Cidara Therapeutics (CDTX) AI Stock Analysis

• Market Cap: $6.93B
• Dividend Yield: N/A
• Average Volume (3M): 1.78M
• Price to Earnings (P/E): ―
• Beta (1Y): 2.40
• Revenue Growth: -100.00%
• EPS Growth: 53.89%
• Country: US
• Employees: 38
• Sector: Healthcare
• Sector Strength: 45
• Industry: Biotechnology
• EPS (TTM): -3.10
• Shares Outstanding: 31,439,371
• 10 Day Avg. Volume: 939,648
• 30 Day Avg. Volume: 1,776,729
• PEG Ratio: >-0.01
• Price to Book (P/B): 1.05
• Price to Sales (P/S): 133.87
• P/FCF Ratio: -0.97
• Enterprise Value/Market Cap: 0.31
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: -47.78
• Enterprise Value/Ebitda: -11.32
• 1Y Price Target: $209.67
• Price Target Upside: -4.78% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 8
• EPS Forecast (FY): -7.63
• Revenue Forecast (FY): N/A

• Rating: 60 Neutral
• Price Target: $232.00 ▲(5.36% Upside)

Cidara Therapeutics' overall stock score is driven by significant financial challenges and a negative valuation outlook. However, strong technical momentum, positive earnings call developments, and strategic corporate events like the merger with Merck provide a counterbalance, indicating potential future growth and value.

Positive Factors

Strategic Merger with Merck

The merger with Merck is a strategic move that could enhance Cidara's pipeline, diversify Merck's portfolio, and provide significant shareholder value, indicating long-term growth potential.

Phase III Advancement of CD388

Early advancement to Phase III and FDA breakthrough designation for CD388 suggest strong potential for regulatory approval and market success, supporting long-term growth.

Strong Financial Position

A robust cash position ensures financial stability and supports ongoing R&D efforts, reducing reliance on external financing and enhancing long-term sustainability.

Negative Factors

Significant Revenue Decline

A drastic revenue decline indicates challenges in commercializing products, which can hinder long-term profitability and market competitiveness.

Persistent Negative Cash Flow

Negative cash flow from operations suggests ongoing financial strain, requiring external financing and potentially limiting future investment in growth initiatives.

Manufacturing Challenges

Manufacturing challenges could delay product launches and regulatory approvals, impacting the company's ability to capitalize on its R&D investments.

Cidara Therapeutics Business Overview & Revenue Model

Company Description

Cidara Therapeutics (CDTX) is a biopharmaceutical company focused on the development of innovative therapies to treat serious fungal infections and other diseases. The company is primarily engaged in the research and development of its lead product candidates, which include novel antifungal agents and immunotherapies. Cidara operates in the biotechnology sector, leveraging advanced scientific approaches to create targeted treatments that address significant unmet medical needs in infectious diseases.

How the Company Makes Money

Cidara Therapeutics generates revenue through a combination of product development partnerships, grants, and potential future sales of its therapeutics. The company collaborates with larger pharmaceutical firms to co-develop its drug candidates, receiving milestone payments for achieving specific development goals and royalties on sales if the products are successfully commercialized. Additionally, Cidara may receive funding from government grants and programs aimed at fostering innovation in the biotechnology space. The company's strategic partnerships enhance its financial stability and provide access to resources and expertise that can accelerate the development of its therapeutic candidates.

Cidara Therapeutics Financial Statement Overview

Summary

Cidara Therapeutics faces significant financial challenges with persistent losses and negative cash flows. The income statement reveals a drastic revenue decline and deeply negative profit margins. The balance sheet shows low leverage but historically negative equity, while cash flow is heavily reliant on external financing.

Income Statement

Cidara Therapeutics has experienced a significant revenue decline in the latest year, with a revenue growth rate of -98% from the previous year. The net profit margin is deeply negative, at -13362.04% for 2024, indicating substantial losses relative to revenue. The gross profit margin is also negative, suggesting that the company is selling below cost. While biotechnology companies often face high R&D expenses, the magnitude of losses is concerning.

