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bluebird bio (BLUE)
NASDAQ:BLUE
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Bluebird Bio
(NASDAQ:BLUE)42Neutral
Positive Factors
Cost Reduction
Cost reduction efforts should reduce operating expenses by 20% and allow for break-even to be achieved.
Privatization
The announced privatization of the company is expected to be completed within the first half of 2025.
Product Reach
BLUE has activated more than 70 QTCs for Zynteglo and Lyfgenia, indicating a broader treatment reach.
Negative Factors
Financial Performance
3Q24 revenue of $10.6mm was below the expected $21.1mm and continues to decline sequentially QoQ from $16.1mm in 2Q24 and $18.6mm in 1Q24.
Liquidity
BLUE needs additional cash resources to extend its cash runway for breakeven.
Sales Estimates
Sales estimates for Lyfgenia are reduced due to slower-than-expected uptake in sickle-cell disease.
Bluebird Bio (BLUE) vs. S&P 500 (SPY)
Market Cap
$37.21M
Dividend YieldN/A
Average Volume (3M)438.18K
Price to Earnings (P/E)―
Beta (1Y)1.31
Revenue Growth144.50%
EPS Growth-141.91%
CountryUS
Employees375
SectorHealthcare
Sector Strength74
IndustryBiotechnology
Share Statistics
EPS (TTM)-35.97
Shares Outstanding9,740,894
10 Day Avg. Volume918,840
30 Day Avg. Volume438,178
Financial Highlights & Ratios
PEG RatioN/A
Price to Book (P/B)N/A
Price to Sales (P/S)0.71
Price to Cash Flow (P/CF)-0.10
P/FCF Ratio0.00
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price Target
$13.60Price Target Upside256.02% Upside
Rating ConsensusHold
Number of Analyst Covering7
Bluebird Bio Business Overview & Revenue Model
Company DescriptionBluebird Bio, Inc. (BLUE) is a biotechnology company that focuses on developing gene therapies for severe genetic diseases and cancer. The company is headquartered in Cambridge, Massachusetts, and operates within the biotechnology and pharmaceutical sectors. Bluebird Bio's core products include gene therapies designed to treat rare genetic disorders, such as cerebral adrenoleukodystrophy, beta-thalassemia, and sickle cell disease.
How the Company Makes MoneyBluebird Bio makes money primarily through the development and commercialization of its gene therapy products. The company generates revenue from product sales of approved therapies, as well as from collaboration and license agreements with other biotechnology and pharmaceutical companies. These partnerships often involve upfront payments, milestone payments, and royalties based on the sales of co-developed products. Additionally, Bluebird Bio may receive research funding from these collaborations, contributing to its earnings. As the company advances its pipeline and achieves regulatory approvals, the commercialization of new therapies is expected to become a significant revenue stream.
Bluebird Bio Financial Statement Overview
Summary
Bluebird Bio faces significant financial challenges with persistent losses and high leverage. Negative equity and cash flow issues highlight the need for strategic financial improvements, despite revenue growth.Income Statement
Bluebird Bio's revenue has shown volatility with a significant revenue increase in the TTM, but profitability remains an issue. The TTM net profit margin is deeply negative at -565.8%, indicating substantial losses. Gross profit margin is also negative, highlighting operational challenges.45
Neutral
Balance Sheet
The balance sheet shows a high debt-to-equity ratio due to negative equity in the TTM, increasing financial risk. The company has negative stockholders' equity, which is a major concern. The equity ratio is negative, reflecting significant liabilities compared to assets.30
Negative
Cash Flow
Cash flow statements reveal negative free cash flow, though there is a slight improvement in operating cash flow. The free cash flow to net income ratio is concerning as both figures are negative, indicating cash burn is a continuing issue.40
Negative
| Breakdown | |||||
| TTM | Dec 2023 | Dec 2022 | Dec 2021 | Dec 2020 | Dec 2019 |
|---|---|---|---|---|---|
| Income Statement | Total Revenue | ||||
| 53.12M | 29.50M | 3.60M | 3.66M | 250.73M | 44.67M | Gross Profit |
| -23.10M | -4.03M | -6.48M | -35.20M | 245.34M | 41.70M | EBIT |
| -316.68M | -244.26M | -287.09M | -590.91M | -629.51M | -812.08M | EBITDA |
| -128.23M | -167.16M | -215.56M | -556.93M | -553.63M | -772.72M | Net Income Common Stockholders |
| -300.52M | -211.91M | -266.58M | -562.64M | -618.70M | -789.61M |
| Balance Sheet | Cash, Cash Equivalents and Short-Term Investments | ||||
| 221.75M | 221.75M | 181.74M | 396.62M | 1.27B | 1.24B | Total Assets |
| 619.16M | 619.16M | 554.90M | 593.79M | 1.78B | 1.73B | Total Debt |
| 330.33M | 330.33M | 281.39M | 89.58M | 193.02M | 190.99M | Net Debt |
| 108.57M | 108.57M | 168.38M | -71.58M | -124.68M | -136.23M | Total Liabilities |
| 424.62M | 424.62M | 358.56M | 219.52M | 426.20M | 442.43M | Stockholders Equity |
| 194.54M | 194.54M | 196.34M | 374.28M | 1.36B | 1.28B |
| Cash Flow | Free Cash Flow | ||||
| -231.02M | -244.10M | -366.16M | -658.64M | -499.34M | -640.64M | Operating Cash Flow |
| -223.69M | -235.05M | -352.95M | -635.64M | -470.35M | -564.38M | Investing Cash Flow |
| 5.22M | 154.95M | 250.45M | 562.56M | -84.34M | 507.81M | Financing Cash Flow |
| 118.76M | 196.25M | 54.25M | -93.95M | 546.72M | 21.19M |
Bluebird Bio Technical Analysis
Negative
3.82
Price Trends
7.22
Negative
7.94
Negative
12.52
Negative
Market Momentum
-1.03
Positive
27.43
Positive
9.58
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For BLUE, the sentiment is Negative. The current price of 3.82 is below the 20-day moving average (MA) of 5.66, below the 50-day MA of 7.22, and below the 200-day MA of 12.52, indicating a bearish trend. The MACD of -1.03 indicates Positive momentum. The RSI at 27.43 is Positive, neither overbought nor oversold. The STOCH value of 9.58 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for BLUE.
