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Galectin Therapeutics (GALT) (GALT)
:GALT

Galectin Therapeutics (GALT) AI Stock Analysis

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Galectin Therapeutics

(NASDAQ:GALT)

Rating:35Underperform
Price Target:
Galectin Therapeutics is a high-risk investment due to its challenging financial position, characterized by no revenues and high financial losses. However, the company's progress in clinical trials and potential partnerships offer a positive long-term outlook. Technical indicators suggest mixed short-term momentum, while traditional valuation metrics are less applicable due to ongoing losses and the absence of dividends.
Positive Factors
Clinical development
Belapectin is the only therapy in development for MASH cirrhosis and portal hypertension, addressing a patient population with no approved therapies.
Clinical outcomes
Belapectin 2 mg/kg exhibited a significant positive effect on HVPG in patients with MASH cirrhosis without varices at baseline, indicating its clinical potential.
Negative Factors
Clinical trial challenges
Belapectin's clinical journey has been bumpy, with neither dose achieving the primary endpoint in early trials.
Investor sentiment
Investor sentiment on GALT is now rather poor, given this is the second Phase 2b trial to miss its primary endpoint.

Galectin Therapeutics (GALT) vs. SPDR S&P 500 ETF (SPY)

Galectin Therapeutics Business Overview & Revenue Model

Company DescriptionGalectin Therapeutics Inc. is a biotechnology company focused on developing innovative therapies to improve the lives of patients with chronic liver diseases and cancer. The company operates in the biotechnology and pharmaceutical sectors, with a core emphasis on discovering and developing drugs targeting galectin proteins, which are critical in numerous disease processes. Galectin Therapeutics aims to leverage its proprietary technology to create novel treatments, primarily targeting fibrosis and cancer.
How the Company Makes MoneyGalectin Therapeutics primarily makes money through research and development collaborations, licensing agreements, and milestone payments related to its drug candidates. The company partners with larger pharmaceutical firms to advance the development and commercialization of its therapies, receiving payments for achieving specific research and development milestones. Additionally, Galectin Therapeutics may earn revenue through licensing its proprietary technology and intellectual property to other companies, which can include upfront payments, royalties, and other financial incentives contingent upon the successful commercialization of their drug candidates.

Galectin Therapeutics Financial Statement Overview

Summary
Galectin Therapeutics exhibits the financial profile of an early-stage biotechnology company with no revenue production and increasing financial losses. The balance sheet is strained, marked by high debt and negative equity, suggesting potential financial risk. Cash flow trends demonstrate reliance on external financing to sustain operations, typical for firms focused on R&D in the biotech sector. This financial position underscores the importance of successful future product development and commercialization.
Income Statement
15
Very Negative
Galectin Therapeutics has consistently reported zero revenue over the last several years, indicating a lack of commercialized products. The net income has been negative, with losses growing from $13.38 million in 2019 to $47.05 million in 2024. This trend reflects increasing operating costs without offsetting revenue, a common challenge for biotechnology firms in the R&D phase.
Balance Sheet
10
Very Negative
The company has negative stockholders' equity, which worsened from $45.60 million positive in 2019 to $103.07 million negative in 2024, indicating high leverage and financial instability. The total debt has increased significantly, while assets remain low, reflecting potential liquidity issues and reliance on debt financing.
Cash Flow
20
Very Negative
Operating cash flow has been negative, indicating cash burn typical for pre-revenue biotech firms. However, the company has managed to secure financing cash flow intermittently, indicating some success in raising funds to support operations. Despite this, free cash flow remains negative, highlighting ongoing financial challenges.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue0.000.000.000.000.000.00
Gross Profit-9.00K0.00-33.00K-32.00K-41.00K-36.00K
EBITDA-31.04M-41.47M-38.24M-38.27M-30.00M-23.34M
Net Income-45.19M-47.05M-41.07M-38.78M-30.53M-23.46M
Balance Sheet
Total Assets9.53M17.50M28.20M21.29M41.83M29.60M
Cash, Cash Equivalents and Short-Term Investments7.43M15.12M25.66M18.59M39.65M27.14M
Total Debt107.92M106.25M71.81M39.87M29.06M44.00K
Total Liabilities121.79M120.56M88.44M53.48M39.21M5.41M
Stockholders Equity-113.98M-103.07M-60.24M-32.19M2.62M24.19M
Cash Flow
Free Cash Flow-37.35M-41.77M-32.97M-31.06M-24.31M-20.60M
Operating Cash Flow-37.35M-41.77M-32.97M-31.06M-24.31M-20.60M
Investing Cash Flow0.000.000.000.000.000.00
Financing Cash Flow21.23M31.23M40.03M10.00M36.81M263.00K

Galectin Therapeutics Technical Analysis

Technical Analysis Sentiment
Positive
Last Price2.35
Price Trends
50DMA
1.50
Positive
100DMA
1.48
Positive
200DMA
1.85
Positive
Market Momentum
MACD
0.32
Negative
RSI
61.39
Neutral
STOCH
42.84
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GALT, the sentiment is Positive. The current price of 2.35 is above the 20-day moving average (MA) of 1.75, above the 50-day MA of 1.50, and above the 200-day MA of 1.85, indicating a bullish trend. The MACD of 0.32 indicates Negative momentum. The RSI at 61.39 is Neutral, neither overbought nor oversold. The STOCH value of 42.84 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GALT.

Galectin Therapeutics Risk Analysis

Galectin Therapeutics disclosed 38 risk factors in its most recent earnings report. Galectin Therapeutics reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks

Galectin Therapeutics Peers Comparison

Overall Rating
UnderperformOutperform
Sector (51)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
52
Neutral
$59.35M-93.42%142.42%53.38%
51
Neutral
$7.41B0.32-61.11%2.34%16.99%1.69%
49
Neutral
$106.62M-61.14%-100.00%-24.28%
37
Underperform
$84.71M-63.22%-100.00%-26.44%
35
Underperform
$158.86M48.74%-1.60%
35
Underperform
$95.27M-54.64%1.27%
VOVOR
33
Underperform
$69.28M-125.43%2.98%
* Healthcare Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
GALT
Galectin Therapeutics
2.35
0.15
6.82%
CRVO
CervoMed
7.10
-10.07
-58.65%
ANIX
Anixa Biosciences
3.38
1.00
42.02%
PLRX
Pliant Therapeutics
1.30
-9.36
-87.80%
VOR
Vor Biopharma
0.89
-0.25
-21.93%
HLVX
HilleVax, Inc
1.95
-11.42
-85.42%

Galectin Therapeutics Corporate Events

Product-Related AnnouncementsBusiness Operations and Strategy
Galectin Therapeutics Updates Investors on Clinical Trials
Positive
Mar 5, 2025

On March 5, 2025, Galectin Therapeutics announced the availability of its updated corporate presentation on its website, intended for use in investor and analyst meetings. The presentation highlights the company’s focus on advancing its clinical trials for Belapectin, which has shown promising results in reducing new varices in MASH cirrhosis patients and in cancer treatment when combined with checkpoint inhibitors. The company is also exploring potential partnerships and funding opportunities to support its ongoing research and development efforts.

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: May 03, 2025