Education
About Us
Working with TipRanks
Follow Us
Immunovant (IMVT)
NASDAQ:IMVT
Top Page
Immunovant
(NASDAQ:IMVT)
Select Model
Select Model
Rating:62Neutral
Price Target:
$25.00
▲(5.93% Upside)
Action:ReiteratedDate:02/07/26
The score is primarily held back by weak financial performance (no revenue, accelerating losses and cash burn), partially offset by a strong balance sheet. Technicals are constructive with the stock above major moving averages, while valuation remains unattractive due to ongoing losses and no dividend. The latest earnings call adds meaningful support from strong clinical momentum and upcoming catalysts, tempered by trial-size/translation and litigation/spend risks.
Positive Factors
Strong cash runway
A $4.5B consolidated cash position materially reduces near‑term financing risk and funds a dense registrational roadmap through multiple pivotal readouts. This durable liquidity supports execution of Phase III programs, allows strategic optionality, and buys time for clinical de‑risking.
Pipeline with multiple pivotal readouts
A diversified, catalyst‑rich pipeline with numerous planned pivotal readouts spreads program risk and creates multiple independent value inflection points. Sustained registrational activity, if successful, can transition Immunovant from a development to a commercial franchise over the medium term.
Balance sheet strength & low leverage
Minimal debt and expanding equity/assets provide durable financial flexibility, reducing refinancing and interest risks common in biotech. This structural strength supports sustained R&D spending, potential business development, and resilience through regulatory or trial timing variability.
Negative Factors
Pre‑revenue with widening losses
Being pre‑revenue with rapidly widening net losses is a structural constraint: until commercial sales begin, the company must rely on external capital. Persistent losses erode returns and increase the probability of future dilution, limiting long‑term shareholder return prospects absent clinical success.
High and growing cash burn
Sustained negative operating and free cash flow in the hundreds of millions implies a structural funding need even with a large cash balance. Over time this necessitates capital markets access, raises dilution risk, and forces prioritization of programs, constraining long‑term strategic flexibility.
Small Phase II size; Phase III translation risk
A small, imbalanced proof‑of‑concept study increases the risk that observed effect sizes will attenuate in larger, global Phase III trials. Regulators may require broader safety databases and larger trials, driving higher cost, longer timelines, and elevated execution risk for pivotal success and commercialization.
Immunovant (IMVT) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$4.81B
Dividend YieldN/A
Average Volume (3M)1.23M
Price to Earnings (P/E)―
Beta (1Y)1.02
Revenue GrowthN/A
EPS Growth-27.70%
CountryUS
Employees362
SectorHealthcare
Sector Strength45
IndustryBiotechnology
Share Statistics
EPS (TTM)-0.61
Shares Outstanding203,532,180
10 Day Avg. Volume1,106,372
30 Day Avg. Volume1,234,198
Financial Highlights & Ratios
PEG Ratio-0.14
Price to Book (P/B)3.66
Price to Sales (P/S)0.00
P/FCF Ratio-6.88
Enterprise Value/Market Cap0.79
Enterprise Value/RevenueN/A
Enterprise Value/Gross Profit-37.81K
Enterprise Value/Ebitda-7.93
Forecast
1Y Price Target
$38.89Price Target Upside64.79% Upside
Rating ConsensusStrong Buy
Number of Analyst Covering10
EPS Forecast (FY)-2.67
Revenue Forecast (FY)N/A
Immunovant Business Overview & Revenue Model
Company DescriptionImmunovant, Inc., a clinical-stage biopharmaceutical company, develops monoclonal antibodies for the treatment of autoimmune diseases. It develops batoclimab, a novel fully human monoclonal antibody that selectively binds to and inhibits the neonatal fragment crystallizable receptor, which is in Phase IIa clinical trials for the treatment of myasthenia gravis and thyroid eye disease, as well as completed initiation of Phase II clinical trials for the treatment of warm autoimmune hemolytic anemia. The company was incorporated in 2018 is headquartered in New York, New York. Immunovant, Inc. is a subsidiary of Roivant Sciences Ltd.
