Generation Bio (GBIO) AI Stock Analysis

• Market Cap: $35.36M
• Dividend Yield: N/A
• Average Volume (3M): 52.92K
• Price to Earnings (P/E): ―
• Beta (1Y): 2.28
• Revenue Growth: -17.82%
• EPS Growth: 57.32%
• Country: US
• Employees: 115
• Sector: Healthcare
• Sector Strength: 45
• Industry: Biotechnology
• EPS (TTM): -0.82
• Shares Outstanding: 6,735,544
• 10 Day Avg. Volume: 46,579
• 30 Day Avg. Volume: 52,917
• PEG Ratio: -0.81
• Price to Book (P/B): 0.82
• Price to Sales (P/S): 3.55
• P/FCF Ratio: -0.78
• Enterprise Value/Market Cap: -0.98
• Enterprise Value/Revenue: -2.26
• Enterprise Value/Gross Profit: -2.53
• Enterprise Value/Ebitda: 0.57
• 1Y Price Target: $11.00
• Price Target Upside: 119.12% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 6
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 39 Underperform
• Price Target: $5.00 ▼(-0.40% Downside)

Generation Bio's overall stock score is primarily impacted by its poor financial performance and challenging valuation metrics. The technical analysis indicates bearish momentum, further contributing to the low score. The absence of earnings call data and corporate events did not influence the score.

Positive Factors

Revenue Growth

Strong revenue growth indicates increasing demand for Generation Bio's genetic medicine solutions, supporting long-term business expansion.

Innovative Technology

The proprietary non-viral gene delivery platform offers a competitive edge by providing safer and potentially curative therapies, enhancing market position.

Strategic Partnerships

Strategic partnerships with pharmaceutical companies and research institutions provide financial support and expand development capabilities.

Negative Factors

High Leverage

Significant leverage poses financial risks, potentially limiting the company's ability to invest in growth and manage economic downturns.

Profitability Challenges

Persistent profitability issues indicate operational inefficiencies and high costs, which could hinder long-term financial sustainability.

Leadership Transition

Leadership changes can create uncertainty and disrupt strategic direction, potentially impacting the company's execution and market confidence.

Generation Bio Business Overview & Revenue Model

Company Description

Generation Bio (GBIO) is a biotechnology company focused on developing genetic medicines for patients with rare diseases. The company specializes in its proprietary non-viral gene delivery platform, which aims to provide safer and more effective treatments by delivering genetic material directly to cells without the use of viral vectors. Generation Bio's core products are designed to address genetic disorders by utilizing its innovative technology to enable durable and potentially curative therapies.

How the Company Makes Money

Generation Bio generates revenue primarily through partnerships and collaborations with pharmaceutical companies and research institutions. These partnerships often involve funding for research and development in exchange for rights to co-develop or commercialize the therapies. Additionally, the company may receive milestone payments and royalties from its partners based on the progress of the products developed through their platform. The potential for revenue is also supported by grants and funding from government and nonprofit organizations interested in advancing genetic medicine solutions.

Generation Bio Financial Statement Overview

Summary

Generation Bio faces significant financial challenges, with persistent losses and high leverage. Despite a strong gross profit margin, the company struggles with profitability and cash flow management. High debt levels and negative returns on equity highlight potential risks, requiring strategic improvements to enhance financial health.

Income Statement

Generation Bio's income statement shows significant challenges with profitability. The TTM data indicates a negative net profit margin of -341.12%, and a declining revenue growth rate of -13.55%. Despite a high gross profit margin of 96.40%, the company struggles with negative EBIT and EBITDA margins, reflecting operational inefficiencies and high costs relative to revenue.

Balance Sheet

The balance sheet reveals a high debt-to-equity ratio of 1.58 in the TTM, indicating significant leverage. The return on equity is negative at -91.07%, suggesting that the company is not generating sufficient returns on shareholders' equity. The equity ratio is not explicitly calculated, but the high leverage poses a risk to financial stability.

