Cognition Therapeutics (CGTX) AI Stock Analysis

• Market Cap: $125.35M
• Dividend Yield: N/A
• Average Volume (3M): 2.91M
• Price to Earnings (P/E): ―
• Beta (1Y): 2.47
• Revenue Growth: N/A
• EPS Growth: 50.39%
• Country: US
• Employees: 25
• Sector: Healthcare
• Sector Strength: 45
• Industry: Biotechnology
• EPS (TTM): -0.06
• Shares Outstanding: 88,274,260
• 10 Day Avg. Volume: 2,171,776
• 30 Day Avg. Volume: 2,911,286
• PEG Ratio: 0.71
• Price to Book (P/B): 1.49
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -0.98
• Enterprise Value/Market Cap: 0.07
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: -141.68
• Enterprise Value/Ebitda: -0.31
• 1Y Price Target: $3.00
• Price Target Upside: 111.27% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 44 Neutral
• Price Target: $1.50 ▲(5.63% Upside)

The score is held down primarily by very weak financial performance (minimal revenue, sizable losses, and heavy cash burn), which raises ongoing funding/dilution risk despite low balance-sheet leverage. Technicals are also weak with a below-moving-average trend and negative MACD, while valuation provides limited support due to negative earnings and no dividend yield data.

Positive Factors

Regulatory Progress

Regulatory alignment with the FDA on Phase 3 trials for zervimesine indicates a clear path forward, enhancing the potential for future drug approval and commercialization.

Pipeline Advancement

Completion of Phase 2 enrollment for zervimesine demonstrates progress in clinical trials, which is crucial for advancing towards potential market approval and future revenue generation.

Financial Flexibility

Low leverage provides Cognition Therapeutics with financial flexibility, reducing the risk of financial distress and allowing focus on R&D and strategic initiatives.

Negative Factors

Cash Flow Challenges

Negative cash flow indicates ongoing reliance on external funding, which can dilute existing shareholders and limit operational flexibility if not managed effectively.

Revenue Absence

Lack of revenue generation highlights the company's dependency on future drug approvals for financial sustainability, posing a risk if clinical trials do not succeed.

Ongoing Losses

Widening losses reflect high operational costs and investment in R&D, which may strain financial resources and necessitate further capital raises, impacting long-term viability.

Cognition Therapeutics Business Overview & Revenue Model

Company Description

Cognition Therapeutics, Inc., a clinical-stage biopharmaceutical company, engages in the discovery and development of small molecule therapeutics targeting age-related degenerative diseases and disorders of the central nervous system and retina. Its lead product candidate is CT1812, a sigma-2 receptor antagonist, which is in Phase II clinical trial for the treatment of mild-to-moderate Alzheimer's disease, as well as has completed Phase I clinical trial to treat early-stage Alzheimer's disease; in Phase II clinical trial for the treatment of dementia with Lewy bodies (DLB); and in preclinical trial to treat dry age-related macular degeneration (AMD). The company is also developing CT2168 for the treatment of synucleinopathies, which include DLB and Parkinson's disease; and CT2074 to treat dry AMD. Cognition Therapeutics, Inc. was incorporated in 2007 and is headquartered in Purchase, New York.

How the Company Makes Money

Cognition Therapeutics makes money primarily through the development and eventual commercialization of its pharmaceutical products. The company generates revenue by advancing its drug candidates through clinical trials, aiming for successful regulatory approval, which can lead to product sales, licensing agreements, or partnerships with larger pharmaceutical companies. These collaborations can result in milestone payments, royalties, and upfront fees. Additionally, the company may receive government grants or public funding to support its research and development efforts in targeting Alzheimer's and other neurodegenerative diseases.

Cognition Therapeutics Financial Statement Overview

Summary

Cognition Therapeutics is facing significant financial challenges, with no revenue generation and increasing operational losses. The balance sheet reflects a precarious financial position with past negative equity and ongoing liabilities. Cash flow analysis indicates critical cash management issues, with persistent negative free cash flow. Overall, the company needs strategic financial restructuring and revenue generation to stabilize its financial health.