How the Company Makes MoneyAs a clinical-stage biotechnology company, Immunovant has not historically generated meaningful recurring revenue from product sales, because it does not have publicly disclosed commercial products that are approved and marketed. Its operations have primarily been funded through external financing (such as issuing equity and other capital-raising activities); detailed, consistent product- or service-based revenue streams are not available. Information about significant revenue-producing partnerships, licensing/royalty income, or material collaboration payments is not available in this response and should be treated as null if required for a specific data point.
Immunovant Earnings Call Summary
Earnings Call Date:Feb 06, 2026
(Q3-2026)
| % Change Since: |
Next Earnings Date:Jun 03, 2026
Earnings Call Sentiment Positive
The call conveyed substantial positive momentum driven by exceptionally strong Phase II brepocitinib data in cutaneous sarcoidosis, multiple fully enrolled studies and a solid cash position to fund upcoming registrational activity. Key operational highlights include the brepo NDA in dermatomyositis, fully enrolled 1402 D2T RA and mosliciguat PH‑ILD studies, and constructive legal progress ahead of a March jury trial. Offsetting risks are the small size and baseline imbalances of the CS Phase II study (creating uncertainty aboutPhase III translation), ongoing litigation and evidentiary motions, continued high operating spend and typical regulatory/development timing uncertainties. Overall, the positives (clinical wins, pipeline momentum, enrollment success and cash runway) materially outweigh the programmatic and legal uncertainties identified on the call.Q3-2026 Updates
Positive Updates
Strong Phase II brepocitinib efficacy in cutaneous sarcoidosis
Placebo‑adjusted mean CSAMI improvement ~21.6 points (study was not powered for efficacy); 100% of patients on brepocitinib 45 mg achieved ≥10‑point CSAMI improvement; 62% of 45 mg patients achieved CSAMI <5 (functional remission); statistically significant separation vs placebo as early as Week 4 and sustained through Week 16.
Favorable safety and large existing brepocitinib database
No serious adverse events in the Phase II CS study; all adverse events were mild or moderate and safety was consistent with the compound's broader database of >1,500 patients, supporting a potentially favorable benefit‑risk profile.
Pipeline and registrational momentum
NDA for brepocitinib in dermatomyositis submitted; NIU Phase III pivotal readout expected in H2 2026; company to initiate a Phase III in cutaneous sarcoidosis this year; management cites 9+ pivotal study readouts across the portfolio in the coming years.
Enrollment achievements and upcoming catalysts
IMVT‑1402 (D2T RA) Phase IIb fully enrolled with 170 patients (up from an anticipated 120, a +41.7% increase in enrollment vs plan); mosliciguat PH‑ILD Phase II fully enrolled; top‑line data for mosliciguat and D2T RA expected in the second half of 2026.
Strong cash position to fund development
Consolidated cash balance of $4.5 billion provides runway for ongoing and planned registrational programs; company retains share buyback authorization.
Immunovant FcRn franchise progress
IMVT‑1402 highlighted as a potential best‑in‑class FcRn program with convenient subcutaneous administration; pivotal data in Graves' disease expected in 2027, supporting future commercial opportunity.
Favorable pretrial legal development
Received a favorable summary judgment decision on Section 1498 ahead of the Moderna jury trial (trial scheduled to begin March 9), which management views as constructive to their litigation posture.
Consistent patient‑reported outcome improvements
Multiple PROs (Skindex‑16, KSQ skin domain, Patient Global Impression of Change) showed substantial improvement for brepocitinib arms, with 100% of 45 mg patients reporting improvement on PGIC—supporting physician‑reported findings.
Negative Updates
Small Phase II sample size and baseline imbalances
The cutaneous sarcoidosis study enrolled only 31 patients (U.S. only, randomized 3:2:2), and baseline imbalances existed (45 mg arm had more plaque‑predominant and longer‑duration disease), increasing uncertainty about how effect size will translate into larger, global Phase III trials.
Risk of efficacy erosion in larger trials
Management acknowledged the potential for erosion of effect size when moving from a small proof‑of‑concept study to larger, possibly global Phase III trials; placebo behavior could differ in larger settings despite a low placebo rate in this study.
