HCW Biologics (HCWB) AI Stock Analysis

• Market Cap: $8.67M
• Dividend Yield: N/A
• Average Volume (3M): 973.04K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.93
• Revenue Growth: -78.77%
• EPS Growth: 61.32%
• Country: US
• Employees: 36
• Sector: Healthcare
• Sector Strength: 45
• Industry: Biotechnology
• EPS (TTM): -6.79
• Shares Outstanding: 2,151,607
• 10 Day Avg. Volume: 53,356
• 30 Day Avg. Volume: 973,045
• 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: 1.52
• Enterprise Value/Revenue: 9.10
• Enterprise Value/Gross Profit: 38.06
• Enterprise Value/Ebitda: -0.57
• 1Y Price Target: $35.00
• Price Target Upside: 617.21% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 40 Underperform
• Price Target: $4.50 ▼(-7.79% Downside)

HCW Biologics' overall stock score is primarily impacted by its poor financial performance and negative valuation metrics. The technical analysis suggests a bearish trend, further weighing down the score. The absence of earnings call data and corporate events means these factors do not influence the score.

Positive Factors

Strategic Partnerships

The partnership with Wugen provides HCW Biologics with potential revenue streams from equity interest and strengthens its strategic position in the biotech industry.

Innovative Product Pipeline

The development of HCW11-040 highlights HCW Biologics' focus on innovation in cancer therapies, potentially enhancing long-term growth through new product offerings.

Revenue from Licensing Agreements

Revenue from licensing agreements, such as with Wugen, provides a steady income stream, supporting financial stability and enabling further R&D investments.

Negative Factors

Declining Revenue

The negative revenue growth rate indicates challenges in market penetration or product sales, potentially impacting long-term financial health and operational sustainability.

High Leverage

High leverage and negative equity suggest financial instability, which could limit the company's ability to invest in growth opportunities and weather economic downturns.

Negative Cash Flow

Negative cash flow from operations indicates inefficiencies in converting revenue into cash, which may constrain the company's ability to fund operations and invest in growth.

HCW Biologics Business Overview & Revenue Model

Company Description

HCW Biologics Inc., a preclinical stage biopharmaceutical company, focuses on discovering and developing novel immunotherapies for chronic, low-grade inflammation, and age-related diseases. The company's lead products include HCW9218, which is an injectable immunotherapeutic for patients with pancreatic, ovarian, breast, prostate, and colorectal cancers, as well as pulmonary fibrosis; and HCW9302 for auto-immune diseases, such as alopecia areata and metabolic diseases. It also develops HCW9201, a cell-based therapy that is in Phase II clinical trials for the treatment of patients with relapsed/refractory acute myeloid leukemia; and HCW9206 for the treatment of acute myeloid leukemia. The company was incorporated in 2018 and is headquartered in Miramar, Florida.

How the Company Makes Money

HCW Biologics generates revenue primarily through the development and commercialization of its proprietary biologic products. The company aims to advance its pipeline candidates through clinical trials and eventually bring them to market, either independently or through strategic partnerships and licensing agreements with larger pharmaceutical companies. Additionally, HCW Biologics may receive revenue from research grants, collaborations, and milestone payments related to its technology platform. The company's earnings are heavily dependent on the successful development and commercialization of its therapeutic candidates, regulatory approvals, and its ability to secure partnerships with key industry players.

HCW Biologics Financial Statement Overview

Summary

HCW Biologics is facing severe financial challenges, with declining revenues, high operational losses, and significant leverage. The negative equity and cash flow issues highlight financial instability and potential risk for creditors.

Income Statement

HCW Biologics has experienced declining revenue over the past year, with a negative revenue growth rate. The gross profit margin is positive but very low, indicating challenges in managing costs or pricing. The net profit margin is deeply negative, reflecting significant losses in operations, compounded by negative EBIT and EBITDA margins, which highlight inefficiencies in core business operations.

Balance Sheet

The company's balance sheet shows a high debt-to-equity ratio due to negative equity, indicating potential financial distress. The return on equity is also negative, reflecting losses. The equity ratio is negative, a sign of financial instability and potential risk for creditors. Overall, the balance sheet suggests significant leverage and financial challenges.

