Avenue Therapeutics (ATXI) AI Stock Analysis

• Market Cap: $643.05K
• Dividend Yield: N/A
• Average Volume (3M): 2.90K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.59
• Revenue Growth: N/A
• EPS Growth: 89.68%
• Country: US
• Employees: 2
• Sector: Healthcare
• Sector Strength: 45
• Industry: Biotechnology
• EPS (TTM): N/A
• Shares Outstanding: 3,183,426
• 10 Day Avg. Volume: 2,401
• 30 Day Avg. Volume: 2,901
• PEG Ratio: 0.02
• Price to Book (P/B): 9.26
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -2.87
• Enterprise Value/Market Cap: -4.77
• Enterprise Value/Revenue: -2.18
• Enterprise Value/Gross Profit: -2.18
• Enterprise Value/Ebitda: 0.80
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 47 Neutral
• Price Target: $0.20 ▼(-72.74% Downside)

The score is held down primarily by persistent unprofitability and ongoing negative free cash flow, alongside weak technical momentum with the stock trading below major moving averages. Offsetting these risks are a debt-free balance sheet, improved equity position, and a positive M&A transaction (Baergic Bio sale) that could strengthen the company’s financial flexibility.

Positive Factors

Debt-free balance sheet

No reported debt materially reduces financial risk and preserves strategic optionality. A debt-free structure gives management flexibility to fund R&D, pursue partnerships, or absorb milestone timing variability without mandatory interest servicing that could strain scarce cash flows over the next several quarters.

Improving revenue and lower burn

A step-up to ~$1.4M TTM revenue and materially improved cash burn indicate initial commercial traction and tighter cost control. This trajectory, if sustained, can extend runway, validate go-to-market execution, and reduce near-term capital needs as the company attempts to scale revenues further.

Baergic sale strengthens funding optionality

The Baergic/Axsome transaction provides non-dilutive near-term cash and sizeable contingent upside via milestones and royalties. This strategic divestiture reduces execution burden, leverages a larger partner for development, and creates a durable potential revenue stream that can fund pipeline advancement or shore up liquidity.

Negative Factors

Persistent negative free cash flow

Continued negative operating and free cash flow forces reliance on external funding or asset sales. Even with improved burn, persistent outflows limit reinvestment capacity, increase dilution risk from financing, and constrain ability to sustainably scale commercial or clinical activities without recurring capital events.

Ongoing operating losses

Substantial operating and net losses show the current revenue base does not cover fixed and development costs. Until the company obtains consistent revenue growth or significant milestone receipts, profitability remains out of reach, pressuring equity returns and necessitating periodic external financing.

Very limited commercial scale and resources

An extremely small employee base and modest revenue imply limited internal capability to commercialize, scale distribution, or manage multiple clinical programs simultaneously. This structural constraint increases dependency on partners and outsourcing, slowing execution and elevating operational risk over the medium term.

Avenue Therapeutics Business Overview & Revenue Model

Company Description

Avenue Therapeutics (ATXI) is a specialty pharmaceutical company focused on the development and commercialization of therapies for the treatment of central nervous system diseases. The company's core product includes intravenous (IV) tramadol, which is designed to treat moderate to moderately severe postoperative pain. Avenue Therapeutics operates within the healthcare sector, with a focus on pain management solutions.

How the Company Makes Money

Avenue Therapeutics generates revenue primarily through the development and commercialization of its pharmaceutical products. The company's key revenue stream is expected to come from the sales of its flagship product, IV tramadol, once it gains regulatory approval and enters the market. Revenue generation is contingent upon successful clinical trials, obtaining necessary regulatory approvals, and effective marketing and distribution strategies. Additionally, Avenue Therapeutics may engage in partnerships and collaborations with other pharmaceutical companies to enhance the commercialization and distribution of its products, which can contribute to its earnings.

Avenue Therapeutics Financial Statement Overview

Summary

Early commercialization progress is evident with ~$1.4M TTM revenue and substantially reduced losses and cash burn versus prior years. However, profitability remains weak (TTM EBIT about -$3.9M; net loss about -$3.7M) and free cash flow is still negative (about -$1.7M), implying continued funding dependence despite a debt-free balance sheet and improved equity (~$3.6M TTM).

Income Statement

ATXI shows a step-change in top-line performance in TTM (Trailing-Twelve-Months) with ~$1.4M of revenue versus $0 in prior annual periods, but profitability remains weak. Operating losses persist (TTM EBIT of about -$3.9M and net loss of about -$3.7M), indicating the revenue base is not yet sufficient to cover the cost structure. Losses have narrowed substantially versus 2023–2024 annual results, which is a positive trajectory, but the company is still meaningfully unprofitable.

