Arcturus Therapeutics (ARCT) AI Stock Analysis

• Market Cap: $333.04M
• Dividend Yield: N/A
• Average Volume (3M): 452.56K
• Price to Earnings (P/E): ―
• Beta (1Y): 2.34
• Revenue Growth: 15.40%
• EPS Growth: 35.42%
• Country: US
• Employees: 174
• Sector: Healthcare
• Sector Strength: 48
• Industry: Biotechnology
• EPS (TTM): -0.52
• Shares Outstanding: 27,120,604
• 10 Day Avg. Volume: 423,536
• 30 Day Avg. Volume: 452,565
• PEG Ratio: -0.46
• Price to Book (P/B): 1.66
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 18.48
• Enterprise Value/Market Cap: 0.44
• Enterprise Value/Revenue: 0.26
• Enterprise Value/Gross Profit: 1.08
• Enterprise Value/Ebitda: -0.58
• 1Y Price Target: $50.75
• Price Target Upside: 310.93% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 10

• Rating: 56 Neutral
• Price Target: $12.50 ▲(1.21%Upside)

Arcturus Therapeutics exhibits strengths in strategic pipeline advancements and stable cash reserves, yet faces significant financial challenges with consistent net losses and declining revenues. The stock's valuation remains high with negative P/E and no dividend yield, while technical indicators show mixed signals. Strong shareholder support and corporate governance offer positive long-term prospects.

Positive Factors

Financial Position

ARCT's decision to eliminate some early R&D programs and consolidate facilities has extended its cash runway to 1Q28.

Regulatory Approvals

Covid-19 vaccine Kostaive continues to accrue regulatory approvals across geographies with filings on track.

Strategic Focus

The company's focus on its mRNA therapeutics pipeline, including ARCT-032 for CF and ARCT-810 for OTCD, is a strategic move to align with the current market environment and regulatory landscape.

Negative Factors

Price Target Revision

The net result of the changes is a decrease in the year-end price target to $66 from $68.

Program Reallocation

There is a reallocation of resources away from early-stage vaccine programs and into the CF/OTC programs.

Arcturus Therapeutics Business Overview & Revenue Model

Company Description

Arcturus Therapeutics Holdings Inc., an RNA medicines company, focuses on the development of vaccines for infectious, and liver and respiratory rare diseases in the United States. The company's development programs comprise LUNAR-OTC development program for ornithine transcarbamylase (OTC) deficiency; and LUNAR-CF program for cystic fibrosis lung disease caused by mutations in cystic fibrosis transmembrane conductance regulator (CFTR) gene, as well as vaccine programs include LUNAR-COV19 and LUNAR-FLU. It has collaboration partnerships with Vinbiocare Biotechnology Joint Stock Company for the manufacture of COVID-19 vaccines; Janssen Pharmaceuticals, Inc. to develop nucleic acid-based therapeutic candidates for the treatment of hepatitis B virus; Ultragenyx Pharmaceutical, Inc. to develop mRNA therapeutic candidates for rare disease targets; CureVac AG to develop mRNA therapeutic and vaccine candidates for various indications; Singapore Economic Development Board and Duke-NUS Medical School to develop LUNAR-COV19 vaccine; and Millennium Pharmaceuticals, Inc. to discover siRNA medicines for the treatment of non-alcoholic steatohepatitis. The company was founded in 2013 and is headquartered in San Diego, California.

How the Company Makes Money

Arcturus Therapeutics makes money through the development and commercialization of its proprietary RNA-based therapeutics. The company generates revenue primarily through strategic collaborations and partnerships with other pharmaceutical and biotechnology companies. These partnerships often include milestone payments, research funding, and royalties on future product sales. Additionally, Arcturus may earn revenue from licensing its technology platforms and intellectual property to third parties. The company's earnings are significantly influenced by its ability to advance its product candidates through clinical trials and secure regulatory approvals, which can lead to commercialization and subsequent revenue generation.

Arcturus Therapeutics Financial Statement Overview

Summary

Arcturus Therapeutics demonstrates strong gross profit margins and a solid cash position, crucial for the biotech sector. However, the company faces consistent net losses, declining revenue, and negative cash flows, indicating significant financial challenges that demand prudent management.