Ongoing litigation and evidentiary challenges
Multiple Daubert motions and other pretrial issues remain in related litigation (Genevant/Moderna context); while a favorable Section 1498 decision was received, the jury trial and other motions still present legal risk and outcome uncertainty.
High operating spend and quarterly net loss
Quarterly R&D expense $165 million (adjusted non‑GAAP $147 million) and G&A $175 million (adjusted non‑GAAP $71 million) resulted in a total adjusted non‑GAAP net loss of $167 million for the quarter, reflecting significant cash burn despite ample cash reserves.
Regulatory and development timing uncertainties
Uncertainty around FDA decisions (e.g., priority review for dermatomyositis not guaranteed); management expects to engage with FDA to determine Phase III size, dose and required safety database and acknowledged the possibility of needing multiple studies (e.g., for 1402 in RA).
Limited data on extracutaneous organ impact
Approximately 60% of trial patients had pulmonary involvement and ~30% had other organ involvement, but the study was not designed to assess organ‑specific benefits; exploratory analyses pending and no conclusions can be drawn yet on systemic sarcoidosis effects.
Competitive and market uncertainties (pricing and competitors)
Pricing strategy undecided (management referenced IVIG/Vyvgart price anchors) and competition (e.g., argenx in Graves'/TED landscape) could affect market dynamics; read‑throughs from other programs (e.g., VYVGART TED data) are limited and raise commercial uncertainty.
Company Guidance
Roivant guided to a catalyst‑rich 2026: brepocitinib now has three indications in pivotal registrational programs with the NIU Phase III pivotal readout expected in H2 2026 and a Phase III in cutaneous sarcoidosis to start in 2026; the cutaneous sarcoidosis Phase II (n=31, randomized 3:2:2, 16‑week) showed a placebo‑adjusted CSAMI delta of ~21.6 points with 100% of patients on brepo 45 mg achieving ≥10‑point improvement, 62% reaching CSAMI <5, 100% reporting improvement on PGIC, and no SAEs (all AEs mild/moderate); mosliciguat PH‑ILD and Immunovant’s 1402 D2T RA studies are fully enrolled (mosli and 1402 randomized withdrawal + open‑label data expected by H2 2026; 1402 enrollment = 170 vs original plan of 120), mosli topline anticipated H2 2026, and FcRn/Graves’ pivotal readouts continue into 2027 with potential launches (Graves’) by end‑2028; corporate/legal and financial guidance included a March 9 jury trial date (Moderna), a favorable Section 1498 summary judgment ruling, quarterly R&D of $165M (adj. non‑GAAP $147M), G&A $175M (adj. $71M), total non‑GAAP net loss $167M, and $4.5B consolidated cash, with 9+ pivotal readouts planned on the roadmap.Immunovant Financial Statement Overview
Summary
Development-stage profile with no revenue and rapidly widening losses (TTM net loss ~-$464M) and sharply higher cash burn (TTM FCF ~-$423M). Balance sheet is a key offset with minimal leverage and a sizable equity/asset base, but returns and cash flow trends indicate continued reliance on external funding.Income Statement
IMVT is still pre-revenue (revenue is 0 across annual periods and TTM (Trailing-Twelve-Months)), and losses are widening. Net loss increased from about -$107M (FY2021) to about -$414M (FY2025 annual), and TTM (Trailing-Twelve-Months) net loss is about -$464M, indicating a materially higher cost base. With no revenue to absorb operating expenses, profitability and margin profile remain structurally weak at this stage.12
Very Negative
Balance Sheet
