Compugen (CGEN) AI Stock Analysis

• Market Cap: $214.64M
• Dividend Yield: N/A
• Average Volume (3M): 296.63K
• Price to Earnings (P/E): 4.0
• Beta (1Y): 1.30
• Revenue Growth: -88.47%
• EPS Growth: -1658.33%
• Country: US
• Employees: 74
• Sector: Healthcare
• Sector Strength: 45
• Industry: Biotechnology
• EPS (TTM): 0.60
• Shares Outstanding: 94,553,190
• 10 Day Avg. Volume: 494,638
• 30 Day Avg. Volume: 296,634
• PEG Ratio: -0.01
• Price to Book (P/B): 1.39
• Price to Sales (P/S): 1.96
• P/FCF Ratio: 4.56
• Enterprise Value/Market Cap: 0.59
• Enterprise Value/Revenue: 1.75
• Enterprise Value/Gross Profit: 2.00
• Enterprise Value/Ebitda: 3.81
• 1Y Price Target: $4.00
• Price Target Upside: 76.21% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2
• EPS Forecast (FY): -0.21
• Revenue Forecast (FY): $17.93M

• Rating: 73 Outperform
• Price Target: $2.50 ▲(10.13% Upside)
• Action: Upgraded Date: 03/05/26
• Date: Action: Upgraded 03/05/26

The score is driven primarily by the strengthened financial profile (profitability, cash generation, and low leverage) and supportive earnings-call outlook (extended runway and major partnerships). Offsetting this is the sustainability risk from deal-driven, partner-dependent revenue and only moderately strong technical momentum.

Positive Factors

Strong cash runway & low leverage

A $65M non-dilutive monetization plus ~$145.6M year‑end liquidity extends runway into 2029 and materially reduces near-term refinancing risk. Combined with very low reported leverage (debt-to-equity ~2.9%), this provides durable financial flexibility to fund clinical programs without immediate capital raises.

Validated strategic partnerships

Large collaborations with AstraZeneca and Gilead validate Compugen's discovery platform and provide substantial non-dilutive funding optionality and milestone upside. These partnerships broaden commercial pathways and risk‑share development, enabling pipeline advancement without sole reliance on internal capital.

High margins and positive cash conversion

Sharp 2025 inflection delivered high gross margins and strong net margins with operating and free cash flow converting near 99% of net income. Favorable unit economics and improved cash generation create durable capacity to fund R&D and reduce dilution pressure if milestone-driven revenues recur.

Negative Factors

Lumpy, partner-dependent revenue

The 2025 profitability and cash strength were largely driven by discrete upfronts and milestone receipts, not recurring product sales. This creates revenue volatility and forecasting difficulty over the 2–6 month horizon, making operating performance contingent on milestone timing rather than steady organic growth.

Clinical timeline risk for COM701

Delay of the COM701 MAIA interim readout to Q1 2027 lengthens the timeline for a critical clinical catalyst and milestone triggers. Extended timelines increase capital exposure, postpone potential partner payments, and raise event‑accumulation and enrollment risk that can affect near‑term value realization.

Limited control over partnered programs

Compugen depends on partners (AstraZeneca, Gilead) for development decisions and data disclosure, constraining its ability to time milestones or publicize results. This structural reliance reduces visibility into revenue realization and strategic optionality, and can delay recognition of value even when science or IP is promising.