Income Statement

Arcturus Therapeutics shows volatility in revenue and profitability, typical for the biotechnology industry. The TTM data reveals a gross profit margin improvement to over 100%, indicating cost management efficiency. However, consistent net losses and declining revenue highlight ongoing financial challenges. Revenue growth has been negative in recent years, with a significant decline from 2022 to 2024. The EBIT and EBITDA margins are negative, reflecting substantial operational expenses.

Balance Sheet

The company's balance sheet reflects a solid equity position, with a debt-to-equity ratio that remains manageable, indicating moderate financial leverage. However, the equity ratio has decreased slightly due to increased liabilities. The return on equity is negative due to net losses, but the company maintains a strong cash position, which is critical for its operations in the capital-intensive biotechnology sector.

Cash Flow

Cash flow analysis shows a challenging environment with negative operating and free cash flows. The TTM data indicates worsening free cash flow compared to previous periods, suggesting increased cash burn. The operating cash flow to net income ratio is less informative given the consistent net losses, but it remains critical to monitor cash flows closely due to the high cash requirements in biotechnology.

Breakdown
TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
135.17M	138.39M	157.75M	205.75M	12.36M	9.54M
	Gross Profit
136.31M	134.84M	154.79M	62.70M	-159.50M	-46.41M
	EBIT
-63.64M	-95.67M	-78.20M	12.18M	-202.85M	-71.52M
	EBITDA
-60.17M	-77.40M	-24.17M	13.70M	-201.66M	-70.64M
	Net Income Common Stockholders
-68.20M	-80.94M	-29.73M	9.35M	-206.86M	-71.36M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
216.95M	237.03M	292.00M	391.88M	370.49M	462.89M
	Total Assets
331.79M	344.07M	429.40M	450.39M	392.81M	476.46M
	Total Debt
38.99M	28.55M	30.22M	90.87M	67.61M	17.87M
	Net Debt
-177.96M	-208.48M	-261.79M	-301.01M	-302.88M	-445.02M
	Total Liabilities
98.03M	103.09M	150.89M	180.07M	164.60M	79.90M
	Stockholders Equity
233.76M	240.98M	278.51M	270.31M	228.21M	396.55M
Cash Flow		Free Cash Flow
-89.09M	-60.40M	-21.00M	24.27M	-138.45M	-44.60M
	Operating Cash Flow
-89.55M	-59.75M	-18.10M	31.99M	-135.04M	-42.86M
	Investing Cash Flow
-545.00K	-648.00K	-2.90M	-7.73M	-3.41M	-1.74M
	Financing Cash Flow
18.39M	5.42M	-24.09M	-2.86M	48.02M	436.14M

Arcturus Therapeutics Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 12.35
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ARCT, the sentiment is Negative. The current price of 12.35 is below the 20-day moving average (MA) of 12.47, above the 50-day MA of 11.86, and below the 200-day MA of 16.15, indicating a neutral trend. The MACD of 0.13 indicates Positive momentum. The RSI at 50.14 is Neutral, neither overbought nor oversold. The STOCH value of 34.79 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for ARCT.

Arcturus Therapeutics Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ARCT	56 Neutral	$333.04M	―	-27.40%	―	15.40%	35.42%
ATAI	54 Neutral	$445.67M	―	-62.43%	―	-0.90%	-89.51%
Sector *	54 Neutral	$5.25B	3.27	-44.35%	6.27%	16.79%	-0.10%
VSTM	44 Neutral	$309.91M	―	-2159.50%	―	―	14.39%
AURA	43 Neutral	$383.19M	―	-56.24%	―	―	9.22%
ORKA	41 Neutral	$465.39M	―	-39.06%	―	―	-48.01%
TSVT	41 Neutral	$266.15M	―	-1.94%	―	-32.07%	98.22%

Arcturus Therapeutics Corporate Events

Arcturus Therapeutics Approves Key Proposals at Annual Meeting

On June 6, 2025, Arcturus Therapeutics held its annual stockholders meeting where key proposals were voted on, including the election of nine directors to the Board, approval of executive compensation, and the ratification of Deloitte as the independent accounting firm for 2025. All proposals were approved, indicating strong shareholder support for the company’s leadership and strategic direction.

The most recent analyst rating on (ARCT) stock is a Buy with a $63.00 price target. To see the full list of analyst forecasts on Arcturus Therapeutics stock, see the ARCT Stock Forecast page.