Assembly Biosciences (ASMB) AI Stock Analysis

• Market Cap: $427.85M
• Dividend Yield: N/A
• Average Volume (3M): 164.41K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.36
• Revenue Growth: 31.30%
• EPS Growth: 32.79%
• Country: US
• Employees: 73
• Sector: Healthcare
• Sector Strength: 45
• Industry: Biotechnology
• EPS (TTM): -0.72
• Shares Outstanding: 15,817,140
• 10 Day Avg. Volume: 178,321
• 30 Day Avg. Volume: 164,409
• PEG Ratio: 0.05
• Price to Book (P/B): 2.84
• Price to Sales (P/S): 3.32
• P/FCF Ratio: -1.85
• Enterprise Value/Market Cap: 0.46
• Enterprise Value/Revenue: 5.35
• Enterprise Value/Gross Profit: 29.30
• Enterprise Value/Ebitda: -4.78
• 1Y Price Target: $43.00
• Price Target Upside: 58.96% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 3
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 49 Neutral
• Price Target: $26.00 ▼(-3.88% Downside)

The score is primarily held back by heavy losses and significant negative operating/free cash flow, despite a low-leverage balance sheet. Technicals are mixed with weak near-term momentum but longer-term trend support. A positive Phase 1b clinical update provides an upside catalyst, but valuation remains pressured by lack of earnings and no dividend.

Positive Factors

Low leverage / strong balance sheet

Very low debt and a meaningful increase in equity provide durable financial flexibility to fund R&D and clinical programs without immediate solvency pressure. This structural strength reduces bankruptcy risk and supports partnering or milestone-driven development over the medium term.

Positive Phase 1b clinical data

Robust Phase 1b efficacy and tolerability represent a structural de‑risking of Assembly's antiviral franchise. Demonstrated clinical proof-of-concept supports Phase 2 enabling activity, strengthens the company's positioning in antivirals, and improves partnership and future commercial prospects.

Improving revenue momentum

Sustained top-line improvement indicates growing non-dilutive funding or collaboration revenue which can partially offset cash burn. Durable revenue momentum, if maintained, enhances the firm's ability to fund development internally or secure better partnership terms over the coming quarters.

Negative Factors

Significant cash burn

Persistent large negative operating and free cash flow creates a structural need for external financing or dilutive equity raises. Over a multi‑quarter horizon this pressure can limit strategic optionality, force accelerated partnering, or lead to unfavorable financing terms that dilute long‑term shareholder value.

Deeply negative profitability

Low gross margins and outsized operating losses indicate the business is far from breakeven absent material commercial launches or licensing deals. Structurally negative profitability reduces return prospects and increases dependency on external capital or partner monetization of assets.

Erosion risk to equity value

Although leverage is low, persistent losses erode equity over time and can compel dilution or asset sales to sustain operations. This structural deterioration of book value can constrain long‑term strategic choices and reduce investor returns absent pathway to sustained profitability.

Assembly Biosciences Business Overview & Revenue Model

Company Description

Assembly Biosciences, Inc., a clinical-stage biotechnology company, discovers and develops therapeutic candidates for the treatment of hepatitis B virus (HBV) infection in the United States. The company's lead product candidate is Vebicorvir, which as completed Phase 2 clinical trials to treat patients with chronic HBV infection. It is also developing ABI-H3733 that has completed Phase 1a clinical study, and ABI-4334, which is in pre-clinical trials for the treatment of HBV. The company has collaboration agreements with BeiGene, Ltd. and Arbutus Biopharma Corporation; and Antios Therapeutics, Inc. to evaluate a triple combination treatment in patients with chronic hepatitis B virus infection. It also has strategic license agreements with Indiana University Research and Technology Corporation; and Door Pharmaceuticals, LLC. The company was formerly known as Ventrus Biosciences, Inc. and changed its name to Assembly Biosciences, Inc. in June 2014. Assembly Biosciences, Inc. was incorporated in 2005 and is headquartered in South San Francisco, California.

How the Company Makes Money

Assembly Biosciences generates revenue through a combination of research and development funding, collaborations and partnerships with other pharmaceutical companies, and potential future product sales. The company often enters into strategic alliances with larger biopharmaceutical firms to co-develop its drug candidates, which can provide upfront payments, milestone payments as development progresses, and royalties on future sales if the products are commercialized. Additionally, Assembly Biosciences may receive grants or funding from governmental or non-profit organizations to support its research initiatives. Their focus on HBV therapies positions them within a market that has significant unmet needs, which can enhance their potential for revenue generation once their products move through clinical trials and towards commercialization.