Compugen Business Overview & Revenue Model

Company Description

Compugen Ltd., a clinical-stage therapeutic discovery and development company, researches, develops, and commercializes therapeutic and product candidates in Israel, the United States, and Europe. The company's immuno-oncology pipeline consists of COM701, an anti-PVRIG antibody that is in Phase I clinical study used for the treatment of solid tumors; COM902, a therapeutic antibody targeting TIGIT, which is in Phase I clinical study in patients with advanced malignancies as a monotherapy; Bapotulimab, a therapeutic antibody targeting ILDR2 that is in Phase I clinical study in patients with solid tumors; and AZD2936, a novel anti-TIGIT/PD-1 bispecific antibody, which is in Phase I/II clinical study in patients with advanced or metastatic non-small cell lung cancer. Its therapeutic pipeline also includes early-stage immuno-oncology programs focused primarily on myeloid targets. The company has collaboration agreement with Bayer Pharma AG for the research, development, and commercialization of antibody-based therapeutics against the company's immune checkpoint regulators; Bristol-Myers Squibb to evaluate the safety and tolerability of COM701 in combination with Bristol-Myers Squibb's PD-1 immune checkpoint inhibitor Opdivo in patients with advanced solid tumors; and Johns Hopkins School of Medicine to evaluate novel T cell and myeloid checkpoint targets. It has license agreement with AstraZeneca for the development of bi-specific and multi-specific immuno-oncology antibody products; and research collaboration with Johns Hopkins University for myeloid. Compugen Ltd. was incorporated in 1993 and is headquartered in Holon, Israel.

How the Company Makes Money

Compugen primarily makes money through (1) collaboration and licensing arrangements with larger pharmaceutical companies and (2) to a lesser extent, other operating income typical of early-stage biotech companies (e.g., grants or similar sources, if present in filings). Under collaboration/licensing deals, Compugen can earn upfront payments when a partnership is signed, research funding and cost reimbursements for work performed, development and regulatory milestone payments as partnered programs advance through clinical trials and approvals, and sales-based royalties if a partnered product reaches the market. In some agreements, Compugen may also be eligible for option fees (if a partner elects to take a license to a program after a defined research period) or co-development/cost-sharing economics depending on the structure of the deal. Because Compugen is clinical-stage, it generally does not rely on material product sales; instead, earnings are driven by the timing and success of partnered programs (which determine whether milestones and royalties are triggered) and by the recognition of collaboration revenue over time under applicable accounting rules. Specific active partnerships, product-level commercial revenue, and the exact mix of upfronts, milestones, and royalties are null if not available from the provided context.

Compugen Financial Statement Overview

Summary

Strong 2025 turnaround with sharply higher revenue, very high margins, and positive free cash flow alongside very low leverage. The key risk is durability: prior years showed operating losses and cash burn, and the 2025 step-change appears largely driven by lumpy partner payments.

Income Statement

Revenue and profitability inflected sharply in 2025, with revenue up ~1,240% year over year and strong profitability (net margin ~49%, EBIT margin ~43%). Gross margins have remained high across the period (~72%–97%), reflecting favorable unit economics. The main weakness is volatility: 2020–2024 showed persistent operating losses and negative net margins, with the 2025 step-change likely driven by lumpy collaboration/milestone-type revenue rather than a smooth operating trend.

Balance Sheet

Leverage is very low (debt-to-equity ~2.9% in 2025), which meaningfully reduces balance-sheet risk. Equity increased materially in 2025 and return on equity turned strongly positive (~34%) after several years of negative returns. The key watch item is variability in equity levels over time (notably lower in 2024 vs. prior years), underscoring that results and capital position can swing with profitability and financing dynamics.

Cash Flow

Cash generation improved meaningfully: operating cash flow and free cash flow were solidly positive in 2024 and 2025 (both years ~99% of net income converting to free cash flow, and operating cash flow running above net income). However, the cash-flow profile is uneven—2020–2023 showed sustained cash burn with negative operating and free cash flow—so durability of recent positive cash generation remains the primary risk.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	72.76M	27.86M	33.46M	7.50M	6.00M
Gross Profit	63.51M	19.93M	31.45M	6.53M	5.32M
EBITDA	31.80M	-14.40M	-12.52M	-33.13M	-34.61M
Net Income	35.34M	-14.23M	-18.75M	-33.69M	-34.20M
Balance Sheet
Total Assets	156.87M	115.00M	121.33M	94.18M	132.16M
Cash, Cash Equivalents and Short-Term Investments	145.64M	103.25M	50.69M	83.71M	117.76M
Total Debt	2.96M	2.91M	1.35M	1.93M	2.75M
Total Liabilities	54.14M	60.08M	55.77M	16.50M	25.47M
Stockholders Equity	102.73M	54.91M	65.56M	77.68M	106.69M
Cash Flow
Free Cash Flow	31.33M	49.49M	-36.06M	-34.99M	-23.04M
Operating Cash Flow	31.63M	49.60M	-35.89M	-34.51M	-22.75M
Investing Cash Flow	30.00M	-46.25M	35.51M	37.06M	6.62M
Financing Cash Flow	10.60M	554.00K	3.08M	353.00K	16.84M