Cash Flow

HCW Biologics has negative operating cash flow, indicating cash burn from core operations. The free cash flow is also negative, showing cash outflows exceeding inflows. However, financing activities have provided a cash influx, slightly offsetting cash burn. The operating cash flow to net income ratio is negative, suggesting challenges in converting revenue into cash.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.45M	2.57M	2.84M	6.72M	0.00	4.10M
Gross Profit	345.67K	959.40K	560.36K	2.59M	-543.60K	4.10M
EBITDA	-22.95M	-27.68M	-23.58M	-14.18M	-12.82M	-5.25M
Net Income	-24.75M	-30.02M	-24.99M	-14.72M	-12.36M	-5.78M
Balance Sheet
Total Assets	26.29M	30.24M	28.51M	46.81M	53.51M	15.40M
Cash, Cash Equivalents and Short-Term Investments	1.11M	4.67M	3.60M	32.06M	36.71M	8.46M
Total Debt	6.23M	13.69M	6.30M	6.41M	0.00	567.31K
Total Liabilities	34.85M	37.01M	15.05M	9.38M	2.32M	1.00M
Stockholders Equity	-8.56M	-6.77M	13.46M	37.43M	51.19M	14.40M
Cash Flow
Free Cash Flow	-14.27M	-14.49M	-28.72M	-20.66M	-11.02M	-10.62M
Operating Cash Flow	-14.14M	-14.23M	-22.51M	-10.39M	-10.98M	-10.43M
Investing Cash Flow	-131.91K	-261.62K	3.80M	14.71M	-35.02M	-186.68K
Financing Cash Flow	11.29M	15.57M	-14.53K	6.27M	49.27M	11.72M

HCW Biologics Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 4.88
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HCWB, the sentiment is Positive. The current price of 4.88 is above the 20-day moving average (MA) of 4.18, above the 50-day MA of 4.34, and below the 200-day MA of 8.84, indicating a neutral trend. The MACD of -0.06 indicates Negative momentum. The RSI at 59.29 is Neutral, neither overbought nor oversold. The STOCH value of 80.36 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HCWB.

HCW Biologics Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
DWTX	49 Neutral	$15.50M	―	-57.75%	―	―	-219.97%
CARM	43 Neutral	$10.97M	―	-362.79%	―	-48.01%	33.60%
APRE	40 Underperform	$8.39M	―	-67.54%	―	-34.07%	23.79%
HCWB	40 Underperform	$8.67M	―	-9999.00%	―	-78.77%	61.32%
TSBX	34 Underperform	―	―	―	―	―	37.25%

HCW Biologics Corporate Events

HCW Biologics Extends License Fee Payment Deadline

HCW Biologics Inc. and WY Biotech Co., Ltd. have agreed to extend the payment date for a $7.0 million upfront license fee under their worldwide exclusive license agreement to September 30, 2025. However, WY Biotech has not finalized necessary agreements with its partners and may not meet the new deadline, prompting ongoing negotiations for further revisions to the agreement.

The most recent analyst rating on (HCWB) stock is a Hold with a $4.50 price target. To see the full list of analyst forecasts on HCW Biologics stock, see the HCWB Stock Forecast page.

HCW Biologics Faces Nasdaq Non-Compliance Notice

On June 26, 2025, HCW Biologics Inc. announced that it had received formal notice from Nasdaq confirming its compliance with the Equity Rule for continued listing on the Nasdaq Capital Market. However, the company remains under a Panel Monitor until June 23, 2026, and must request a hearing to address any future non-compliance. On August 19, 2025, HCW Biologics was notified of non-compliance as of June 30, 2025, risking suspension of its securities from trading on Nasdaq unless a hearing is requested by August 26, 2025. The company plans to request a hearing to stay the suspension and is exploring options to regain compliance, though there is no assurance of success.

The most recent analyst rating on (HCWB) stock is a Hold with a $4.00 price target. To see the full list of analyst forecasts on HCW Biologics stock, see the HCWB Stock Forecast page.

HCW Biologics Amends Equity Purchase Agreement

On August 14, 2025, HCW Biologics Inc. and Square Gate Capital Master Fund, LLC- Series 4 amended their Equity Purchase Agreement to allow multiple purchases and sales of shares on the same trading day. This amendment could enhance the company’s financial flexibility by enabling more dynamic trading of its shares, potentially impacting its market positioning and stakeholder interests.

The most recent analyst rating on (HCWB) stock is a Buy with a $3.00 price target. To see the full list of analyst forecasts on HCW Biologics stock, see the HCWB Stock Forecast page.