Forte Biosciences (FBRX) AI Stock Analysis

• Market Cap: $366.16M
• Dividend Yield: N/A
• Average Volume (3M): 97.46K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.56
• Revenue Growth: N/A
• EPS Growth: 77.08%
• Country: US
• Employees: 14
• Sector: Healthcare
• Sector Strength: 45
• Industry: Biotechnology
• EPS (TTM): -0.99
• Shares Outstanding: 12,526,935
• 10 Day Avg. Volume: 83,173
• 30 Day Avg. Volume: 97,456
• PEG Ratio: 0.04
• Price to Book (P/B): 1.26
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -2.15
• Enterprise Value/Market Cap: 0.74
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: -4.92K
• Enterprise Value/Ebitda: -5.15
• 1Y Price Target: $65.00
• Price Target Upside: 123.83% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 56 Neutral
• Price Target: $36.00 ▲(23.97% Upside)
• Action: Reiterated Date: 02/03/26
• Date: Action: Reiterated 02/03/26

The score is held back primarily by weak financial performance (no revenue, widening losses, and heavy cash burn), despite the lower balance-sheet risk from having no debt. Technicals are a major positive with a clear uptrend and supportive momentum, while valuation remains challenged due to negative earnings and no indicated dividend.

Positive Factors

Clinical development progress

Advancing FB102 into a US-opened Phase 2 and multiple 2026 readouts across celiac, vitiligo and alopecia areata materially de-risks clinical development sequencing. Positive readouts could validate mechanism, support licensing or partnerships, and convert R&D progress into durable value drivers.

Debt-free balance sheet

Having no debt reduces solvency and interest-rate risk, preserving strategic optionality for a small biotech. This lowers mandatory cash outflows, enabling management to prioritize R&D milestones or partnership deals without near-term refinancing stress, supporting multi-month runway planning.

Targeting large multi-indication markets

A single candidate being evaluated across several high-unmet-need indications expands optionality and long-term commercial potential. Success in multiple indications increases likelihood of licensing or multi-indication approval, improving potential revenue diversification and partnership leverage.

Negative Factors

No revenue; widening losses

Zero top-line and materially larger net losses indicate the company remains entirely dependent on external financing to fund operations. Persistent negative returns dilute shareholder value absent clinical success, increasing the probability of future equity financing and long-term ownership dilution risk.

Heavy cash burn

Sustained ~-$44M annual cash burn closely tracks losses, consuming available resources quickly. Without revenue or definitive near-term monetization, the company will likely need additional capital or partnerships, creating execution and dilution risks that can materially affect long-term strategy.

Very small operating scale

A 14-person team limits internal capacity for parallel trials, regulatory preparation, and later-stage commercialization. Small scale increases reliance on external partners for development, manufacturing, and market access, which can slow execution and reduce control over long-term commercialization outcomes.

Forte Biosciences Business Overview & Revenue Model

Company Description

Forte Biosciences, Inc. operates as a clinical-stage biopharmaceutical company in the United States. It is developing FB-102 program that addresses various autoimmune diseases, such as vitiligo and alopecia areata. The company is headquartered in Dallas, Texas.

How the Company Makes Money

Forte Biosciences generates revenue through the development and commercialization of its therapeutic candidates. As a clinical-stage company, its primary source of potential revenue is from licensing agreements, collaborations, and partnerships with larger pharmaceutical companies. These partnerships can provide upfront payments, milestone payments, and royalties on future sales of successfully developed and commercialized products. However, as of the latest available information, Forte Biosciences does not yet have any approved products on the market and thus relies heavily on investor funding and strategic partnerships to finance its operations and continue its research and development efforts.

Forte Biosciences Financial Statement Overview

Summary

Development-stage profile with $0 revenue and materially widening losses (net income from about -$13.9M in 2022 to -$51.7M TTM). Cash burn is significant (operating cash flow -$44.4M TTM; FCF about -$44.6M TTM), partly offset by a debt-free balance sheet and increased equity in the most recent period.