Balance Sheet

The company's debt-to-equity ratio is low due to a relatively high stockholders' equity, indicating low leverage. However, the equity ratio is 76.02%, reflecting a stable capital structure. Despite this, the company has historically negative equity, raising concerns about sustainable financial health. The increase in cash reserves provides some liquidity cushion.

Cash Flow

Operating cash flow is significantly negative, although there has been substantial cash inflow from financing activities. Free cash flow remains negative, and the operating cash flow to net income ratio is negative, due to both operating cash flow and net income being negative. The company is heavily dependent on external financing to sustain operations.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	0.00	1.27M	23.28M	64.45M	49.57M	12.07M
Gross Profit	-45.00M	1.27M	-13.48M	64.45M	-23.52M	12.07M
EBITDA	-189.91M	-175.87M	-26.95M	-33.36M	-42.07M	-70.80M
Net Income	-184.74M	-169.83M	-22.93M	-33.58M	-42.47M	-72.11M
Balance Sheet
Total Assets	518.65M	214.80M	67.03M	47.49M	75.33M	60.42M
Cash, Cash Equivalents and Short-Term Investments	293.65M	189.82M	35.78M	32.73M	62.27M	35.91M
Total Debt	1.98M	3.58M	4.88M	1.21M	5.06M	7.96M
Total Liabilities	96.26M	51.49M	75.24M	61.92M	53.75M	49.71M
Stockholders Equity	422.39M	163.31M	-8.21M	-14.44M	21.57M	10.71M
Cash Flow
Free Cash Flow	-132.94M	-176.66M	-22.94M	-28.59M	-25.27M	-54.60M
Operating Cash Flow	-132.94M	-176.53M	-22.43M	-28.47M	-25.23M	-54.41M
Investing Cash Flow	-176.28M	-129.00K	-505.00K	-118.00K	-41.00K	-186.00K
Financing Cash Flow	481.83M	337.06M	25.98M	-951.00K	44.60M	37.28M

Cidara Therapeutics Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 220.19
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Negative
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CDTX, the sentiment is Positive. The current price of 220.19 is above the 20-day moving average (MA) of 213.95, above the 50-day MA of 147.60, and above the 200-day MA of 67.86, indicating a bullish trend. The MACD of 22.82 indicates Positive momentum. The RSI at 85.91 is Negative, neither overbought nor oversold. The STOCH value of 36.23 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for CDTX.

Cidara Therapeutics Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CPRX	83 Outperform	$2.77B	13.30	27.52%	―	25.56%	44.42%
CDTX	60 Neutral	$6.93B	―	-68.70%	―	-100.00%	53.89%
ARQT	60 Neutral	$3.65B	―	-28.17%	―	129.21%	80.35%
TARS	60 Neutral	$3.38B	―	-28.35%	―	182.44%	47.21%
IDYA	58 Neutral	$2.99B	―	-14.15%	―	5376.27%	20.97%
BEAM	58 Neutral	$2.69B	―	-47.19%	―	-84.07%	-157.71%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%

Cidara Therapeutics Corporate Events

Cidara Therapeutics Enters Merger Agreement with Merck

On November 13, 2025, Cidara Therapeutics entered into a merger agreement with Merck, where Merck will acquire Cidara for $221.50 per share, totaling approximately $9.2 billion. This acquisition aims to diversify Merck’s portfolio by including Cidara’s investigational antiviral agent, CD388, which is currently in Phase 3 trials for preventing influenza in high-risk individuals. The merger is expected to close in the first quarter of 2026, pending regulatory approvals and other customary conditions. This strategic move aligns with Merck’s science-led business development strategy and is anticipated to enhance its pipeline, potentially driving growth and providing significant value to shareholders.

Cidara Therapeutics Expands Phase 3 Trial for CD388

On September 24, 2025, Cidara Therapeutics announced an update to its Phase 3 trial plan for CD388 following discussions with the FDA. The trial will now include a broader population, potentially increasing eligible patients in the U.S. from 50 million to over 100 million, and will begin enrollment by the end of September 2025, six months earlier than initially planned.