Athira Pharma (ATHA) AI Stock Analysis

• Market Cap: $10.78M
• Dividend Yield: N/A
• Average Volume (3M): 209.04K
• Price to Earnings (P/E): ―
• Beta (1Y): 2.05
• Revenue Growth: N/A
• EPS Growth: 18.61%
• Country: US
• Employees: 26
• Sector: Healthcare
• Sector Strength: 40
• Industry: Biotechnology
• EPS (TTM): -0.23
• Shares Outstanding: 39,042,446
• 10 Day Avg. Volume: 219,667
• 30 Day Avg. Volume: 209,038
• PEG Ratio: >-0.01
• Price to Book (P/B): 0.22
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -0.10
• Enterprise Value/Market Cap: -3.46
• Enterprise Value/Revenue: -7.51
• Enterprise Value/Gross Profit: 77.05
• Enterprise Value/Ebitda: 0.08
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: Hold
• Number of Analyst Covering: 3

• Rating: 36 Underperform
• Price Target: ―

Athira Pharma's stock is weighed down by its financial performance, typical of an early-stage biotech firm with no revenue and high cash burn. Technical indicators show a lack of positive momentum, while valuation metrics reflect unprofitability. The stock's prospects heavily depend on future product development and commercialization.

Positive Factors

Clinical Development

ATH-1105 has demonstrated a favorable safety profile and was well-tolerated in a Phase 1 study, supporting continued clinical development.

Financial Management

There is now sufficient cash runway to support operations through the data readout following the company's restructuring and downsizing.

Product Potential

Management highlighted its confidence in ATH-1105 noting that it has a greater (>90%) BBB penetrance compared to fosgonimeton due to optimized design that enables more absorption and BBB penetrance.

Negative Factors

Operational Restructuring

Given the discontinuation of fosgonimeton, ATHA has significantly restructured and reduced future operating expenses, indicating financial challenges.

Partnership Challenges

The company is unlikely to advance the program without a partner, and a partnership is unlikely to materialize due to the challenging ALS space and negative data for prior lead asset.

Strategic Uncertainty

A strategic transaction for ATHA could ultimately result, but visibility on when and with whom is low, leading analysts to recommend looking elsewhere for growth opportunities.

Athira Pharma Business Overview & Revenue Model

Company Description

Athira Pharma, Inc. (ATHA) is a clinical-stage biopharmaceutical company focused on developing innovative therapies to treat neurodegenerative diseases, such as Alzheimer's and Parkinson's disease. The company is engaged in the research and development of small molecules that aim to restore neuronal health and function. Athira's lead therapeutic candidate, fosgonimeton, is designed to enhance the activity of the HGF/MET neurotrophic system, which plays a critical role in brain health and recovery.

How the Company Makes Money

Athira Pharma primarily generates revenue through the development and commercialization of its proprietary therapeutic candidates. As a clinical-stage company, Athira does not yet have products on the market, so its primary sources of funding include public and private investments, grants, and collaborations with other pharmaceutical companies. Once its therapies, such as fosgonimeton, gain regulatory approval, Athira anticipates generating revenue through product sales, licensing agreements, and potential milestone payments from strategic partnerships. The company's financial health is heavily reliant on successful clinical trials and obtaining necessary regulatory approvals for their drug candidates.

Athira Pharma Financial Statement Overview

Summary

Athira Pharma's financials reflect an early-stage biotech company with no revenue, significant losses, and negative cash flows. Despite a strong cash position, declining equity and high liabilities pose financial risks. The company relies heavily on cash reserves and financing to sustain operations.

Income Statement

Athira Pharma has consistently reported zero revenue over the years, reflecting its early-stage status or focus on R&D without product commercialization. The company incurs significant losses, with negative EBIT and net income, indicating a high cash burn rate typical of biotech firms. The lack of revenue growth and negative margins highlight financial challenges.

Balance Sheet

The balance sheet reflects a strong cash position relative to minimal debt, providing some financial stability. However, the declining equity suggests asset erosion, and substantial liabilities outweighing equity in some years indicate potential financial risks. The equity ratio remains relatively healthy yet declining over time.

Cash Flow

Operating cash flow is consistently negative, indicating cash outflows from operations. The company relies on financing activities to sustain operations, as reflected in its cash flow from financing. Free cash flow remains deeply negative, showcasing the heavy investment phase typical in biotech development stages.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
0.00	0.00	0.00	0.00	0.00
	Gross Profit
0.00	-969.00K	-1.05M	-479.00K	-2.00M
	EBIT
-96.78M	-125.47M	-104.02M	-64.02M	-20.00M
	EBITDA
-95.97M	-116.70M	-94.59M	-54.37M	-19.01M
	Net Income Common Stockholders
-96.94M	-117.67M	-87.26M	-54.37M	-18.63M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
51.27M	147.42M	200.34M	253.76M	184.68M
	Total Assets
58.78M	160.25M	258.15M	332.01M	279.56M
	Total Debt
1.22M	1.58M	1.91M	1.92M	1.00M
	Net Debt
-47.22M	-89.00M	-94.06M	-108.62M	-59.63M
	Total Liabilities
13.94M	30.06M	23.02M	10.92M	5.28M
	Stockholders Equity
44.84M	130.19M	235.14M	321.08M	274.28M
Cash Flow		Free Cash Flow
-97.20M	-101.06M	-73.61M	-44.67M	-26.43M
	Operating Cash Flow
-97.17M	-100.75M	-72.47M	-43.10M	-24.11M
	Investing Cash Flow
54.83M	95.09M	57.66M	-4.08M	-210.07M
	Financing Cash Flow
194.00K	493.00K	654.00K	97.09M	292.75M

Athira Pharma Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.28
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ATHA, the sentiment is Positive. The current price of 0.28 is above the 20-day moving average (MA) of 0.27, above the 50-day MA of 0.28, and below the 200-day MA of 0.71, indicating a neutral trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 51.80 is Neutral, neither overbought nor oversold. The STOCH value of 48.01 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for ATHA.

Athira Pharma Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	53 Neutral	$5.14B	3.23	-45.01%	2.85%	17.55%	-0.69%
HCWB	40 Underperform	$17.66M	―	-9999.00%	―	-63.20%	15.71%
CTXR	38 Underperform	$7.23M	―	-60.06%	―	―	8.99%
ATHA	36 Underperform	$10.78M	―	-110.70%	―	―	18.61%
NXTC	36 Underperform	$14.24M	―	-63.94%	―	―	22.63%
HOOK	33 Underperform	$18.41M	―	-105.79%	―	-82.54%	-12.53%
RNAZ	27 Underperform	$5.81M	―	-342.99%	―	―	99.64%