The balance sheet is a relative strength: debt is effectively minimal (near-zero debt-to-equity across periods), and equity has grown meaningfully over time (about $391M in FY2021 to about $707M in FY2025 annual; $986M in TTM (Trailing-Twelve-Months)). Total assets also increased (about $412M in FY2021 to about $776M in FY2025 annual; $1.05B in TTM (Trailing-Twelve-Months)), suggesting substantial funding capacity. The key weakness is very negative returns to shareholders driven by large losses (return on equity is deeply negative, worsening to roughly -0.85 in TTM (Trailing-Twelve-Months)).74
Positive
Cash Flow
Cash generation is weak and deteriorating: operating cash flow and free cash flow are consistently negative and have expanded in magnitude (free cash flow from about -$84M in FY2021 to about -$377M in FY2025 annual; about -$423M in TTM (Trailing-Twelve-Months)). Recent free cash flow growth is sharply negative (TTM (Trailing-Twelve-Months) indicates a significant step-up in cash burn). A positive is that cash burn broadly tracks accounting losses (free cash flow is roughly in line with net loss), but the overall trajectory implies a higher ongoing funding requirement.18
Very Negative
| Breakdown | TTM | Mar 2025 | Mar 2024 | Mar 2023 | Mar 2022 | Mar 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Gross Profit | -101.00K | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| EBITDA | -481.47M | -437.77M | -269.98M | -208.08M | -155.91M | -108.05M |
| Net Income | -464.20M | -413.84M | -259.34M | -210.96M | -156.73M | -107.43M |
Balance Sheet | ||||||
| Total Assets | 1.05B | 776.22M | 666.71M | 405.84M | 515.56M | 412.49M |
| Cash, Cash Equivalents and Short-Term Investments | 994.52M | 713.97M | 635.37M | 376.53M | 493.82M | 400.15M |
| Total Debt | 0.00 | 98.00K | 138.00K | 1.22M | 2.36M | 3.42M |
| Total Liabilities | 66.26M | 68.78M | 48.95M | 43.34M | 45.74M | 21.01M |
| Stockholders Equity | 986.13M | 707.45M | 617.76M | 362.49M | 469.82M | 391.48M |
Cash Flow | ||||||
| Free Cash Flow | -423.09M | -376.63M | -214.59M | -188.39M | -106.37M | -83.54M |
| Operating Cash Flow | -422.89M | -375.87M | -214.23M | -188.19M | -106.11M | -83.33M |
| Investing Cash Flow | -201.00K | -759.00K | -360.00K | -197.00K | -254.00K | -210.00K |
| Financing Cash Flow | 1.04B | 454.49M | 472.43M | 70.89M | 200.13M | 383.11M |
Immunovant Technical Analysis
Negative
23.60
Price Trends
26.18
Negative
25.16
Negative
20.76
Positive
Market Momentum
-0.60
Positive
32.92
Neutral
16.31
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IMVT, the sentiment is Negative. The current price of 23.6 is below the 20-day moving average (MA) of 26.15, below the 50-day MA of 26.18, and above the 200-day MA of 20.76, indicating a neutral trend. The MACD of -0.60 indicates Positive momentum. The RSI at 32.92 is Neutral, neither overbought nor oversold. The STOCH value of 16.31 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IMVT.
Immunovant Risk Analysis
Immunovant disclosed 77 risk factors in its most recent earnings report. Immunovant 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
Immunovant Peers Comparison
UnderperformOutperform
Sector (51)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
66 Neutral | $5.47B | -169.72 | -8.53% | ― | 53.66% | 58.63% | |
64 Neutral | $6.50B | -21.09 | -29.08% | ― | -50.05% | -54.47% | |
62 Neutral | $4.81B | -10.43 | -65.80% | ― | ― | -27.70% | |
62 Neutral | $6.49B | -42.66 | -19.89% | ― | -35.39% | -72.97% | |
55 Neutral | $3.75B | -8.91 | -41.46% | ― | ― | -21.96% | |
55 Neutral | $1.20B | -3.74 | -67.12% | ― | ― | -157.74% | |
51 Neutral | $7.86B | -0.30 | -43.30% | 2.27% | 22.53% | -2.21% |
* Healthcare Sector Average
IMVT
Immunovant
23.65
4.01
20.42%
PTGX
Protagonist Therapeutics
101.68
49.03
93.12%
CRNX
Crinetics Pharmaceuticals
35.82
1.40
4.07%
MIRM
Mirum Pharmaceuticals
90.72
43.70
92.94%
KYMR
Kymera Therapeutics
79.57
47.03
144.53%
MLTX
MoonLake Immunotherapeutics
16.68
-23.44
-58.42%
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
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.