Dianthus Therapeutics (DNTH) AI Stock Analysis

• Market Cap: $2.19B
• Dividend Yield: N/A
• Average Volume (3M): 1.00M
• Price to Earnings (P/E): ―
• Beta (1Y): 1.48
• Revenue Growth: -42.64%
• EPS Growth: -39.78%
• Country: US
• Employees: 78
• Sector: Healthcare
• Sector Strength: 45
• Industry: Biotechnology
• EPS (TTM): -0.97
• Shares Outstanding: 42,876,015
• 10 Day Avg. Volume: 588,847
• 30 Day Avg. Volume: 1,003,841
• PEG Ratio: 0.12
• Price to Book (P/B): 2.06
• Price to Sales (P/S): 116.48
• P/FCF Ratio: -9.28
• Enterprise Value/Market Cap: 0.81
• Enterprise Value/Revenue: 573.93
• Enterprise Value/Gross Profit: 573.93
• Enterprise Value/Ebitda: -12.95
• 1Y Price Target: $59.50
• Price Target Upside: 18.27% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 9
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 56 Neutral
• Price Target: $53.00 ▲(5.35% Upside)

The score is primarily held back by weak financial performance (declining revenue, ongoing losses, and negative operating cash flow) and a loss-driven negative P/E. It is supported by a constructive price trend above key moving averages and positive corporate developments (Phase 2 success and a new licensing collaboration).

Positive Factors

Clinical Pipeline Progress

A successful Phase 2 and a planned Phase 3 materially de-risk the lead program, improving the probability of eventual approval and commercialization. This strengthens long-term revenue potential and competitive positioning in neuromuscular/autoimmune therapeutics.

Strategic Licensing Collaboration

The licensing deal expands geographic reach and shares development costs and risks, providing non-dilutive funding pathways via milestones/royalties. It validates the science commercially and accelerates global market access long term.

Low Financial Leverage

Minimal leverage reduces refinancing and interest risks, giving management flexibility to fund clinical programs or pursue partnerships without heavy debt service. It supports long-term stability during multi-year development cycles.

Negative Factors

Declining Revenue Trend

A steep revenue decline undermines internal funding capacity for R&D and commercialization, increasing reliance on external capital or partnerships. Persisting declines suggest challenges scaling commercial activities or converting pipeline progress into sales.

Negative Operating Cash Flow

Sustained negative operating cash flow shortens runway and forces recurring financing or dilution to support trials. Over the medium term this can constrain R&D spending choices and bargaining power in partnership or licensing negotiations.

Negative Profitability and Returns

Deep negative margins and substantially negative ROE signal ongoing losses and weak capital efficiency. Over time this can impede the company's ability to attract patient capital, raise favorable financing, and deliver shareholder value absent meaningful improvement.

Dianthus Therapeutics Business Overview & Revenue Model

Company Description

Dianthus Therapeutics, Inc. operates as a clinical-stage biotechnology company that designs, develops, and delivers novel monoclonal antibodies for people living with severe autoimmune and inflammatory diseases. It develops DNTH103 that is in phase 1 clinical trails in patients with generalized myasthenia gravis, multifocal motor neuropathy, and chronic inflammatory demyelinating polyneuropathy. Dianthus Therapeutics, Inc. was incorporated in 2015 and is based in New York, New York.

How the Company Makes Money

Dianthus Therapeutics generates revenue primarily through the development and commercialization of its therapeutic products. This includes income from licensing agreements with larger pharmaceutical companies, where Dianthus may receive upfront payments, milestone payments based on developmental progress, and royalties on sales of approved products. Additionally, the company may secure funding through grants and partnerships with research institutions or other biotech firms. The successful advancement of its clinical pipeline, particularly in attracting investments for further development and eventual market launch of therapies, is crucial for its revenue generation.

Dianthus Therapeutics Financial Statement Overview

Summary

Mixed fundamentals: revenue declined sharply (-36.59% TTM) and profitability is deeply negative (net margin -23.64% with negative EBIT/EBITDA), but leverage is minimal (debt-to-equity 0.0044) and free cash flow growth is positive (+9.24% TTM) despite ongoing operating cash burn.