Compugen Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 2.27
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CGEN, the sentiment is Positive. The current price of 2.27 is above the 20-day moving average (MA) of 1.98, above the 50-day MA of 1.91, and above the 200-day MA of 1.67, indicating a bullish trend. The MACD of 0.12 indicates Negative momentum. The RSI at 63.64 is Neutral, neither overbought nor oversold. The STOCH value of 74.32 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for CGEN.

Compugen Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CGEN	73 Outperform	$214.64M	4.04	55.68%	―	-88.47%	-1658.33%
CCCC	52 Neutral	$269.32M	-1.51	-53.83%	―	-10.57%	1.98%
NVCT	52 Neutral	$230.74M	-6.23	-131.80%	―	―	-16.26%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
STTK	50 Neutral	$425.81M	-7.52	-65.03%	―	-84.46%	33.32%
ELTX	50 Neutral	$224.06M	-3.95	-5657.87%	―	―	17.36%
NKTX	47 Neutral	$164.79M	-1.76	-27.69%	―	―	25.84%

Compugen Corporate Events

Compugen Extends Cash Runway to 2029 and Swings to Profit on AstraZeneca Deal and Clinical Progress

Compugen on March 2, 2026, reported fourth-quarter and full-year 2025 results that showcased a dramatically strengthened balance sheet and extended cash runway into 2029, driven primarily by a $65 million non-dilutive royalty monetization deal with AstraZeneca for a small portion of rilvegostomig royalties. Revenues surged to $72.8 million in 2025 from $27.9 million a year earlier, turning a $14.2 million net loss in 2024 into a $35.3 million net profit in 2025, while the company maintained zero debt and trimmed R&D and G&A expenses.

Operationally, Compugen advanced its clinical portfolio in 2025 by initiating dosing in the MAIA-ovarian maintenance trial of COM701 and a Phase 1 trial of GS-0321 with partner Gilead, expanding its trial footprint across the U.S., Israel and France, and presenting new data for COM701 and GS-0321 at major oncology meetings. The company also highlighted AstraZeneca’s promising Phase 2 data and 10 ongoing Phase 3 trials for rilvegostomig, leadership changes including the appointment of Dr. Eran Ophir as president and CEO and the transition of Dr. Anat Cohen-Dayag to executive chair, and confirmed it remains on track for an interim MAIA-ovarian analysis in the first quarter of 2027, reinforcing its positioning as a well-funded, AI-driven immuno-oncology innovator with de-risking partnerships.

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

Compugen Adds Veteran Healthcare Strategist Michele Holcomb to Board of Directors

On February 11, 2026, Compugen appointed healthcare strategist Michele Holcomb, Ph.D., as an independent director to its board, a move disclosed in a February 12, 2026 filing and press release. Her term will run until after the 2026 annual general meeting, reinforcing the company’s governance as it advances multiple clinical programs and navigates key value-creation milestones.

Holcomb brings more than 30 years of experience across biotech, pharmaceuticals and healthcare services, including senior roles at Cardinal Health, Teva and McKinsey. Her background in strategy, business development and complex partnerships is expected to bolster Compugen’s ability to leverage its AI-driven discovery engine, manage its pipeline and collaborations, and support long-term value for patients and shareholders.

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