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Corvus Pharmaceuticals Inc. (CRVS)
:CRVS
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Corvus Pharmaceuticals (CRVS) AI Stock Analysis

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CRVS

Corvus Pharmaceuticals

(NASDAQ:CRVS)

Rating:41Neutral
Price Target:
Corvus Pharmaceuticals exhibits significant financial difficulties with no revenue and increasing losses. Technical indicators show a bearish trend, and valuation metrics are weak. However, clinical advancements and strategic governance changes provide some optimism. Overall, the stock is rated at the lower end of the scale due to its financial challenges and negative technical trends, with potential upside from clinical developments.
Positive Factors
Drug Efficacy
The latest update showed that 63% of patients treated with the 200 mg BID dose achieved EASI 75, outperforming placebo benchmarks.
Future Opportunities
Positive data in atopic dermatitis could open opportunities for soquelitinib in other immune diseases, potentially boosting CRVS shares.
Therapeutic Potential
Analysts believe that soquelitinib could become one of the best AD therapies on the market based on the results from the latest patient cohort.
Negative Factors
Financial Performance
The company reported no revenues and a net loss of $0.13 per diluted share, compared to consensus estimated net loss of $0.12 per share.
Investor Confidence
There is a lack of investor confidence that higher dose data will show improved results, contributing to the stock's decline.
Market Competition
The significant drop in CRVS shares is seen as an overreaction, potentially due to market disappointment with soquel's efficacy compared to Dupixent.

Corvus Pharmaceuticals (CRVS) vs. SPDR S&P 500 ETF (SPY)

Corvus Pharmaceuticals Business Overview & Revenue Model

Company DescriptionCorvus Pharmaceuticals (CRVS) is a biotechnology company focused on the development and commercialization of innovative immuno-oncology therapies. The company is engaged in the research and development of novel drugs designed to harness the immune system to treat cancer. Corvus Pharmaceuticals' core product pipeline includes small molecule and antibody therapies targeting various immune checkpoints and pathways crucial for cancer treatment.
How the Company Makes MoneyCorvus Pharmaceuticals generates revenue primarily through the development and potential commercialization of its immuno-oncology drug candidates. The company typically seeks to advance its drug candidates through clinical trials and may enter into licensing agreements or partnerships with larger pharmaceutical companies to co-develop or market these treatments. Additionally, Corvus may receive milestone payments and royalties from its partners based on the success and sales of the developed drugs. Grants and research funding from governmental or non-profit organizations can also contribute to its revenue streams.

Corvus Pharmaceuticals Earnings Call Summary

Earnings Call Date:Aug 07, 2025
(Q1-2025)
|
% Change Since: 28.66%|
Next Earnings Date:Oct 30, 2025
Earnings Call Sentiment Positive
The earnings call presented a generally positive outlook for Corvus Pharmaceuticals, with significant net income growth, successful warrant exercises boosting cash position, and promising Phase 1 trial results for soquelitinib. Despite the increase in R&D expenses and a decrease in cash reserves, the company's financial position remains robust, supported by the recent warrant exercise.
Q1-2025 Updates
Positive Updates
Significant Increase in Net Income
Corvus Pharmaceuticals reported a net income of $15.2 million for Q1 2025, compared to a net loss of $5.7 million in Q1 2024, largely due to a $25.1 million noncash gain from changes in the fair value of warrant liability.
Successful Warrant Exercise
Holders of 8,945,000 common stock warrants exercised all their warrants, resulting in cash proceeds of approximately $31.3 million, extending operational funding into Q4 2026.
Encouraging Phase 1 Trial Results for Soquelitinib
Phase 1 trials for soquelitinib in atopic dermatitis showed promising safety and efficacy, with Cohort 3 achieving a 71.1% mean reduction in EASI score and 63% of patients achieving EASI 75.
Strong Cash Position
As of March 31, 2025, Corvus had cash, cash equivalents, and marketable securities totaling $44.2 million, with additional warrant proceeds increasing this amount.
Negative Updates
Increase in Research and Development Expenses
R&D expenses increased to $7.5 million in Q1 2025 from $4.1 million in Q1 2024, primarily due to higher clinical trial and manufacturing costs.
Decrease in Cash Reserves
Cash reserves decreased from $52 million on December 31, 2024, to $44.2 million on March 31, 2025, before accounting for warrant proceeds.
Company Guidance
During the Corvus Pharmaceuticals First Quarter 2025 Business Update and Financial Results Conference Call, the company provided comprehensive guidance on their financial performance and clinical trial advancements. The research and development expenses for Q1 2025 increased to $7.5 million compared to $4.1 million in Q1 2024, due to higher clinical trial and manufacturing costs. Net income for Q1 2025 was $15.2 million, benefiting from a $25.1 million noncash gain from the change in fair value of Corvus' warrant liability. As of March 31, 2025, Corvus had $44.2 million in cash and equivalents, with additional $31.3 million from exercised warrants expected to fund operations into Q4 2026. The company reported encouraging Phase 1 data for soquelitinib in atopic dermatitis, highlighting favorable safety and efficacy, particularly in Cohort 3, which showed a 71.1% reduction in EASI scores. This data supports the potential for longer treatment duration to improve outcomes, leading to protocol amendments for an extended cohort and plans for a Phase 2 trial initiation by year-end. The guidance reflects ongoing efforts to advance soquelitinib across multiple fronts, including the registrational Phase 3 trial for T-cell lymphoma and a Phase 2 trial for autoimmune lymphoproliferative syndrome (ALPS), with potential initial ALPS data by late 2025 or early 2026.