Assembly Biosciences Financial Statement Overview

Summary

Despite improving revenue momentum, financial performance is constrained by very weak profitability (deeply negative EBIT/EBITDA and net margin) and heavy cash burn. The balance sheet is a relative strength with minimal leverage and increased equity, but sustained losses and negative free cash flow remain the dominant risk.

Income Statement

TTM (Trailing-Twelve-Months) revenue improved sharply versus the prior annual period (growth of ~11.9% TTM vs ~3.0% in 2024), but profitability remains weak. TTM gross margin is low (~18%), and the company continues to post sizeable operating losses (EBIT and EBITDA deeply negative) and a net loss larger than revenue (net margin around -104%). Overall, the trend shows better top-line traction than prior years, but the business is still far from breakeven and earnings are highly pressured.

Balance Sheet

The balance sheet is a relative strength: leverage is very low with minimal debt (TTM debt-to-equity ~0.02). Equity increased meaningfully versus recent annual periods, providing a larger capital base to support operations. The key weakness is ongoing value erosion from losses—returns on equity are materially negative—so while solvency risk looks contained today, continued losses could weaken the capital position over time.

Cash Flow

Cash generation is the main pressure point. TTM operating cash flow and free cash flow are both strongly negative (around -$56M), and free cash flow declined versus the prior period (FCF growth about -12.4% TTM). While cash flow and net loss move in the same direction (free cash flow roughly tracks net income), the company is still consuming significant cash to fund operations, increasing reliance on existing liquidity and/or future financing.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	37.19M	28.52M	7.16M	0.00	6.25M	79.11M
Gross Profit	6.79M	28.52M	-41.74M	-69.08M	6.25M	-22.23M
EBITDA	-41.63M	-45.29M	-64.20M	-92.52M	-90.58M	-58.40M
Net Income	-38.55M	-40.18M	-61.23M	-93.09M	-129.85M	-62.15M
Balance Sheet
Total Assets	240.00M	119.17M	136.82M	101.79M	191.06M	283.25M
Cash, Cash Equivalents and Short-Term Investments	232.56M	112.08M	130.25M	91.61M	146.63M	216.41M
Total Debt	2.75M	3.09M	2.34M	3.46M	6.48M	10.13M
Total Liabilities	57.30M	85.81M	95.73M	19.13M	22.13M	42.68M
Stockholders Equity	182.69M	33.36M	41.10M	82.66M	168.93M	240.58M
Cash Flow
Free Cash Flow	-55.78M	-51.15M	22.49M	-84.56M	-96.49M	-65.18M
Operating Cash Flow	-55.74M	-51.12M	22.74M	-84.46M	-93.40M	-62.96M
Investing Cash Flow	-141.39M	40.17M	-69.14M	90.64M	26.52M	68.07M
Financing Cash Flow	191.21M	29.45M	13.82M	614.00K	53.06M	7.60M

Assembly Biosciences Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 27.05
• 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 ASMB, the sentiment is Neutral. The current price of 27.05 is below the 20-day moving average (MA) of 28.59, below the 50-day MA of 32.27, and above the 200-day MA of 24.16, indicating a neutral trend. The MACD of -1.58 indicates Negative momentum. The RSI at 41.04 is Neutral, neither overbought nor oversold. The STOCH value of 58.19 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for ASMB.

Assembly Biosciences Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ANNX	56 Neutral	$874.16M	-4.29	-83.98%	―	―	-35.62%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
QSI	50 Neutral	$221.95M	-1.56	-52.44%	―	40.20%	-4.07%
VOR	50 Neutral	$271.69M	-0.03	―	―	―	-1072.48%
ASMB	49 Neutral	$427.85M	-5.63	-36.94%	―	31.30%	32.79%
BNTC	48 Neutral	$420.23M	-12.34	-43.71%	―	―	80.95%
LXEO	46 Neutral	$530.62M	―	-80.69%	―	―	4.97%

Assembly Biosciences Corporate Events

Assembly Biosciences Reports Positive Phase 1b Results

On December 8, 2025, Assembly Biosciences announced positive interim results from Phase 1b clinical studies of its investigational herpes simplex virus (HSV) helicase-primase inhibitors, ABI-1179 and ABI-5366, for recurrent genital herpes. The studies demonstrated significant reductions in HSV-2 shedding rates and virologically confirmed genital lesion rates compared to placebo, with ABI-1179 showing a 98% reduction in shedding rate and ABI-5366 showing a 76% reduction. Both candidates were well-tolerated, and the company is progressing Phase 2 enabling activities for ABI-1179 and planning longer-duration Phase 2 studies for ABI-5366, potentially impacting their market positioning in the antiviral therapeutics sector.

The most recent analyst rating on (ASMB) stock is a Buy with a $50.00 price target. To see the full list of analyst forecasts on Assembly Biosciences stock, see the ASMB Stock Forecast page.