Gain Therapeutics (GANX) AI Stock Analysis

• Market Cap: $56.80M
• Dividend Yield: N/A
• Average Volume (3M): 507.93K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.53
• Revenue Growth: N/A
• EPS Growth: 49.82%
• Country: US
• Employees: 23
• Sector: Healthcare
• Sector Strength: 45
• Industry: Biotechnology
• EPS (TTM): -0.19
• Shares Outstanding: 35,948,605
• 10 Day Avg. Volume: 693,263
• 30 Day Avg. Volume: 507,925
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 0.86
• Enterprise Value/Revenue: 590.95
• Enterprise Value/Gross Profit: -764.05
• Enterprise Value/Ebitda: -2.82
• 1Y Price Target: $8.00
• Price Target Upside: 406.33% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 6

• Rating: 46 Neutral
• Price Target: ―

Gain Therapeutics is currently challenged by significant financial difficulties, with no revenue growth and persistent losses impacting profitability. These weaknesses heavily weigh down the stock score. Despite these challenges, technical analysis shows mixed signals, and recent positive corporate events related to Parkinson’s treatment offer some hope for future prospects. However, the negative valuation metrics further underscore the risks, leading to an overall cautious outlook.

Positive Factors

Innovative Platform

The proprietary SEE-Tx platform is a key competitive advantage, enabling Gain Therapeutics to develop novel therapies targeting misfolded proteins, which are implicated in many serious diseases. This innovation supports long-term growth potential in the biotech sector.

Pipeline Development

The advancement of GT-02287 in clinical trials for Parkinson’s disease represents a strategic move to enhance Gain Therapeutics' market presence. Successful trials could lead to significant breakthroughs in treatment, bolstering the company's future growth prospects.

Low Leverage

Low leverage provides Gain Therapeutics with financial flexibility and reduces the risk of financial distress. This stability is crucial for sustaining operations and investing in research and development over the long term.

Negative Factors

Revenue Challenges

The absence of revenue growth poses a significant challenge to Gain Therapeutics' financial health, limiting its ability to fund ongoing research and development. This issue impacts profitability and long-term sustainability.

Negative Cash Flow

Negative operating cash flow indicates difficulties in converting profits into cash, which can constrain the company's ability to finance operations and invest in growth initiatives. This ongoing liquidity challenge threatens long-term viability.

Declining Equity

The decline in equity and assets suggests weakening financial stability, which could hinder Gain Therapeutics' capacity to secure funding and sustain its operations. This trend poses a risk to the company's long-term strategic objectives.

Gain Therapeutics Business Overview & Revenue Model

Company Description

Gain Therapeutics, Inc., a biotechnology company, engages in developing various therapies to treat diseases caused by protein misfolding. It focuses on rare genetic diseases and neurological disorders. The company uses its Site-Directed Enzyme Enhancement Therapy platform to discover allosteric sites on misfolded proteins and identify proprietary small molecules that bind these sites, restore protein folding, and treat disease. It is developing structurally targeted allosteric regulator candidates to treat various diseases, including Morquio B, GM1 gangliosidosis (GM1), neuronopathic Gaucher disease, GBA1 Parkinson's, Krabbe, and Mucopolysaccharidosis type 1 diseases. The company was founded in 2017 and is based in Bethesda, Maryland.

How the Company Makes Money

Gain Therapeutics primarily makes money through partnerships, collaborations, and licensing agreements with larger pharmaceutical and biotechnology companies. These partnerships usually involve upfront payments, milestone payments based on the achievement of development or regulatory milestones, and royalties on future sales of products developed using Gain's technology. Additionally, the company may receive research grants and funding for specific projects aimed at discovering therapies for rare diseases.

Gain Therapeutics Financial Statement Overview

Summary

Gain Therapeutics is facing significant financial challenges. The lack of revenue growth and persistent losses hinder profitability. While the company maintains low leverage, declining equity and asset levels raise concerns about financial stability. The negative cash flow highlights liquidity issues, impacting the company's operational sustainability.

Income Statement

Gain Therapeutics has faced declining revenues over the years, with 2024 showing no revenue. The company has persistent negative net income and EBIT, indicating profitability challenges. Gross profit margins are negative when revenue is present, showing inefficiencies in operations.

Balance Sheet

The company maintains a relatively low level of debt with a debt-to-equity ratio of 0.03 for 2024, which is a positive aspect. However, the declining stockholders' equity and total assets indicate potential risks in financial stability. The equity ratio decreased significantly over the years, suggesting increased reliance on liabilities.

