ATAI Life Sciences (ATAI) AI Stock Analysis

• Market Cap: $985.96M
• Dividend Yield: N/A
• Average Volume (3M): 5.62M
• Price to Earnings (P/E): ―
• Beta (1Y): 1.38
• Revenue Growth: -0.90%
• EPS Growth: -89.51%
• Country: US
• Employees: 54
• Sector: Healthcare
• Sector Strength: 51
• Industry: Biotechnology
• EPS (TTM): -0.14
• Shares Outstanding: 214,338,330
• 10 Day Avg. Volume: 3,586,406
• 30 Day Avg. Volume: 5,622,307
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 0.35
• Enterprise Value/Revenue: 148.95
• Enterprise Value/Gross Profit: 148.95
• Enterprise Value/Ebitda: -2.97
• 1Y Price Target: $11.00
• Price Target Upside: 137.58% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 7

• Rating: 63 Neutral
• Price Target: $4.50 ▼(-2.81% Downside)

ATAI Life Sciences' stock is influenced significantly by strong technical momentum and positive corporate events, despite financial challenges. The company's reliance on external funding and negative valuation metrics pose risks, but strategic initiatives provide growth potential.

Positive Factors

Strategic Acquisitions

The acquisition of Beckley Psytech aims to create a market leader in psychedelic mental health therapies, enhancing ATAI's competitive position and accelerating its development pipeline.

Financing Agreement

The $50M PIPE financing supports ATAI's operations and clinical programs, providing financial stability and enabling continued investment in its therapeutic pipeline.

Pipeline Development

Positive Phase IIb results for BPL-003 in treatment-resistant depression support advancing to Phase III, indicating strong potential for future product offerings and market expansion.

Negative Factors

Negative Cash Flows

Persistent negative cash flows highlight inefficiencies in cash management and reliance on external financing, posing risks to long-term operational sustainability.

Profitability Challenges

Ongoing profitability challenges with negative earnings indicate significant cost pressures and difficulty in generating revenue, impacting long-term financial health.

Revenue Growth Issues

Lack of revenue growth highlights challenges in market penetration and product adoption, potentially limiting future financial performance and competitive positioning.

ATAI Life Sciences Business Overview & Revenue Model

Company Description

ATAI Life Sciences is a biopharmaceutical company focused on developing innovative treatments for mental health disorders. It operates primarily in the biotechnology and pharmaceuticals sectors, with a core emphasis on psychedelic and non-psychedelic compounds. The company collaborates with various organizations to accelerate the development of its diverse pipeline of therapeutic candidates, aiming to address unmet medical needs in mental health care.

How the Company Makes Money

ATAI Life Sciences generates revenue through a combination of strategic partnerships, equity investments, and the development and commercialization of its drug candidates. The company partners with and invests in early-stage mental health-focused biotech companies, providing them with capital, resources, and expertise to advance their research and development efforts. As these drug candidates progress through clinical trials and receive regulatory approval, ATAI can generate revenue through licensing agreements, milestone payments, and royalties from commercialized products. Additionally, the company may also benefit from equity appreciation in its portfolio companies if they achieve successful outcomes or exit through mergers, acquisitions, or public offerings.

ATAI Life Sciences Financial Statement Overview

Summary

ATAI Life Sciences faces significant financial challenges, marked by ongoing losses and lack of revenue growth. Despite a low leverage position, negative cash flows and earnings pose substantial risks. Financial sustainability relies heavily on external funding.

Income Statement

ATAI Life Sciences has consistently faced challenges with profitability, as indicated by negative EBIT and net income figures across all reported years. The absence of revenue growth further underscores the company's struggle to generate revenue. The gross profit remained negative or negligible, pointing towards significant cost pressures and lack of revenue generation capabilities.

Balance Sheet

The company's balance sheet shows a high level of equity in comparison to its total assets, with an improving trend in stockholders' equity, despite negative earnings. The debt-to-equity ratio is relatively low, suggesting conservative leverage use. However, the continued accumulation of losses poses a risk to financial stability over time.

Cash Flow

ATAI Life Sciences has struggled to generate positive cash flows, with negative operating and free cash flows reported consistently. The cash flow to net income ratios indicate inefficiencies in cash management. The company's ability to sustain operations heavily depends on external financing, evident from periodic positive financing cash flows.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	2.31M	308.00K	314.00K	233.00K	20.38M	0.00
Gross Profit	2.31M	308.00K	314.00K	65.00K	20.33M	-24.00K
EBITDA	-115.81M	-145.33M	-36.31M	-135.01M	-120.28M	-92.12M
Net Income	-119.40M	-149.27M	-40.22M	-141.41M	-132.61M	-102.12M
Balance Sheet
Total Assets	189.20M	159.39M	293.48M	305.44M	414.17M	111.55M
Cash, Cash Equivalents and Short-Term Investments	95.94M	62.33M	179.26M	273.11M	362.27M	97.25M
Total Debt	9.22M	24.71M	19.14M	15.12M	743.00K	2.18M
Total Liabilities	45.28M	42.83M	49.16M	300.42M	28.21M	16.18M
Stockholders Equity	143.74M	116.30M	242.96M	260.74M	376.91M	90.82M
Cash Flow
Free Cash Flow	-80.79M	-82.53M	-84.71M	-105.49M	-64.37M	-20.82M
Operating Cash Flow	-75.57M	-82.44M	-84.12M	-104.47M	-63.25M	-20.77M
Investing Cash Flow	30.17M	59.17M	-53.30M	-86.85M	-81.28M	-28.27M
Financing Cash Flow	72.41M	5.37M	-8.36M	20.79M	409.86M	113.05M

ATAI Life Sciences Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 4.63
• 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 ATAI, the sentiment is Positive. The current price of 4.63 is above the 20-day moving average (MA) of 4.49, above the 50-day MA of 3.87, and above the 200-day MA of 2.24, indicating a bullish trend. The MACD of 0.23 indicates Positive momentum. The RSI at 59.04 is Neutral, neither overbought nor oversold. The STOCH value of 55.56 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for ATAI.

ATAI Life Sciences Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ATAI	63 Neutral	$985.96M	―	-62.43%	―	-0.90%	-89.51%
SEPN	61 Neutral	$642.92M	―	-32.78%	―	-13.37%	-1025.90%
TSHA	53 Neutral	$883.86M	―	-51.86%	―	-37.09%	58.96%
GLUE	52 Neutral	$302.00M	14.02	9.81%	―	2990.57%	―
Sector *	51 Neutral	$8.02B	-0.31	-43.38%	2.24%	22.31%	-2.14%
OLMA	46 Neutral	$549.07M	―	-49.72%	―	―	6.82%
TSVT	41 Neutral		―		―	-32.07%	98.22%

ATAI Life Sciences Corporate Events

ATAI Life Sciences Announces $50M PIPE Financing Agreement

On July 1, 2025, atai Life Sciences announced a $50 million PIPE financing agreement to support its corporate operations and advance clinical development programs. The financing is expected to close in the third quarter of 2025 and will not be used for the acquisition of Beckley Psytech, a company with which atai plans a strategic combination. Additionally, Beckley Psytech reported positive results from its Phase IIb study of BPL-003 for treatment-resistant depression, showing significant efficacy and safety, which supports advancing to Phase III trials. This strategic combination aims to establish a global leader in psychedelic-based mental health therapies.