Editas Medicine (EDIT) AI Stock Analysis

• Market Cap: $152.36M
• Dividend Yield: N/A
• Average Volume (3M): 1.70M
• Price to Earnings (P/E): ―
• Beta (1Y): 2.23
• Revenue Growth: -48.37%
• EPS Growth: -44.70%
• Country: US
• Employees: 246
• Sector: Healthcare
• Sector Strength: 41
• Industry: Biotechnology
• EPS (TTM): -0.92
• Shares Outstanding: 83,712,860
• 10 Day Avg. Volume: 1,592,602
• 30 Day Avg. Volume: 1,696,413
• PEG Ratio: 0.03
• Price to Book (P/B): 0.77
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -0.47
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: $3.14
• Price Target Upside: 74.44% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 10

• Rating: 52 Neutral
• Price Target: $2.00 ▲(11.11%Upside)

Editas Medicine's overall stock score reflects the combination of significant financial challenges and positive corporate developments. The company's recent advances in gene editing provide a promising outlook, but financial instability and lack of profitability remain key risks. Technical indicators suggest some short-term strength, while valuation metrics highlight ongoing challenges.

Positive Factors

Research and Development

Editas announced achieving preclinical proof of concept for its in vivo gene editing approach, which supports the potential of its technology.

Technology and Innovation

Editas's targeted lipid nanoparticles (tLNPs) serve as a key differentiator for the company's gene editing platform.

Negative Factors

Financial Performance

Editas reported a net loss per share that was larger than the consensus expectations.

Legal Challenges

There is increasing uncertainty in the Cas9 patent interference case as the appellate court has instructed PTAB to reconsider its decision.

Editas Medicine Business Overview & Revenue Model

Company Description

Editas Medicine, Inc., a clinical stage genome editing company, focuses on developing transformative genomic medicines to treat a range of serious diseases. It develops a proprietary gene editing platform based on CRISPR technology. The company develops EDIT-101, which is in Phase 1/2 clinical trial for Leber Congenital Amaurosis 10 that leads to inherited childhood blindness. It also develops EDIT-102 for the treatment of Usher Syndrome 2A, which is a form of retinitis pigmentosa that also includes hearing loss; autosomal dominant retinitis pigmentosa, a progressive form of retinal degeneration; and EDIT-301 to treat sickle cell disease and transfusion-dependent beta-thalassemia. In addition, the company is developing gene-edited Natural Killer cell medicines to treat solid tumor cancers; alpha-beta T cells for multiple cancers; and gamma delta T cell therapies to treat cancer, as well as has an early discovery program to develop a therapy to treat a neurological disease. It has a research collaboration with Juno Therapeutics, Inc. to develop engineered T cells for cancer; strategic alliance and option agreement with Allergan Pharmaceuticals International Limited to discover, develop, and commercialize new gene editing medicines for a range of ocular disorders; and research collaboration with Asklepios BioPharmaceutical, Inc. to develop a therapy to treat a neurological disease, as well as research collaboration with AskBio. The company was formerly known as Gengine, Inc. and changed its name to Editas Medicine, Inc. in November 2013. Editas Medicine, Inc. was incorporated in 2013 and is based in Cambridge, Massachusetts.

How the Company Makes Money

Editas Medicine primarily generates revenue through collaborative research and development agreements, strategic partnerships, and licensing arrangements with pharmaceutical and biotechnology companies. These partnerships often involve upfront payments, milestone payments, and potential royalties on future product sales. Additionally, the company may receive funding from government grants or other research organizations. Key factors contributing to its earnings include the successful development and commercialization of gene-editing therapies, as well as the expansion of its proprietary CRISPR technology platform.

Editas Medicine Financial Statement Overview

Summary

Editas Medicine faces financial challenges typical of biotech firms in the R&D phase. The company has shown volatile revenue with a drop to zero in 2024, persistent net losses, and negative cash flows. Although it has strong cash reserves, its reliance on external funding and declining shareholder equity are concerns.

Income Statement

Editas Medicine has shown a volatile revenue trajectory with a significant drop to zero revenue in 2024 from previous levels. The company has consistently reported negative net income, leading to negative profit margins. This indicates challenges in achieving profitability, common in the biotech industry, which often requires substantial R&D investments without immediate revenue.

Balance Sheet

The company's balance sheet exhibits moderate financial health with a significant cash reserve relative to its total assets. The debt-to-equity ratio is low, suggesting conservative use of debt. However, the continuous decline in stockholders' equity indicates erosion of shareholder value, which is a concern.

