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Inhibikase Therapeutics (IKT)
NASDAQ:IKT
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Inhibikase Therapeutics
(NASDAQ:IKT)
33Underperform
Positive Factors
Clinical Development
IkT-001Pro is being developed to address unmet needs in pulmonary arterial hypertension, representing a significant opportunity despite being a rare disease.
FDA Approval
Inhibikase received IND-clearance from the FDA for the Phase 2b 702 trial of IkT-001Pro in pulmonary arterial hypertension.
Funding
Inhibikase announced the closing of a private placement with gross proceeds of approximately $110M.
Negative Factors
Analyst Rating
Analyst's rating downgraded to Neutral from Buy due to the company’s decision to halt further development of risvodetinib.
Earnings Performance
Inhibikase reported 4Q24 EPS of ($0.17), which was worse than the estimated ($0.10).
Product Development
The company halted further development of risvodetinib and there is no clinical data yet for IkT-001Pro in PAH, leading to a Neutral rating on the stock.
Inhibikase Therapeutics (IKT) vs. S&P 500 (SPY)
Market Cap
$146.82M
Dividend YieldN/A
Average Volume (3M)147.56K
Price to Earnings (P/E)―
Beta (1Y)1.60
Revenue Growth-100.00%
EPS Growth38.72%
CountryUS
Employees15
SectorHealthcare
Sector Strength79
IndustryBiotechnology
Share Statistics
EPS (TTM)-2.22
Shares Outstanding74,341,540
10 Day Avg. Volume136,412
30 Day Avg. Volume147,557
Financial Highlights & Ratios
PEG RatioN/A
Price to Book (P/B)N/A
Price to Sales (P/S)812.56
Price to Cash Flow (P/CF)-8.20
P/FCF Ratio0.00
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price Target
$8.00Price Target Upside334.78% Upside
Rating ConsensusHold
Number of Analyst Covering1
Inhibikase Therapeutics Business Overview & Revenue Model
Company DescriptionInhibikase Therapeutics, Inc. (IKT) is a clinical-stage pharmaceutical company focused on developing therapeutics for the treatment of neurodegenerative diseases and viral infections. The company operates primarily in the biotechnology sector and aims to improve the lives of patients by leveraging its proprietary RAMP™ technology platform to discover and develop novel, disease-modifying therapies. Inhibikase's core product candidates include treatments targeting Parkinson's disease and other related disorders.
How the Company Makes MoneyInhibikase Therapeutics makes money through the development and commercialization of its pharmaceutical products. The company's revenue model is primarily based on advancing its drug candidates through clinical trials and achieving successful regulatory approvals. Key revenue streams include potential partnerships with larger pharmaceutical companies for the co-development or licensing of its therapies, as well as possible future revenues from product sales once the drugs reach the market. Additionally, the company may receive funding through research grants, collaborations, and milestone payments from strategic alliances, which help support its research and development efforts.
Inhibikase Therapeutics Financial Statement Overview
Summary
Inhibikase Therapeutics faces financial difficulties with declining revenues and continuous net losses. Despite a strong equity position primarily from financing activities, the company does not generate positive cash flow from operations, indicating reliance on external funding.Income Statement
Inhibikase Therapeutics shows diminishing total revenue over the years, with a sharp drop to zero in the latest year. The company consistently reports negative net income, indicating ongoing losses. Margins such as EBIT and EBITDA are negative due to high expenses relative to the revenue. Revenue growth is negative when comparing to previous periods, highlighting challenges in revenue generation.15
Very Negative
Balance Sheet
The company's balance sheet reflects a strong equity position relative to debt, as seen in the low debt-to-equity ratio. However, the high level of equity is primarily due to financing activities rather than retained earnings. The equity ratio is high, reflecting the company's reliance on equity financing. There is minimal debt, reducing leverage risks, but the persistent losses affect return on equity negatively.30
Negative
Cash Flow