Cash Flow

Cash flow analysis shows negative operating and free cash flows, with a slight improvement in free cash flow growth at -4.96% in the TTM. The operating cash flow to net income ratio is negative, indicating cash flow challenges. The free cash flow to net income ratio is slightly above 1, suggesting that free cash flow is marginally covering net losses.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	15.27M	19.89M	5.90M	0.00	0.00	0.00
Gross Profit	13.68M	-27.88M	-71.03M	-5.13M	-4.53M	-3.43M
EBITDA	-61.09M	-74.26M	-133.30M	-136.05M	-114.57M	-77.68M
Net Income	-62.63M	-131.67M	-126.61M	-136.64M	-119.15M	-80.52M
Balance Sheet
Total Assets	121.90M	231.20M	374.76M	376.26M	476.77M	294.15M
Cash, Cash Equivalents and Short-Term Investments	89.62M	185.22M	264.36M	279.09M	375.14M	262.33M
Total Debt	26.10M	93.56M	97.89M	81.71M	80.83M	0.00
Total Liabilities	71.34M	144.99M	171.63M	93.77M	95.03M	26.14M
Stockholders Equity	50.56M	86.20M	203.13M	282.49M	381.75M	268.01M
Cash Flow
Free Cash Flow	-114.73M	-90.96M	-60.14M	-111.25M	-97.78M	-75.66M
Operating Cash Flow	-113.65M	-88.56M	-52.74M	-102.45M	-91.82M	-70.14M
Investing Cash Flow	113.72M	94.53M	-9.70M	-192.51M	193.05M	-205.20M
Financing Cash Flow	215.00K	250.00K	35.82M	12.99M	214.67M	323.10M

Generation Bio Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 5.02
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GBIO, the sentiment is Negative. The current price of 5.02 is below the 20-day moving average (MA) of 5.90, below the 50-day MA of 5.95, and below the 200-day MA of 5.11, indicating a neutral trend. The MACD of -0.26 indicates Positive momentum. The RSI at 31.19 is Neutral, neither overbought nor oversold. The STOCH value of 9.09 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for GBIO.

Generation Bio Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
XLO	54 Neutral	$41.56M	-1.05	-277.74%	―	536.44%	63.68%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
FGEN	46 Neutral	$44.48M	-21.04	―	―	-69.19%	98.78%
GRCE	46 Neutral	$42.73M	-3.75	-16.78%	―	―	32.31%
LVTX	44 Neutral	$42.75M	-1.54	-90.07%	―	-32.55%	-15.83%
OKUR	42 Neutral	$41.94M	-0.58	-90.56%	―	―	68.13%
GBIO	39 Underperform	$35.36M	-0.48	-80.81%	―	-17.82%	57.32%

Generation Bio Corporate Events

Generation Bio CEO Resignation and Leadership Transition

On October 21, 2025, Generation Bio announced the resignation of Geoff McDonough as CEO, effective October 31, 2025. He will continue as Chairman of the Board. Yalonda Howze, previously the Chief Legal Officer, was appointed as Interim CEO and President. The company is undergoing a leadership transition amidst a strategic alternatives review process, with consulting agreements arranged for outgoing executives to ensure continuity.

The most recent analyst rating on (GBIO) stock is a Hold with a $6.00 price target. To see the full list of analyst forecasts on Generation Bio stock, see the GBIO Stock Forecast page.

Generation Bio Co. Warns Stakeholders of Persistent Business Risks in 2024 Report

Generation Bio Co. faces significant business risks that could impact its financial health and future performance, as highlighted in their 2024 Annual Report. The company advises stakeholders to review these risk factors carefully, as they remain largely unchanged from the previous year’s report. Any updates to these risks could potentially alter the company’s strategic direction or operational outcomes. Stakeholders should remain vigilant and informed about these potential challenges to make well-informed decisions.

Generation Bio Co. Reports Promising Data and Financial Results

Generation Bio Co., a biotechnology company, is pioneering advancements in genetic medicine for T cell-driven autoimmune diseases through its innovative cell-targeted lipid nanoparticle (ctLNP) delivery system. In its latest earnings report, Generation Bio announced promising new data on its ctLNP system, which successfully delivered siRNA to T cells in non-human primates, marking a significant milestone in genetic medicine. The company is actively exploring strategic alternatives to enhance shareholder value, including potential mergers or acquisitions, while undergoing a strategic restructuring to streamline operations.