Cash Flow

Editas Medicine has consistently faced negative operating and free cash flows, reflecting operational struggles and high cash burn. Although there are instances of positive financing cash flows, this is likely due to capital raises rather than operational efficiency, posing a risk to long-term sustainability.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
32.31M	78.12M	19.71M	25.54M	90.73M
	Gross Profit
32.31M	-99.53M	13.38M	20.49M	-67.26M
	EBIT
-251.15M	-169.18M	-225.95M	-193.15M	-134.84M
	EBITDA
-233.11M	-163.12M	-219.61M	-188.09M	-130.88M
	Net Income Common Stockholders
-237.09M	-153.22M	-204.35M	-185.11M	-109.41M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
269.91M	323.11M	437.37M	619.91M	511.77M
	Total Assets
341.59M	499.15M	514.32M	677.48M	572.60M
	Total Debt
35.03M	36.54M	43.95M	26.38M	26.14M
	Net Debt
-96.51M	-87.12M	-97.58M	-177.14M	-113.55M
	Total Liabilities
207.31M	150.06M	153.64M	123.84M	179.02M
	Stockholders Equity
134.27M	349.10M	360.68M	553.64M	393.59M
Cash Flow		Free Cash Flow
-219.11M	-136.90M	-181.47M	-171.78M	-187.00M
	Operating Cash Flow
-210.28M	-132.18M	-177.35M	-163.80M	-179.84M
	Investing Cash Flow
162.15M	-3.73M	114.07M	-54.47M	-140.52M
	Financing Cash Flow
56.03M	118.04M	1.28M	282.11M	224.12M

Editas Medicine Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1.80
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For EDIT, the sentiment is Positive. The current price of 1.8 is above the 20-day moving average (MA) of 1.61, above the 50-day MA of 1.45, and below the 200-day MA of 2.15, indicating a neutral trend. The MACD of 0.10 indicates Negative momentum. The RSI at 59.43 is Neutral, neither overbought nor oversold. The STOCH value of 68.95 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for EDIT.

Editas Medicine Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	54 Neutral	$5.28B	3.29	-45.38%	2.80%	16.77%	-0.08%
EDIT	52 Neutral	$152.36M	―	-140.82%	―	-48.37%	-44.70%
CLLS	49 Neutral	$110.12M	―	-58.55%	―	825.97%	38.32%
NKTX	39 Underperform	$125.59M	―	-26.10%	―	―	30.76%
RAPT	39 Underperform	$130.70M	―	-75.60%	―	―	-2.29%
CTNM	39 Underperform	$122.63M	―	-91.32%	―	-100.00%	-244.85%
NMRA	33 Underperform	$120.19M	―	-79.05%	―	―	-0.42%

Editas Medicine Corporate Events

Editas Medicine Stockholders Approve Key Amendments

At the 2025 Annual Meeting of Stockholders held on May 29, Editas Medicine, Inc.’s stockholders approved significant amendments to the company’s 2015 Stock Incentive Plan, extending its term and eliminating the ‘evergreen’ provision, among other changes. Additionally, stockholders approved an increase in the number of authorized shares of the company’s capital stock, which could impact the company’s ability to raise capital and expand its operations.

The most recent analyst rating on (EDIT) stock is a Hold with a $7.00 price target. To see the full list of analyst forecasts on Editas Medicine stock, see the EDIT Stock Forecast page.

Editas Medicine Unveils Promising Gene Editing Data

On May 14, 2025, Editas Medicine announced new in vivo data showcasing the potential of their gene upregulation strategy in hematopoietic stem cells (HSCs) at the American Society of Gene and Cell Therapy Annual Meeting. The data demonstrated that a single dose of their proprietary targeted lipid nanoparticle (tLNP) achieved therapeutically relevant levels of HBG1/2 promoter editing in both humanized mice and non-human primates, exceeding the predicted therapeutic threshold. This approach, which targets HBG1/2 promoters to upregulate fetal hemoglobin, is in pre-clinical development for treating sickle cell disease and beta thalassemia, potentially positioning Editas Medicine as a leader in in vivo gene editing therapies.

The most recent analyst rating on (EDIT) stock is a Hold with a $7.00 price target. To see the full list of analyst forecasts on Editas Medicine stock, see the EDIT Stock Forecast page.

Editas Medicine Unveils In Vivo Gene Editing Data

On May 13, 2025, Editas Medicine announced in vivo proof of concept data for a liver target at the American Society of Gene and Cell Therapy Annual Meeting. The study demonstrated significant gene editing and protein upregulation in mice and monkeys, indicating potential for a first-in-class treatment for liver diseases. This advancement positions Editas as a leader in gene editing therapies, with plans to reveal more details about the target and development candidate later in the year.

The most recent analyst rating on (EDIT) stock is a Hold with a $7.00 price target. To see the full list of analyst forecasts on Editas Medicine stock, see the EDIT Stock Forecast page.

Editas Medicine Announces CFO Transition

On March 18, 2025, Editas Medicine announced the resignation of Erick Lucera, its Executive Vice President and Chief Financial Officer, effective March 28, 2025. Amy Parison, who has been with the company since January 2025, will succeed him, bringing extensive experience from her previous roles at Rubius Therapeutics and Vertex Pharmaceuticals. The transition includes new compensation terms for Ms. Parison, highlighting her strategic importance to the company.