Operating cash flow remains negative, indicating the company is not generating positive cash from its core operations. While free cash flow is negative, indicating the company is spending more than it earns, there is considerable financing inflow, which supports liquidity. The ratios of cash flow to net income are unfavorable due to consistent net losses.25
Negative
| Breakdown | |||||
| TTM | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 | Dec 2020 |
|---|---|---|---|---|---|
| Income Statement | Total Revenue | ||||
| 1.00 | 0.00 | 260.50K | 123.44K | 3.10M | 698.47K | Gross Profit |
| -19.70K | 0.00 | -13.36M | 116.72K | -8.26M | -195.33K | EBIT |
| -20.06M | -28.59M | -20.09M | -18.13M | -14.77M | -2.82M | EBITDA |
| -20.04M | -28.59M | -19.91M | -18.12M | -14.77M | -2.82M | Net Income Common Stockholders |
| -19.57M | -27.52M | -19.03M | -17.91M | -14.81M | -2.88M |
| Balance Sheet | Cash, Cash Equivalents and Short-Term Investments | ||||
| 9.75M | 97.54M | 13.25M | 23.05M | 40.75M | 13.95M | Total Assets |
| 11.07M | 98.60M | 14.51M | 24.94M | 42.47M | 14.78M | Total Debt |
| 209.49K | 110.52K | 622.00K | 351.29K | 248.91K | 319.00K | Net Debt |
| -2.14M | -56.38M | -8.54M | -6.84M | -40.50M | -13.63M | Total Liabilities |
| 4.29M | 3.73M | 3.53M | 3.90M | 4.05M | 5.00M | Stockholders Equity |
| 6.78M | 94.87M | 10.98M | 21.04M | 38.42M | 9.78M |
| Cash Flow | Free Cash Flow | ||||
| -17.23M | -19.15M | -18.10M | -17.59M | -14.30M | -1.13M | Operating Cash Flow |
| -17.24M | -19.15M | -18.09M | -17.35M | -14.30M | -1.13M | Investing Cash Flow |
| -358.07K | -37.00M | 11.66M | -16.01M | 0.00 | 0.00 | Financing Cash Flow |
| 3.66M | 103.48M | 8.41M | -204.77K | 41.09M | 15.06M |
Inhibikase Therapeutics Technical Analysis
Negative
1.84
Price Trends
2.36
Negative
2.62
Negative
2.08
Negative
Market Momentum
-0.05
Positive
38.54
Neutral
15.32
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IKT, the sentiment is Negative. The current price of 1.84 is below the 20-day moving average (MA) of 2.25, below the 50-day MA of 2.36, and below the 200-day MA of 2.08, indicating a bearish trend. The MACD of -0.05 indicates Positive momentum. The RSI at 38.54 is Neutral, neither overbought nor oversold. The STOCH value of 15.32 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IKT.
Inhibikase Therapeutics Risk Analysis
Inhibikase Therapeutics disclosed 89 risk factors in its most recent earnings report. Inhibikase Therapeutics reported the most risks in the “Tech & Innovation” category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Inhibikase Therapeutics Peers Comparison
Overall Rating
UnderperformOutperform
Sector (48)
Financial Indicators
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
57 Neutral | $83.58M | ― | -197.92% | ― | ― | 76.04% | |
48 Neutral | $6.86B | 1.11 | -50.22% | 2.47% | 16.71% | 1.53% | |
39 Underperform | $47.02M | ― | -149.03% | ― | 69.16% | 32.51% | |
38 Underperform | $27.48M | ― | -3159.09% | ― | ― | 68.75% | |
35 Underperform | $64.50M | ― | -49.89% | ― | ― | 65.02% | |
33 Underperform | $146.82M | ― | -52.00% | ― | -100.00% | 38.72% | |
26 Underperform | $10.15M | ― | -110.77% | ― | ― | 18.61% |
* Healthcare Sector Average
Performance Comparison
IKT
Inhibikase Therapeutics
1.84
-0.37
-16.74%
CUE
Cue Biopharma
0.68
-1.36
-66.67%
XCUR
Exicure
13.00
10.08
345.21%
ANVS
Annovis Bio
1.31
-10.15
-88.57%
ATHA
Athira Pharma
0.25
-2.17
-89.67%
CNTX
Context Therapeutics
0.60
-0.70
-53.85%
Inhibikase Therapeutics Earnings Call Summary
Earnings Call Date: Mar 27, 2025 | % Change Since: -22.36% | Next Earnings Date: May 19, 2025
Earnings Call Sentiment Neutral
The earnings call presented a mix of positive developments, such as the completion of trial enrollments and financial strengthening, alongside challenges like observed adverse events and increased expenses. The potential for significant advancements, particularly in PAH and Parkinson's disease treatments, is promising, though tempered by some operational hurdles.Highlights
Completion of Phase II 201 Trial Enrollment
Inhibikase Therapeutics has completed enrollment for the Phase II 201 Trial for risvodetinib in Parkinson's disease, marking a significant milestone. Top line data from the trial is expected in November.
