Codexis (CDXS) AI Stock Analysis

• Market Cap: $195.88M
• Dividend Yield: N/A
• Average Volume (3M): 554.79K
• Price to Earnings (P/E): ―
• Beta (1Y): 2.28
• Revenue Growth: -17.87%
• EPS Growth: 14.42%
• Country: US
• Employees: 188
• Sector: Healthcare
• Sector Strength: 45
• Industry: Biotechnology
• EPS (TTM): -0.22
• Shares Outstanding: 90,267,460
• 10 Day Avg. Volume: 608,232
• 30 Day Avg. Volume: 554,794
• PEG Ratio: 0.26
• Price to Book (P/B): 5.23
• Price to Sales (P/S): 5.90
• P/FCF Ratio: -6.52
• Enterprise Value/Market Cap: 1.07
• Enterprise Value/Revenue: 3.98
• Enterprise Value/Gross Profit: 5.01
• Enterprise Value/Ebitda: -3.81
• 1Y Price Target: $6.00
• Price Target Upside: 270.37% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 5
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 42 Neutral
• Price Target: $2.00 ▲(23.46% Upside)

Codexis's overall stock score is primarily impacted by its poor financial performance, characterized by declining revenues and high leverage. While the earnings call provided some optimism with strategic partnerships and platform growth, the technical analysis and valuation remain weak, reflecting ongoing challenges in achieving profitability and market confidence.

Positive Factors

Strategic Partnership

The Merck agreement provides a vital cash infusion and strengthens revenue projections, enhancing Codexis's market position and financial stability.

Platform Growth

The growth of the ECO Synthesis platform indicates strong market demand and potential for future revenue expansion, supporting long-term business sustainability.

Manufacturing Expansion

Expanding into GMP manufacturing enhances Codexis's production capabilities, supporting strategic growth in oligonucleotide manufacturing and enzyme production.

Negative Factors

Revenue Decline

The decline in revenue highlights challenges in customer demand and market conditions, potentially impacting long-term financial performance.

High Leverage

Increased leverage poses financial risk, limiting Codexis's ability to invest in growth opportunities and manage economic downturns effectively.

Profitability Challenges

Negative profitability margins indicate significant challenges in cost management and achieving sustainable profitability, affecting long-term viability.

Codexis Business Overview & Revenue Model

Company Description

Codexis, Inc. discovers, develops, and sells enzymes and other proteins. It offers biocatalyst products and services; intermediate chemicals products that are used for further chemical processing; and Codex biocatalyst panels and kits that enable customers to perform chemistry screening. The company also provides biocatalyst screening and protein engineering services. In addition, it offers CodeEvolver protein engineering technology platform, which helps in developing and delivering biocatalysts that perform chemical transformations and enhance the efficiency and productivity of manufacturing processes. The company's platform is also used to discover novel biotherapeutic drug candidates for targeted human diseases, as well as for molecular biology and in vitro diagnostic enzymes. It sells its products to pharmaceutical manufacturers through its direct sales and business development force in the United States and Europe. The company was incorporated in 2002 and is headquartered in Redwood City, California.

How the Company Makes Money

Codexis generates revenue primarily through its enzyme product sales, licensing agreements, and collaborations with pharmaceutical and industrial partners. The company earns money by selling its engineered enzymes directly to customers in sectors such as pharmaceuticals, where they are used in drug manufacturing processes to improve yields and reduce costs. Additionally, Codexis establishes partnerships with other companies to develop and commercialize specific enzyme products, sharing in the revenues generated from these collaborations. The company also receives upfront payments and milestone payments from its partners, contributing to its overall earnings. Codexis's focus on unlocking the potential of biocatalysis in various markets, combined with its innovative platform, positions it to capitalize on growing demand for sustainable and efficient enzyme solutions.

Codexis Financial Statement Overview

Summary

Codexis is facing significant financial challenges, with declining revenues, negative profitability margins, and increased leverage. The company's ability to generate cash is constrained, and its financial stability is at risk due to high debt levels and ongoing losses.

Income Statement

Codexis has experienced declining revenue growth with a negative rate of -7.40% in the TTM period. The company also shows negative profitability margins, with a net profit margin of -120.82% and an EBIT margin of -83.71%. These figures indicate significant challenges in achieving profitability and managing costs effectively.

Balance Sheet

The company's debt-to-equity ratio has increased to 1.78 in the TTM period, indicating higher leverage and potential financial risk. The return on equity is negative at -121.39%, reflecting ongoing losses. The equity ratio is low, suggesting limited equity financing relative to total assets.