Income Statement

FBRX is still pre-revenue (revenue is $0 across annual periods and TTM (Trailing-Twelve-Months)), and losses have widened materially versus prior years. Net income declined from about -$13.9M (2022) to -$35.5M (2024) and -$51.7M in TTM (Trailing-Twelve-Months), reflecting a higher ongoing cost base without offsetting revenue. With no top-line, margins are not meaningful and profitability remains the core weakness; the main positive is that losses are typical for development-stage biotech and can improve if clinical progress enables partnering or commercialization.

Balance Sheet

The balance sheet is conservatively financed with $0 total debt in every period shown, reducing financial risk and interest burden. Equity has increased from $52.5M (2024) to $84.1M in TTM (Trailing-Twelve-Months), and total assets rose to $97.1M, suggesting recent capital support. The key weakness is persistently negative returns on equity (TTM (Trailing-Twelve-Months) return on equity around -0.76), indicating ongoing value dilution risk if losses continue.

Cash Flow

Cash burn remains heavy: operating cash flow was -$30.7M (2024) and deteriorated to -$44.4M in TTM (Trailing-Twelve-Months), with free cash flow similarly negative at about -$44.6M TTM (Trailing-Twelve-Months). Free cash flow growth is positive in TTM (Trailing-Twelve-Months) versus 2024, but the absolute level of burn is still significant. A relative positive is that free cash flow roughly tracks net loss (free cash flow to net income ~1.0), implying losses are largely cash-based rather than driven by major non-cash adjustments—though that also means there is limited “accounting cushion” to slow the burn without cost actions or new funding.

Breakdown	TTM	Mar 2025	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	-55.00K	-39.00K	-9.00K	0.00	-36.00K	-54.00K
EBITDA	-52.48M	-35.44M	-32.48M	-13.86M	-21.45M	-46.43M
Net Income	-51.74M	-35.48M	-31.48M	-13.86M	-21.71M	-46.49M
Balance Sheet
Total Assets	97.09M	61.56M	38.98M	42.00M	43.31M	61.24M
Cash, Cash Equivalents and Short-Term Investments	93.41M	58.37M	37.13M	41.10M	42.04M	58.77M
Total Debt	0.00	0.00	0.00	0.00	0.00	0.00
Total Liabilities	12.99M	9.08M	3.67M	3.18M	1.76M	2.26M
Stockholders Equity	84.10M	52.48M	35.31M	38.82M	41.55M	58.98M
Cash Flow
Free Cash Flow	-44.57M	-30.78M	-28.79M	-8.19M	-16.68M	-18.42M
Operating Cash Flow	-44.42M	-30.75M	-28.71M	-8.19M	-16.68M	-18.42M
Investing Cash Flow	247.00K	-35.99M	47.00K	0.00	0.00	3.58M
Financing Cash Flow	121.23M	51.86M	24.68M	7.24M	-44.00K	66.67M

Forte Biosciences Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 29.04
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For FBRX, the sentiment is Neutral. The current price of 29.04 is below the 20-day moving average (MA) of 30.77, above the 50-day MA of 28.34, and above the 200-day MA of 16.25, indicating a neutral trend. The MACD of 0.30 indicates Positive momentum. The RSI at 48.26 is Neutral, neither overbought nor oversold. The STOCH value of 43.48 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for FBRX.

Forte Biosciences Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
PLX	59 Neutral	$239.66M	45.32	12.64%	―	35.42%	―
TARA	57 Neutral	$344.38M	-4.95	-49.42%	―	―	48.84%
FBRX	56 Neutral	$366.16M	-6.68	-110.72%	―	―	77.08%
SLS	56 Neutral	$539.86M	-14.08	-84.33%	―	―	59.04%
CHRS	52 Neutral	$243.64M	-1.08	―	―	-72.54%	-19972.15%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
IPHA	49 Neutral	$160.01M	-2.83	-271.32%	―	-75.77%	-31.24%