Income Statement

Dianthus Therapeutics shows a declining revenue trend with a significant drop of 36.59% in TTM. The company has a high gross profit margin of 97.96% in TTM, indicating efficient cost management. However, the net profit margin is deeply negative at -23.64%, reflecting substantial losses. EBIT and EBITDA margins are also negative, indicating operational challenges.

Balance Sheet

The balance sheet is relatively stable with a low debt-to-equity ratio of 0.0044 in TTM, suggesting minimal leverage. However, the return on equity is negative at -34.72%, indicating inefficiencies in generating returns on shareholder investments. The equity ratio is healthy, showing a strong equity base relative to total assets.

Cash Flow

Cash flow analysis reveals a positive free cash flow growth rate of 9.24% in TTM, but operating cash flow remains negative, indicating cash burn. The operating cash flow to net income ratio is -4.99, suggesting challenges in converting earnings into cash. The free cash flow to net income ratio is slightly above 1, indicating that free cash flow is in line with net income.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	3.08M	6.24M	2.83M	6.42M	1.48M	0.00
Gross Profit	3.08M	6.24M	2.83M	6.42M	1.48M	-1.98M
EBITDA	-136.45M	-101.45M	-47.82M	-29.56M	-13.09M	-72.96M
Net Income	-126.34M	-84.97M	-43.55M	-28.48M	-13.11M	-74.94M
Balance Sheet
Total Assets	577.45M	374.01M	179.41M	83.11M	189.93M	161.62M
Cash, Cash Equivalents and Short-Term Investments	402.61M	275.24M	173.72M	75.49M	176.93M	148.84M
Total Debt	1.28M	1.49M	585.00K	788.00K	0.00	0.00
Total Liabilities	30.99M	21.53M	10.54M	9.45M	17.26M	17.71M
Stockholders Equity	546.45M	352.48M	168.87M	73.66M	172.67M	143.91M
Cash Flow
Free Cash Flow	-109.63M	-78.28M	-36.97M	-29.21M	-60.80M	-64.42M
Operating Cash Flow	-109.52M	-78.18M	-36.86M	-29.07M	-59.53M	-64.02M
Investing Cash Flow	-183.15M	-286.81M	20.25M	-59.82M	43.43M	-10.63M
Financing Cash Flow	314.92M	255.62M	133.57M	96.68M	89.60M	67.74M

Dianthus Therapeutics Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 50.31
• 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 DNTH, the sentiment is Positive. The current price of 50.31 is above the 20-day moving average (MA) of 43.53, above the 50-day MA of 42.81, and above the 200-day MA of 29.56, indicating a bullish trend. The MACD of 2.66 indicates Negative momentum. The RSI at 65.60 is Neutral, neither overbought nor oversold. The STOCH value of 79.94 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for DNTH.

Dianthus Therapeutics Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ARDX	59 Neutral	$1.90B	-33.31	-36.18%	―	58.12%	24.08%
DNTH	56 Neutral	$2.19B	-14.41	-28.57%	―	-42.64%	-39.78%
AMLX	56 Neutral	$1.65B	―	-56.52%	―	-100.34%	52.85%
EWTX	55 Neutral	$2.97B	-18.62	-30.02%	―	―	-5.73%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
JANX	49 Neutral	$880.56M	―	-12.48%	―	-23.37%	-42.45%
BHVN	48 Neutral	$1.85B	-1.67	-522.08%	―	―	18.76%

Dianthus Therapeutics Corporate Events

Dianthus Therapeutics Reports Positive Phase 2 Results

On November 3, 2025, Dianthus Therapeutics updated its corporate presentation, highlighting its progress in developing claseprubart and DNTH212 for autoimmune diseases. The company reported positive Phase 2 results for claseprubart in generalized myasthenia gravis, and plans to initiate Phase 3 trials in 2026, positioning itself as a leader in the neuromuscular market. This advancement could significantly impact the treatment landscape for autoimmune diseases, offering more convenient and potentially superior therapeutic options.

The most recent analyst rating on (DNTH) stock is a Buy with a $65.00 price target. To see the full list of analyst forecasts on Dianthus Therapeutics stock, see the DNTH Stock Forecast page.