Balance Sheet

The balance sheet is conservatively levered with no debt reported across periods, which reduces financial risk. Stockholders’ equity has improved to ~$3.6M in TTM (Trailing-Twelve-Months) from ~$2.8M in 2024, supporting better balance-sheet stability. However, the business is still loss-making, and returns on equity have been volatile over time, reflecting an uneven earnings profile and ongoing dependence on funding discipline.

Cash Flow

Cash generation remains a clear pressure point: operating cash flow and free cash flow are negative in all periods shown. The burn rate improved materially in TTM (Trailing-Twelve-Months) (operating and free cash flow of about -$1.7M) versus 2024 (about -$9.0M), which is encouraging, but free cash flow growth is sharply down versus the prior comparison and cash flow still does not cover reported losses in a sustainable way. Continued negative free cash flow implies ongoing liquidity/funding reliance until the revenue base scales further.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.40M	0.00	0.00	0.00	0.00	0.00
Gross Profit	1.40M	0.00	0.00	0.00	0.00	0.00
EBITDA	-3.85M	-11.70M	4.05M	-2.44M	7.00K	-5.15M
Net Income	-3.74M	-11.65M	-10.38M	-3.55M	-3.73M	-5.15M
Balance Sheet
Total Assets	3.73M	2.67M	1.85M	6.84M	3.96M	3.25M
Cash, Cash Equivalents and Short-Term Investments	3.71M	2.59M	1.78M	6.71M	3.76M	3.13M
Total Debt	0.00	0.00	0.00	0.00	0.00	0.00
Total Liabilities	1.42M	816.00K	1.20M	3.58M	509.00K	886.00K
Stockholders Equity	3.56M	2.80M	1.58M	3.90M	3.45M	2.36M
Cash Flow
Free Cash Flow	-1.74M	-9.03M	-12.45M	-7.60M	-3.75M	-5.61M
Operating Cash Flow	-1.74M	-9.03M	-9.45M	-7.60M	-3.75M	-4.61M
Investing Cash Flow	0.00	0.00	-3.00M	0.00	0.00	-1.00M
Financing Cash Flow	2.85M	9.84M	7.53M	10.54M	4.38M	0.00

Avenue Therapeutics Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.73
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Positive
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ATXI, the sentiment is Negative. The current price of 0.73 is above the 20-day moving average (MA) of 0.54, above the 50-day MA of 0.65, and above the 200-day MA of 0.53, indicating a bearish trend. The MACD of -0.12 indicates Positive momentum. The RSI at 23.07 is Positive, neither overbought nor oversold. The STOCH value of 0.99 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for ATXI.

Avenue Therapeutics Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
SCNI	49 Neutral	$835.94K	-0.08	―	―	178.82%	-4121.10%
ATXI	47 Neutral	$643.05K	-0.14	-121.42%	―	―	89.68%
BDRX	41 Neutral	$1.10M	-0.03	-60.37%	―	-100.00%	86.75%
OGEN	29 Underperform	$3.50M	-0.05	-168.95%	―	―	90.27%

Avenue Therapeutics Corporate Events

Avenue Therapeutics shareholders elect directors, ratify KPMG auditor

At its 2025 annual meeting of stockholders held virtually on December 30, 2025, Avenue Therapeutics, Inc. shareholders elected six directors — including Jay Kranzler, Faith Charles, Neil Herskowitz, Alexandra MacLean, Curtis Oltmans and Lindsay A. Rosenwald — to serve until the 2026 annual meeting, with each nominee receiving strong majority support. Investors also ratified the appointment of KPMG LLP as Avenue’s independent registered public accounting firm for the fiscal year ending December 31, 2025, reinforcing continuity in the company’s governance and audit oversight, with all 3,183,426 outstanding common shares and 250,000 Class A preferred shares eligible to vote under the company’s capital structure.

The most recent analyst rating on (ATXI) stock is a Hold with a $0.64 price target. To see the full list of analyst forecasts on Avenue Therapeutics stock, see the ATXI Stock Forecast page.

Avenue Therapeutics Announces 2025 Annual Meeting Date

Avenue Therapeutics, Inc. has announced December 30, 2025, as the date for its 2025 annual meeting of stockholders. Stockholders must submit proposals for inclusion in the proxy statement by November 28, 2025, to be considered timely, and must comply with the company’s bylaws and the Securities Exchange Act requirements.

Avenue Therapeutics Sells Baergic Bio to Axsome

On November 5, 2025, Avenue Therapeutics and its subsidiary Baergic Bio entered into an agreement with Axsome Therapeutics for the acquisition of Baergic. Axsome acquired 100% of Baergic’s equity and global rights to BAER-101, now AXS-17, for an upfront payment and potential milestone payments totaling up to $82 million, along with royalties on future sales. This transaction is expected to accelerate the development of AXS-17 as a treatment for epilepsy, leveraging Axsome’s expertise. The deal also includes equity awards for Avenue’s executives, contingent on the transaction’s completion.