Bluebird Bio Risk Analysis
Bluebird Bio disclosed 66 risk factors in its most recent earnings report. Bluebird Bio reported the most risks in the “Finance & Corporate” category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Bluebird Bio Peers Comparison
Overall Rating
UnderperformOutperform
Sector (49)
Financial Indicators
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
64 Neutral | $123.21B | ― | -3.26% | ― | 11.64% | -114.72% | |
50 Neutral | $146.11M | ― | -119.89% | ― | 150.95% | 5.48% | |
49 Neutral | $7.05B | 0.34 | -55.09% | 2.46% | 25.27% | -3.43% | |
49 Neutral | $3.73B | ― | -18.96% | ― | -89.95% | -123.71% | |
42 Neutral | $37.21M | ― | 5193.90% | ― | 144.50% | -141.91% | |
42 Neutral | $179.37M | ― | -344.56% | ― | -74.04% | 48.16% | |
39 Underperform | $941.49M | ― | -59.52% | ― | 59.55% | 3.09% |
* Healthcare Sector Average
Performance Comparison
BLUE
Bluebird Bio
3.82
-25.18
-86.83%
SGMO
Sangamo Biosciences
0.86
-0.15
-14.85%
VRTX
Vertex Pharmaceuticals
486.22
74.37
18.06%
EDIT
Editas Medicine
1.76
-7.32
-80.62%
NTLA
Intellia Therapeutics
9.10
-20.85
-69.62%
CRSP
Crispr Therapeutics AG
43.45
-37.38
-46.25%
Bluebird Bio Earnings Call Summary
Earnings Call Date: Feb 25, 2025 | % Change Since: -5.68% | Next Earnings Date: May 7, 2025
Earnings Call Sentiment Neutral
The earnings call highlighted strong patient start growth, successful cost reduction efforts, and promising reimbursement pathways. However, these positives were countered by a decrease in quarterly revenue, cash resource challenges, and pending shareholder approvals, creating a balanced outlook.Highlights
Significant Increase in Patient Starts
Patient starts have more than doubled from 27 to 57 since Q2 2024, with 74 patient starts completed or scheduled for 2024 and 30 more scheduled for 2025.
Successful Reduction in Cash Operating Expenses
Implemented steps to reduce cash operating expenses by 20% in Q3 2025.
Strong Manufacturing Capacity and Future Expansion Plans
Current manufacturing capacity is adequate to meet projections with plans to double LYFGENIA capacity in 2026.
Encouraging Reimbursement and Access Pathways
Over half of U.S. states have affirmed coverage for LYFGENIA, and no ultimate denials have been recorded across Medicaid and commercial payers.
Lowlights
Decrease in Quarterly Revenue
Q3 2024 revenue was $10.6 million, down from $16.1 million in Q2, attributed to variations in manufacturing timelines.
Cash Resource Challenges
Existing cash and cash equivalents are expected to fund operations only into Q1 2025, necessitating additional financing.
Pending Shareholder Approval for Reverse Stock Split
Adjourned shareholder meeting to obtain approval for a reverse stock split to comply with NASDAQ requirements and increase share authorization.
Company Guidance
During bluebird bio's third-quarter 2024 earnings call, the company provided optimistic guidance, highlighting a doubling of patient starts from 27 to 57 since the previous quarter and a total of 74 starts for the year. They emphasized plans to reduce cash operating expenses by 20% starting in Q3 2025, paving the way for financial stability and cash flow breakeven in the second half of the year. The company reported $10.6 million in Q3 revenue, down from $16.1 million in Q2, but projected a rebound to at least $25 million in Q4. Manufacturing capacity is deemed sufficient to meet the goal of 40 drug product deliveries per quarter by late 2025, supported by a robust Qualified Treatment Center (QTC) network. As of September 30, 2024, bluebird bio held $118.7 million in cash, including $48 million in restricted cash, and is focusing on extending its runway through additional financing and cost-saving initiatives.Bluebird Bio Corporate Events
Executive/Board ChangesShareholder MeetingsStock Split
Bluebird Bio’s Key Decisions and Shareholder Engagement in 2024
Neutral
Nov 6, 2024
At bluebird bio, Inc.’s 2024 Annual Meeting, key decisions included increasing the shares under the Incentive Award Plan, electing new board members, and ratifying the selection of Ernst & Young as the accounting firm. While stockholders approved most proposals, the meeting adjourned to gather more votes on a reverse stock split, showcasing active shareholder engagement and significant developments for investors to watch.
Glossary
OutperformA stock rated as "Outperform" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock is likely to deliver higher returns compared to the average returns of other stocks in the same sector or market index. Investors might consider this stock a good buying opportunity.
NeutralA stock rated as "Neutral" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly attractive nor unattractive for investment. Investors may consider holding onto the stock, as it is not expected to either significantly outperform or underperform the market.
UnderperformA stock rated as "Underperform" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock may deliver lower returns compared to the average returns of other stocks in the same sector or market index. Investors might consider selling the stock or avoiding it as an investment.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.