Gossamer Bio (GOSS) AI Stock Analysis

• Market Cap: $217.75M
• Dividend Yield: N/A
• Average Volume (3M): 1.59M
• Price to Earnings (P/E): ―
• Beta (1Y): 2.22
• Revenue Growth: N/A
• EPS Growth: 81.94%
• Country: US
• Employees: 144
• Sector: Healthcare
• Sector Strength: 69
• Industry: Biotechnology
• EPS (TTM): -0.26
• Shares Outstanding: 227,221,270
• 10 Day Avg. Volume: 1,354,368
• 30 Day Avg. Volume: 1,592,501
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): 2.75
• Price to Cash Flow (P/CF): -2.20
• P/FCF Ratio: 0.00
• 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: $8.75
• Price Target Upside: 811.46% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 4

Gossamer Bio's overall stock score is low, driven primarily by significant financial challenges including high leverage and consistent losses. The mixed technical indicators show some short-term recovery potential, but the negative P/E ratio and lack of dividends highlight valuation concerns. Despite recent revenue growth, the company's financial health remains unstable, limiting its attractiveness as an investment.

Positive Factors

Market Potential

Upcoming expansion into PH-ILD may unlock blockbuster potential, in the view of the management.

Strategic Collaboration

The strategic collaboration with Chiesi for the co-development and commercialization of seralutinib in PAH and PH-ILD further validates the potential of the program and strengthens its financial position.

Therapeutic Advancement

Seralutinib is poised to redefine the treatment landscape for pulmonary arterial hypertension and pulmonary hypertension associated with interstitial lung disease.

Negative Factors

Clinical Trial Results

The topline Ph.2 TORREY study data disappointed, although there were encouraging signals in severe patients.

Enrollment Challenges

Signals detected with seralutinib from TORREY could be real, and the company has the potential to eke out a win, assuming GOSS enrolls more severe patients in Phase 3 PROSERA.

Investor Sentiment

Investor sentiment on GOSS has greatly contracted following Phase 2 TORREY data, making some wonder if the company can pull off a win.

Gossamer Bio Business Overview & Revenue Model

Company Description

Gossamer Bio, Inc., a clinical-stage biopharmaceutical company, focuses on discovering, acquiring, developing, and commercializing therapeutics in the disease areas of immunology, inflammation, and oncology in the United States. The company is developing GB002, an inhaled, small molecule, platelet-derived growth factor receptor, or PDGFR, colonystimulating factor 1 receptor, or CSF1R, and c-KIT inhibitor for the treatment of pulmonary arterial hypertension; GB004, a gut-targeted, oral small molecule for the treatment of inflammatory bowel disease; GB5121, an oral, irreversible, covalent, small molecule inhibitor of Bruton's Tyrosine Kinase for the treatment of primary central nervous system lymphoma; and GB7208, an oral, small molecule, BTK inhibitor for the treatment of multiple sclerosis. It has license agreements with Pulmokine, Inc. to develop and commercialize GB002 and related backup compounds; and Aerpio Pharmaceuticals, Inc. to develop and commercialize GB004 and related compounds. The company was formerly known as FSG, Bio, Inc. and changed its name to Gossamer Bio, Inc. in 2017. Gossamer Bio, Inc. was incorporated in 2015 and is headquartered in San Diego, California.

How the Company Makes Money

Gossamer Bio makes money primarily through the development and eventual commercialization of its proprietary therapeutic candidates. The company's revenue model is heavily reliant on the successful progression of its drug candidates through clinical trials, followed by regulatory approval and market entry. Key revenue streams include potential milestone payments, licensing agreements, and royalties from partnerships with larger pharmaceutical companies. Additionally, Gossamer Bio may generate income through strategic collaborations that provide funding for research and development activities, as well as potential future sales of approved drugs. The company's earnings are significantly influenced by the successful navigation of the regulatory landscape and the potential market demand for its therapies upon approval.

Gossamer Bio Financial Statement Overview

Summary

Gossamer Bio faces significant financial challenges, including high leverage and consistent losses. Despite a revenue increase in 2024, the company remains unprofitable, with minimal equity compared to liabilities and negative cash flow, indicating a need for substantial improvement in financial health.

Income Statement

Gossamer Bio showed a significant revenue increase in 2024, but the company remains unprofitable with negative net income, EBIT, and EBITDA margins. The gross profit margin is nonexistent in prior years due to no revenue, indicating historical financial struggles.

Balance Sheet

The company has a very high debt-to-equity ratio and negative equity in previous years, suggesting high financial leverage and risk. While equity became positive in 2024, it remains minimal compared to total liabilities, indicating ongoing financial instability.

Cash Flow

Operating cash flow is consistently negative, reflecting poor cash generation relative to net income. However, the significant improvement in free cash flow in 2024 suggests efforts to stabilize cash flow, although it remains negative.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
114.70M	0.00	0.00	0.00	0.00
	Gross Profit
114.70M	-4.38M	-4.43M	-5.17M	-4.27M
	EBIT
-59.92M	-183.76M	-218.59M	-216.12M	-233.96M
	EBITDA
-39.97M	-172.15M	-211.07M	-209.32M	-233.96M
	Net Income Common Stockholders
-56.53M	-179.82M	-240.23M	-249.08M	-251.58M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
294.52M	296.43M	255.68M	325.22M	512.63M
	Total Assets
315.29M	311.92M	272.45M	343.66M	539.43M
	Total Debt
202.88M	212.46M	225.74M	185.24M	183.73M
	Net Debt
156.81M	180.35M	113.77M	1.83M	-302.32M
	Total Liabilities
285.80M	249.15M	260.37M	222.19M	218.75M
	Stockholders Equity
29.49M	62.77M	-1.03B	-811.53M	-577.53M
Cash Flow		Free Cash Flow
-3.47M	-159.16M	-187.51M	-190.51M	-201.24M
	Operating Cash Flow
-3.47M	-159.16M	-187.03M	-188.89M	-176.36M
	Investing Cash Flow
29.02M	-110.97M	-1.03M	-117.43M	215.34M
	Financing Cash Flow
-11.49M	190.15M	117.09M	3.33M	312.54M

Gossamer Bio Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 0.96
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GOSS, the sentiment is Neutral. The current price of 0.96 is above the 20-day moving average (MA) of 0.89, below the 50-day MA of 1.13, and below the 200-day MA of 0.97, indicating a neutral trend. The MACD of -0.07 indicates Negative momentum. The RSI at 49.47 is Neutral, neither overbought nor oversold. The STOCH value of 77.46 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for GOSS.

Gossamer Bio Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CMPX	60 Neutral	$293.16M	―	-36.07%	―	―	-7.93%
Sector *	51 Neutral	$5.32B	3.32	-40.25%	2.90%	17.93%	2.14%
AVIR	47 Neutral	$245.46M	―	-33.88%	―	―	-22.66%
IMMP	46 Neutral	$233.99M	―	-31.16%	―	―	15.17%
TERN	45 Neutral	$266.26M	―	-29.56%	―	―	10.98%
ANNX	38 Underperform	$209.55M	―	-50.84%	―	―	43.21%
GOSS	31 Underperform	$217.75M	―	-122.54%	―	―	81.94%