Income Statement

Cognition Therapeutics has shown persistent negative profitability with no revenue reported over the years. The EBIT and EBITDA margins are negative, indicating operational challenges. The net income has also been negative throughout, with increasing losses, which presents concerns regarding the company's profitability trajectory.

Balance Sheet

The balance sheet shows a decreasing equity base and increasing liabilities, leading to concerns about financial stability. The company's debt-to-equity ratio is not applicable due to negative equity in past years, but the current positive equity is a slight improvement. However, the company's reliance on debt financing remains a potential risk.

Cash Flow

The cash flow statement reveals consistent negative free cash flow, indicating operational cash burn. While there is some financing inflow, the operating cash flow to net income ratio is negative, further highlighting cash flow challenges. The growth in free cash flow is not visible, suggesting ongoing cash management issues.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	0.00	0.00	0.00	0.00	0.00	0.00
Gross Profit	-61.00K	0.00	-252.00K	-235.00K	0.00	-98.00K
EBITDA	-27.73M	-33.68M	-25.51M	-21.13M	-10.73M	-5.99M
Net Income	-27.99M	-33.97M	-25.79M	757.00K	-11.72M	-10.07M
Balance Sheet
Total Assets	43.40M	30.23M	35.16M	50.42M	59.14M	7.12M
Cash, Cash Equivalents and Short-Term Investments	39.82M	25.01M	29.92M	41.56M	54.72M	5.19M
Total Debt	380.00K	814.00K	1.24M	1.48M	0.00	12.85M
Total Liabilities	6.87M	11.48M	10.69M	10.18M	7.86M	75.30M
Stockholders Equity	36.53M	18.75M	24.47M	40.25M	51.27M	-68.18M
Cash Flow
Free Cash Flow	-29.53M	-28.48M	-16.16M	-18.70M	-3.66M	-3.44M
Operating Cash Flow	-29.53M	-28.47M	-16.02M	-18.53M	-3.63M	-3.43M
Investing Cash Flow	-1.00K	-4.00K	-147.00K	-171.00K	-27.00K	-10.00K
Financing Cash Flow	47.35M	23.57M	4.52M	5.55M	53.20M	5.76M

Cognition Therapeutics Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1.42
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CGTX, the sentiment is Negative. The current price of 1.42 is below the 20-day moving average (MA) of 1.44, below the 50-day MA of 1.54, and above the 200-day MA of 1.13, indicating a neutral trend. The MACD of -0.04 indicates Negative momentum. The RSI at 42.91 is Neutral, neither overbought nor oversold. The STOCH value of 31.28 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for CGTX.

Cognition Therapeutics Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ANRO	56 Neutral	$533.10M	-7.40	-45.01%	―	―	-7.87%
MIST	52 Neutral	$172.89M	-2.35	-260.65%	―	―	3.70%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
ACET	46 Neutral	$79.41M	-0.39	-71.73%	―	―	25.89%
CGTX	44 Neutral	$125.35M	-2.91	-109.73%	―	―	50.39%
TNXP	43 Neutral	$216.12M	-0.02	-64.99%	―	-8.79%	81.36%
ELTX	43 Neutral	$140.44M	-2.30	―	―	―	17.36%

Cognition Therapeutics Corporate Events

Cognition Therapeutics Launches New $75M ATM Offering

On December 18, 2025, Cognition Therapeutics entered into a new Open Market Sale Agreement with Jefferies LLC to establish an at-the-market equity offering of up to $75 million of its common stock, under which Jefferies will act as sales agent or principal and receive a 3% commission on any shares sold. In conjunction with this new facility, the company terminated its prior at-the-market sales agreement with Cantor Fitzgerald and B. Riley Securities, effective December 18, 2025, leaving roughly $12.5 million of capacity unused under the 2022 program and signaling a shift of its equity capital-raising activities to the new Jefferies-managed structure without incurring termination penalties.

The most recent analyst rating on (CGTX) stock is a Buy with a $3.00 price target. To see the full list of analyst forecasts on Cognition Therapeutics stock, see the CGTX Stock Forecast page.