Cash Flow

Codexis has a negative free cash flow growth rate of -9.01% in the TTM period, indicating challenges in generating cash. The operating cash flow to net income ratio is -3.03, highlighting inefficiencies in converting income into cash. However, the free cash flow to net income ratio is slightly positive at 1.10, suggesting some ability to cover net losses with free cash flow.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	52.93M	59.34M	70.14M	138.59M	104.75M	69.06M
Gross Profit	41.98M	43.06M	57.33M	100.56M	82.55M	55.31M
EBITDA	-55.27M	-58.52M	-49.28M	-26.31M	-16.75M	-19.37M
Net Income	-63.95M	-65.28M	-76.24M	-33.59M	-21.28M	-24.01M
Balance Sheet
Total Assets	123.96M	149.01M	136.56M	250.39M	246.38M	221.65M
Cash, Cash Equivalents and Short-Term Investments	59.19M	73.46M	65.12M	113.98M	116.80M	150.12M
Total Debt	68.62M	59.90M	16.02M	43.64M	47.65M	24.95M
Total Liabilities	85.42M	82.08M	49.95M	105.60M	81.99M	51.54M
Stockholders Equity	38.54M	66.93M	86.61M	144.80M	164.39M	170.10M
Cash Flow
Free Cash Flow	-61.66M	-53.72M	-57.06M	2.98M	-28.09M	-20.21M
Operating Cash Flow	-55.94M	-49.41M	-52.64M	11.28M	-14.27M	-16.46M
Investing Cash Flow	14.93M	-56.98M	-4.86M	-13.58M	-21.42M	-5.75M
Financing Cash Flow	28.88M	60.52M	8.17M	-575.00K	3.77M	80.81M

Codexis Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1.62
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CDXS, the sentiment is Negative. The current price of 1.62 is below the 20-day moving average (MA) of 2.08, below the 50-day MA of 2.35, and below the 200-day MA of 2.66, indicating a bearish trend. The MACD of -0.25 indicates Positive momentum. The RSI at 30.59 is Neutral, neither overbought nor oversold. The STOCH value of 10.78 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for CDXS.

Codexis 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%
OABI	51 Neutral	$213.05M	-2.44	-22.37%	―	3.36%	5.15%
CDXS	42 Neutral	$195.88M	-2.64	-114.26%	―	-17.87%	14.42%
RNAC	41 Neutral	$200.48M	-0.15	―	―	―	―
CABA	39 Underperform	$230.07M	―	-101.06%	―	―	-17.21%
VOR	33 Underperform	$159.61M	―	―	―	―	-1072.48%
ELTX	30 Underperform	$149.50M	-2.19	―	―	―	17.36%

Codexis Corporate Events

Codexis Earnings Call: Strategic Wins Amid Challenges

Codexis’s latest earnings call conveyed a sentiment of cautious optimism, as the company celebrated significant strategic achievements such as the Merck agreement and growth in the ECO Synthesis platform. However, these positives were tempered by challenges including a decline in revenue, net losses, and a strategic shift away from the small molecule biocatalysis business. The sentiment remains hopeful as Codexis transitions with new leadership and a refined strategic focus.

Codexis Announces Q3 2025 Results and Strategic Moves

Codexis, Inc. is a biotechnology company specializing in enzymatic solutions for the manufacturing of complex therapeutics, leveraging its proprietary CodeEvolver technology platform to enhance enzyme performance in the pharmaceutical sector.

Codexis Announces Workforce Reduction and New CEO

On November 6, 2025, Codexis announced a 24% workforce reduction to streamline operations and focus on its ECO Synthesis platform, expecting to incur a $3.5 million expense in the fourth quarter of 2025. Additionally, the company appointed Alison Moore as the new CEO, succeeding Stephen Dilly, who will remain as Chair of the Board. Codexis also signed a $37.8 million Supply Assurance Agreement with Merck, which, along with organizational changes, is expected to extend its cash runway through 2027.

The most recent analyst rating on (CDXS) stock is a Hold with a $2.00 price target. To see the full list of analyst forecasts on Codexis stock, see the CDXS Stock Forecast page.

Codexis Reports Strong Q2 2025 Growth Amid Challenges

Codexis’ recent earnings call conveyed a generally positive sentiment, highlighting significant revenue growth, improved margins, and robust demand for its ECO Synthesis platform. Despite these optimistic indicators, the company acknowledged challenges related to revenue predictability and rising R&D expenses.

Codexis Surpasses Expectations with Strong Q2 2025 Results

Codexis, Inc. is a leading provider of enzymatic solutions for the efficient and scalable manufacturing of complex therapeutics, leveraging its proprietary technology to enhance enzyme performance in the pharmaceutical industry.