Black Diamond Therapeutics (BDTX) AI Stock Analysis

• Market Cap: $177.98M
• Dividend Yield: N/A
• Average Volume (3M): 1.21M
• Price to Earnings (P/E): 50.7
• Beta (1Y): 2.21
• Revenue Growth: N/A
• EPS Growth: 33.97%
• Country: US
• Employees: 24
• Sector: Healthcare
• Sector Strength: 42
• Industry: Biotechnology
• EPS (TTM): 0.98
• Shares Outstanding: 56,862,637
• 10 Day Avg. Volume: 995,702
• 30 Day Avg. Volume: 1,212,790
• PEG Ratio: 0.31
• Price to Book (P/B): 1.17
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 6.16
• Enterprise Value/Market Cap: 0.49
• Enterprise Value/Revenue: 1.09
• Enterprise Value/Gross Profit: 1.25
• Enterprise Value/Ebitda: -0.35
• 1Y Price Target: $11.00
• Price Target Upside: 251.44% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2

• Rating: 33 Underperform
• Price Target: ―

Black Diamond Therapeutics is currently a high-risk investment due to its weak financial performance characterized by zero revenue and negative cash flow. The technical analysis suggests continued volatility, and the valuation highlights typical challenges of early-stage biotech firms. However, the recent strategic partnership with Servier offers potential long-term benefits. The overall score reflects the significant financial challenges and current market sentiment, with potential upside from successful execution of its strategic initiatives.

Positive Factors

Drug Activity

BDTX-1535 shows clear evidence of activity post-osimertinib, which could translate favorably to the 1L setting, particularly in patients with non-classical mutations where osimertinib is less active.

Financial Position

The company is well capitalized, with sufficient funding to support a first-line NSCLC study in non-classical mutations.

Strategic Partnerships

Black Diamond announced a global licensing agreement with Servier to develop BDTX-4933, extending the company's cash runway.

Negative Factors

Competitive Landscape

The evolving competitive landscape in 2L NSCLC presents challenges and a modest commercial opportunity.

Black Diamond Therapeutics Business Overview & Revenue Model

Company Description

Black Diamond Therapeutics, Inc., a biotechnology company, discover, develops, and commercializes medicines for patient with genetically defined tumors. It develops BDTX-189, an irreversible small molecule inhibitor that is designed to targets oncogenic proteins defined by the non-canonical epidermal growth factor receptor (EGFR) and human epidermal growth factor receptor 2 driver mutations. The company is also developing BDTX-1535, a brain-penetrant inhibitor of EGFR mutations, including canonical, intrinsic resistance, and acquired resistance mutations; and BDTX-4933, a brain-penetrant inhibitor of oncogenic BRAF class I, II and III alterations. It has a strategic partnership with OpenEye Scientific Software, Inc. The company was formerly known as ASET Therapeutics, Inc. and changed its name to Black Diamond Therapeutics, Inc. in January 2018. Black Diamond Therapeutics, Inc. was incorporated in 2014 and is headquartered in Cambridge, Massachusetts.

How the Company Makes Money

Black Diamond Therapeutics makes money primarily through the development and commercialization of its pharmaceutical products targeting specific mutations in cancer treatment. The company generates revenue by advancing its proprietary drug candidates through clinical trials, seeking regulatory approval, and ultimately bringing these therapies to market. Significant revenue streams may include sales of approved drugs, partnerships, and collaborations with larger pharmaceutical companies for co-development and commercialization efforts. Additionally, the company may receive milestone payments and royalties from licensing agreements, providing a diversified approach to revenue generation. However, as a biotechnology company in the clinical development stage, Black Diamond Therapeutics may also rely on funding from investors and financial markets until its products are commercially available.

Black Diamond Therapeutics Financial Statement Overview

Summary

Black Diamond Therapeutics is facing significant financial challenges, characterized by zero revenue generation, negative equity, and persistent negative cash flows. The company may depend heavily on financing activities to sustain operations, which poses a high-risk profile typical for early-stage biotechnology firms.

Income Statement

The company has consistently reported zero revenue over the years, indicating a lack of commercialized products or services. This results in gross profit and net income being highly negative. The EBIT and EBITDA margins are unavailable due to zero revenue, and the overall income statement shows a persistent negative net income trend.

Balance Sheet

The balance sheet reveals a challenging financial position with negative stockholders' equity for multiple years, indicating financial instability. The debt-to-equity ratio is not applicable due to negative equity, and the company has high liabilities relative to its assets. The equity ratio is also negative, underscoring the precarious financial health.

Cash Flow

Operating cash flow is consistently negative, reflecting ongoing cash burn without revenue generation. While there is some positive movement in investing and financing cash flows, the free cash flow remains negative with no growth, suggesting a reliance on external funding to sustain operations.

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	-437.00K	-3.24M	-2.22M	-600.00K
EBITDA	-69.33M	-86.02M	-92.32M	-126.67M	-66.65M
Net Income	-69.68M	-82.44M	-84.52M	-123.20M	-65.48M
Balance Sheet
Total Assets	122.64M	158.57M	156.25M	247.68M	329.67M
Cash, Cash Equivalents and Short-Term Investments	98.58M	131.40M	122.81M	209.79M	315.07M
Total Debt	22.19M	25.30M	28.14M	28.46M	8.74M
Total Liabilities	39.35M	41.83M	40.56M	491.50M	21.91M
Stockholders Equity	83.28M	116.74M	-334.99M	-243.82M	-118.22M
Cash Flow
Free Cash Flow	-62.30M	-66.75M	-85.27M	-102.86M	-52.29M
Operating Cash Flow	-62.30M	-66.72M	-85.08M	-100.15M	-52.15M
Investing Cash Flow	16.97M	16.35M	53.37M	130.61M	-281.69M
Financing Cash Flow	25.55M	71.93M	177.00K	729.00K	214.94M

Black Diamond Therapeutics Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 3.13
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For BDTX, the sentiment is Positive. The current price of 3.13 is above the 20-day moving average (MA) of 2.66, above the 50-day MA of 2.36, and above the 200-day MA of 2.35, indicating a bullish trend. The MACD of 0.21 indicates Negative momentum. The RSI at 71.96 is Negative, neither overbought nor oversold. The STOCH value of 78.88 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for BDTX.

Black Diamond Therapeutics Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	65 Neutral	¥347.74B	11.06	-2.99%	2.56%	11.77%	-10.16%
AVTX	54 Neutral	$67.67M	―	678.24%	―	-69.59%	―
IMDX	51 Neutral	$81.79M	―	-428.96%	―	178.08%	86.04%
ATOS	36 Underperform	$108.75M	―	-34.87%	―	―	15.09%
BDTX	33 Underperform	$177.98M	50.73	4.14%	―	―	33.97%
VOR	33 Underperform	$276.16M	―	-125.43%	―	―	2.98%
ELTX	30 Underperform	$149.41M	―	-744.59%	―	―	27.65%

Black Diamond Therapeutics Corporate Events

Black Diamond Therapeutics Partners with Servier for BDTX-4933

On March 18, 2025, Black Diamond Therapeutics entered into a License Agreement with Servier Pharmaceuticals, granting Servier a worldwide license to develop and commercialize BDTX-4933, a small molecule targeting RAF/RAS-mutant solid tumors. This agreement includes an upfront payment of $70 million to Black Diamond and potential milestone payments up to $710 million, along with royalties. Servier will lead the development and commercialization of BDTX-4933, which is currently in Phase 1 trials, with applications in non-small cell lung cancer and other solid tumors. This strategic partnership aims to address unmet medical needs in oncology and enhance Black Diamond’s position in the industry.