Progress with IkT-001Pro for PAH
The company filed the IND for IkT-001Pro targeting pulmonary arterial hypertension (PAH) and plans to initiate a Phase IIb study. The market value for PAH treatments is estimated at $7.7 billion annually.
Financial Strength
Inhibikase raised $4 million from a registered direct offering and concurrent private placement, extending their cash runway into December 2024.
Decrease in Net Loss
Net loss for Q2 2024 was $5.0 million, or $0.66 per share, compared to $5.8 million, or $0.94 per share, for Q2 2023, indicating improved financial management.
Lowlights
Adverse Events in Phase II 201 Trial
In the Phase II 201 Trial, 41 mild and 8 moderate adverse events were observed that may be related to risvodetinib treatment, with 6 participants withdrawing from the trial.
Increased SG&A Expenses
Selling, general, and administrative expenses increased to $2.0 million from $1.8 million in Q2 2023, driven by higher legal and consulting fees.
Financial Constraints Impacting Trial Timelines
Financial constraints have delayed the formal launch of the 12-month open-label extension study for risvodetinib, potentially impacting patient treatment continuity.
Company Guidance
During the Inhibikase Therapeutics Q2 2024 earnings call, executives highlighted several key metrics and developments. The company completed enrollment for the Phase II trial of risvodetinib in Parkinson's disease, expecting to report top-line data in November. They observed 49 adverse events and had six withdrawals from the trial. For their IkT-001Pro, a prodrug formulation aimed at pulmonary arterial hypertension (PAH), they filed an IND on August 9, 2024, with plans for a Phase IIb trial involving around 100 patients. Financially, Inhibikase reported a net loss of $5.0 million for the quarter, with R&D expenses decreasing by $1.5 million to $3.1 million, and a cash position of $7.9 million as of June 30, 2024. The company expects its cash runway to extend into December 2024, bolstered by raising $4 million in May from registered direct offering and concurrent private placement.Inhibikase Therapeutics Corporate Events
Executive/Board ChangesM&A Transactions
Inhibikase Therapeutics Completes Merger with CorHepta Pharmaceuticals
Neutral
Feb 24, 2025
On February 21, 2025, Inhibikase Therapeutics completed a merger with CorHepta Pharmaceuticals, making CorHepta a wholly-owned subsidiary. The transaction involved a $15 million payment in the form of company shares, with some shares contingent on future milestones. The company also announced leadership changes, appointing Chris Cabell as President and Head of Research and Development, and Vincent Aurentz to the Board of Directors, aiming to enhance its strategic positioning in the biopharmaceutical industry.
Executive/Board ChangesBusiness Operations and Strategy
Inhibikase Therapeutics Appoints Mark Iwicki as New CEO
Positive
Feb 18, 2025
Inhibikase Therapeutics announced the resignation of Milton H. Werner as CEO and the appointment of Mark Iwicki, effective February 14, 2025. Werner’s departure was amicable, with a consulting agreement extending his service. Iwicki, a seasoned biopharmaceutical executive, brings extensive experience and is expected to advance the company’s lead product, IkT-001Pro, enhancing Inhibikase’s positioning in the cardiopulmonary therapeutic market. Additionally, Amit Munshi has been appointed as the new Chair of the Board, reflecting a strategic leadership shift aimed at driving growth and fulfilling unmet needs in PAH treatment.
Glossary
OutperformA stock rated as "Outperform" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock is likely to deliver higher returns compared to the average returns of other stocks in the same sector or market index. Investors might consider this stock a good buying opportunity.
NeutralA stock rated as "Neutral" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly attractive nor unattractive for investment. Investors may consider holding onto the stock, as it is not expected to either significantly outperform or underperform the market.
UnderperformA stock rated as "Underperform" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock may deliver lower returns compared to the average returns of other stocks in the same sector or market index. Investors might consider selling the stock or avoiding it as an investment.
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.