Cash Flow

Gain Therapeutics struggles with negative operating cash flow, though there is improvement in free cash flow due to reduced capital expenditures. The operating cash flow to net income ratio is unfavorable, showing issues in converting profits into cash. Free cash flow remains negative, reflecting ongoing liquidity challenges.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	82.24K	0.00	55.18K	140.11K	164.99K	28.88K
Gross Profit	-63.61K	-84.07K	-25.20K	75.94K	-7.00M	-2.23M
EBITDA	-17.21M	-19.79M	-22.17M	-17.78M	-13.82M	-3.47M
Net Income	-18.59M	-20.41M	-22.27M	-17.59M	-13.89M	-3.58M
Balance Sheet
Total Assets	9.83M	12.12M	18.61M	24.10M	38.99M	9.60M
Cash, Cash Equivalents and Short-Term Investments	6.69M	10.39M	16.79M	20.14M	36.88M	7.49M
Total Debt	229.17K	653.01K	1.03M	1.27M	1.61M	1.26M
Total Liabilities	6.14M	4.78M	6.03M	5.22M	4.17M	3.40M
Stockholders Equity	3.70M	7.34M	12.58M	18.88M	34.82M	6.20M
Cash Flow
Free Cash Flow	-9.53M	-18.90M	-18.88M	-14.81M	-12.46M	-3.26M
Operating Cash Flow	-9.53M	-18.87M	-18.87M	-14.69M	-12.37M	-3.24M
Investing Cash Flow	-43.45K	4.98M	10.22M	-14.77M	-94.21K	-20.83K
Financing Cash Flow	7.99M	13.01M	12.64M	-78.77K	41.77M	10.49M

Gain Therapeutics Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 1.58
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GANX, the sentiment is Neutral. The current price of 1.58 is below the 20-day moving average (MA) of 1.79, below the 50-day MA of 1.68, and below the 200-day MA of 1.90, indicating a neutral trend. The MACD of -0.02 indicates Positive momentum. The RSI at 48.82 is Neutral, neither overbought nor oversold. The STOCH value of 24.44 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for GANX.

Gain Therapeutics Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ICCC	54 Neutral	51.11M	30.04	5.90%	―	21.75%	0.00%
KRON	51 Neutral	53.65M	-0.82	-98.29%	―	21.15%	46.44%
PDSB	50 Neutral	54.08M	-1.25	0.00%	―	0.00%	25.26%
GANX	46 Neutral	$56.80M	―	-240.21%	―	―	49.82%
CUE	45 Neutral	55.51M	-1.33	-232.44%	―	-0.11%	43.47%
STRO	43 Neutral	72.29M	-0.36	649.92%	―	-38.31%	-36.91%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%

Gain Therapeutics Corporate Events

Gain Therapeutics Unveils New Parkinson’s Treatment Data

On April 10, 2025, Gain Therapeutics announced the presentation of new preclinical data and the design of a Phase 1b clinical study for GT-02287, a promising treatment for Parkinson’s disease. The data, presented at the AD/PD 2025 International Conference, highlighted GT-02287’s potential to modify disease progression by reducing key biomarkers of neurodegeneration and inflammation in preclinical models. The ongoing Phase 1b study aims to assess the safety and pharmacokinetics of GT-02287 in Parkinson’s patients, with results expected to inform a Phase 2 study in late 2025. This development underscores Gain Therapeutics’ strategic positioning in the biotech industry, potentially offering a novel therapeutic approach for Parkinson’s disease and enhancing its market presence.

Spark’s Take on GANX Stock

According to Spark, TipRanks’ AI Analyst, GANX is a Underperform.

Gain Therapeutics is currently facing financial struggles, particularly in terms of revenue and cash flow, which significantly impact its stock score. Technical indicators suggest the stock is in a bearish phase, adding to the cautious outlook. However, recent corporate events, such as progress in clinical trials and leadership changes, provide some positive momentum and potential for future growth.

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

Gain Therapeutics Advances GT-02287 in Parkinson’s Trials

On February 6, 2025, Gain Therapeutics announced the advancement of their clinical development for GT-02287, a promising therapy for Parkinson’s disease. Following a successful Phase 1 study, they have begun a Phase 1b trial in Australia, aiming to demonstrate its disease-modifying effects. The company plans to continue its research and potentially expand trials, leveraging positive feedback from the FDA and maintaining strong financial health to support operations.