharmaceuticals Inc Business Overview & Revenue Model

Company Description

Amylyx Pharmaceuticals, Inc., a clinical-stage biopharmaceutical company, engages in developing various therapeutics for amyotrophic lateral sclerosis (ALS) and other neurodegenerative diseases. The company's product pipeline includes AMX0035, a dual UPR-Bax apoptosis inhibitor composed of sodium phenylbutyrate and taurursodiol for the treatment of amyotrophic lateral sclerosis. It is also developing AMX0035 for other neurodegenerative diseases. The company was founded in 2013 and is headquartered in Cambridge, Massachusetts.

How the Company Makes Money

Amylyx Pharmaceuticals Inc generates revenue primarily through the sale of its approved drug, AMX0035, marketed under the brand name Relyvrio in the United States and Albrioza in Canada. The company profits from sales to healthcare providers and institutions treating patients with neurodegenerative diseases. Additionally, revenue streams may include partnerships or collaborations with other pharmaceutical companies or research institutions involved in drug development and commercialization. Regulatory approvals and successful market penetration significantly contribute to the company's earnings, as they allow Amylyx to expand its market reach and increase sales volume.

Amylyx Pharmaceuticals Inc Financial Statement Overview

Summary

Amylyx Pharmaceuticals faces significant financial challenges, with declining revenues and substantial operational losses reflected in negative profit margins. The balance sheet shows a relatively low level of debt and strong equity ratio, although historical negative equity points to potential financial instability. Cash flow analysis reveals persistent cash generation issues, which could impact future operational sustainability. The company needs to address its declining revenue and improve operational efficiency to enhance financial health.

Income Statement

The company's revenue showed a significant decrease from 2023 to 2024, indicating a revenue growth rate of -77.05%. Despite having a gross profit margin of 51.76% in 2024, the net profit margin was highly negative at -345.20%, reflecting substantial operational losses. The EBIT and EBITDA margins were also negative, highlighting ongoing profitability challenges.

Balance Sheet

Amylyx Pharmaceuticals maintains a low debt-to-equity ratio of 0.01, suggesting minimal reliance on debt. However, the company has a strong equity ratio of 85.10%, indicating that a majority of the assets are financed by shareholders' equity. Despite this, the company has consistently reported negative equity in previous years, pointing to financial instability risks.

Cash Flow

The company experienced a decline in free cash flow from 2023 to 2024, with a negative growth rate of -1671.46%. The operating cash flow to net income ratio is negative, reflecting operational inefficiencies. This indicates ongoing cash flow challenges, as the company is not generating sufficient cash from operations to cover its expenses.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
87.37M	380.79M	22.23M	285.00K	650.00K
	Gross Profit
45.22M	355.35M	19.24M	233.00K	-23.94M
	EBIT
-314.73M	38.80M	-201.34M	-82.69M	-39.01M
	EBITDA
-290.98M	39.89M	-200.85M	-82.64M	-39.00M
	Net Income Common Stockholders
-301.74M	49.27M	-198.38M	-87.88M	-44.84M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
176.50M	371.36M	346.94M	96.12M	12.88M
	Total Assets
193.63M	517.45M	391.45M	105.61M	14.10M
	Total Debt
1.98M	4.24M	6.28M	0.00	1.43M
	Net Debt
-75.41M	-165.96M	-56.25M	-50.19M	-11.45M
	Total Liabilities
28.87M	84.02M	50.85M	256.78M	80.83M
	Stockholders Equity
164.76M	433.43M	340.61M	-151.17M	-66.72M
Cash Flow		Free Cash Flow
-167.80M	10.68M	-182.40M	-75.15M	-36.85M
	Operating Cash Flow
-167.65M	11.92M	-179.87M	-74.80M	-36.70M
	Investing Cash Flow
75.65M	92.05M	-238.99M	-46.41M	-151.00K
	Financing Cash Flow
348.00K	3.54M	431.79M	158.51M	46.82M

Amylyx Pharmaceuticals Inc Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 4.84
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AMLX, the sentiment is Positive. The current price of 4.84 is below the 20-day moving average (MA) of 4.90, above the 50-day MA of 4.17, and above the 200-day MA of 3.82, indicating a bullish trend. The MACD of 0.18 indicates Positive momentum. The RSI at 64.46 is Neutral, neither overbought nor oversold. The STOCH value of 58.24 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for AMLX.

Amylyx Pharmaceuticals Inc Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ETON	63 Neutral	$507.66M	―	-22.95%	―	40.88%	-579.73%
AMLX	57 Neutral	$477.80M	―	-83.24%	―	-100.32%	-197.69%
BNTC	54 Neutral	$348.16M	―	-48.57%	―	-100.00%	83.98%
Sector *	52 Neutral	$5.19B	3.04	-44.64%	2.82%	16.45%	-0.53%
CKPT	45 Neutral	$361.13M	―	-1869.55%	―	-60.19%	56.60%
ZBIO	38 Underperform	$438.00M	―	-115.47%	―	―	―
ALLO	36 Underperform	$242.79M	―	-59.60%	―	-100.00%	31.43%

Amylyx Pharmaceuticals Inc Corporate Events

Amylyx Partners with Gubra for GLP-1 Antagonist

Amylyx Pharmaceuticals Inc. has entered into a collaboration with Gubra A/S to develop a novel long-acting GLP-1 receptor antagonist. This partnership involves Amylyx making upfront and research payments and Gubra potentially receiving over $50 million in milestones and royalties, with the collaboration expected to enhance Amylyx’s cash runway into 2026.