Corvus Pharmaceuticals Financial Statement Overview

Summary
Corvus Pharmaceuticals is facing significant financial challenges with no revenue and ongoing losses. The balance sheet is stable with low leverage, but declining equity poses risks. Cash flow issues persist, driven by negative operational results and reliance on financing activities for liquidity.
Income Statement
20
Very Negative
Corvus Pharmaceuticals has consistently reported zero revenue over the years, indicating a lack of commercial success or product launches. The company also reports significant net losses, with no visible improvement in net profit margin. The EBIT and EBITDA margins are non-existent due to the absence of revenue, highlighting ongoing operational challenges.
Balance Sheet
40
Negative
The balance sheet shows a relatively low debt-to-equity ratio, suggesting limited leverage with a Total Debt of $1.12 million against a Stockholders' Equity of $32.57 million. Despite this, the equity ratio has declined, pointing to potential risks as liabilities increase. The company has a declining stockholders' equity over the years, indicating potential financial vulnerability.
Cash Flow
30
Negative
The cash flow statement reveals negative operating and free cash flows, demonstrating cash burn with no revenue inflows. Despite a recent increase in financing cash flow, the reliance on external financing is a concern. Free cash flow remains negative, reflecting continuous operational cash challenges.
BreakdownDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue0.000.000.000.000.00
Gross Profit0.00-151.00K-367.00K-460.00K-632.00K
EBITDA-27.55M-26.88M-40.94M-42.78M-5.36M
Net Income-62.29M-27.03M-41.31M-43.24M-6.00M
Balance Sheet
Total Assets68.91M45.55M68.24M109.45M85.53M
Cash, Cash Equivalents and Short-Term Investments51.96M27.15M42.30M69.45M44.26M
Total Debt1.12M1.37M2.60M3.65M2.31M
Total Liabilities36.34M6.87M12.13M12.29M13.38M
Stockholders Equity32.57M38.68M56.12M97.16M72.15M
Cash Flow
Free Cash Flow-25.42M-23.97M-27.29M-36.72M-34.85M
Operating Cash Flow-25.42M-23.93M-27.02M-36.72M-34.78M
Investing Cash Flow-27.48M15.54M-23.28M21.56M44.77M
Financing Cash Flow49.03M7.86M0.0062.16M1.31M

Corvus Pharmaceuticals Technical Analysis

Technical Analysis Sentiment
Positive
Last Price4.31
Price Trends
50DMA
4.12
Positive
100DMA
3.86
Positive
200DMA
5.15
Negative
Market Momentum
MACD
0.07
Positive
RSI
51.00
Neutral
STOCH
16.50
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CRVS, the sentiment is Positive. The current price of 4.31 is below the 20-day moving average (MA) of 4.34, above the 50-day MA of 4.12, and below the 200-day MA of 5.15, indicating a neutral trend. The MACD of 0.07 indicates Positive momentum. The RSI at 51.00 is Neutral, neither overbought nor oversold. The STOCH value of 16.50 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for CRVS.

Corvus Pharmaceuticals Risk Analysis

Corvus Pharmaceuticals disclosed 73 risk factors in its most recent earnings report. Corvus Pharmaceuticals reported the most risks in the "Tech & Innovation" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks

Corvus Pharmaceuticals Peers Comparison

Overall Rating
UnderperformOutperform
Sector (54)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
74
Outperform
$433.23M5.51376.09%105.62%
54
Neutral
€4.12B12.84-53.01%2.57%13.59%-29.69%
51
Neutral
$297.66M-57.28%-95.12%21.09%
44
Neutral
$396.17M-32.89%27.92%
41
Neutral
$330.82M-100.13%-71.53%
40
Underperform
$327.52M-60.45%6.99%
34
Underperform
$305.92M-34.97%-140.77%
* Healthcare Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
CRVS
Corvus Pharmaceuticals
4.29
0.70
19.50%
ALT
Altimmune
3.67
-2.66
-42.02%
RIGL
Rigel
24.24
13.81
132.41%
NGNE
Neurogene
21.45
-15.10
-41.31%
RCKT
Rocket Pharmaceuticals
3.04
-16.09
-84.11%
ATXS
Astria Therapeutics
7.02
-2.93
-29.45%

Corvus Pharmaceuticals Corporate Events

Executive/Board ChangesBusiness Operations and Strategy
Corvus Pharmaceuticals Appoints New Director to Board
Positive
Apr 9, 2025

On April 8, 2025, Corvus Pharmaceuticals appointed Richard van den Broek as a Class II director, with his term expiring at the 2027 annual meeting. He was also appointed to the Audit and Nominating Committees. This strategic appointment is expected to strengthen the company’s governance and oversight, potentially impacting its operational effectiveness and stakeholder confidence.

Spark’s Take on CRVS Stock

According to Spark, TipRanks’ AI Analyst, CRVS is a Neutral.

Corvus Pharmaceuticals faces significant financial challenges, with no revenue and increasing losses. Technical indicators show a bearish trend, and valuation metrics are weak. However, the earnings call highlighted clinical advancements, which provide some optimism. Overall, the stock is rated at the lower end of the scale due to its financial difficulties and negative technical trends, with some potential upside from clinical developments.

To see Spark’s full report on CRVS stock, click here.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

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.Date of analysis: Apr 22, 2025