Keros Therapeutics (KROS) AI Stock Analysis

• Market Cap: $419.01M
• Dividend Yield: N/A
• Average Volume (3M): 969.65K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.66
• Revenue Growth: 2250.99%
• EPS Growth: 3.52%
• Country: US
• Employees: 169
• Sector: Healthcare
• Sector Strength: 74
• Industry: Biotechnology
• EPS (TTM): -5.01
• Shares Outstanding: 40,562,046
• 10 Day Avg. Volume: 1,197,291
• 30 Day Avg. Volume: 969,647
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): 128.20
• Price to Cash Flow (P/CF): -2.50
• 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: $28.11
• Price Target Upside: 172.12% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 12

Keros Therapeutics shows potential with strong revenue growth, but its unprofitability and negative cash flows pose significant risks. The strong balance sheet is a positive, yet the weak technical indicators and valuation contribute to a cautious overall score.

Positive Factors

Pipeline advancement

There is potential pipeline advancement from Keros Therapeutics' pre-clinical library of ActRII ligand traps, indicating future growth opportunities.

Strategic initiatives

The plan to evaluate strategic alternatives and the positive market reaction indicates a proactive approach to utilizing available cash effectively.

Therapeutic potential

The results suggest therapeutic potential for KER-065 in Duchenne Muscular Dystrophy and other neuromuscular diseases, adding value to KROS’ broader pipeline strategy.

Negative Factors

Safety concerns

The termination of patient dosing in the Ph2 study of cibotercept in PAH due to adverse events in the lowest dose raises concerns about safety.

Safety profile uncertainties

A dose-dependent hemoglobin increase creates uncertainties in the safety profile of KER-065.

Study uncertainties

Many details of the Ph2 study for KER-065 remain to be finalized, making the addition of the program into valuation appear premature.

Keros Therapeutics Business Overview & Revenue Model

Company Description

Keros Therapeutics, Inc., a clinical-stage biopharmaceutical company, focuses on the discovery, development, and commercialization of novel treatments for patients suffering from hematological and musculoskeletal disorders with high unmet medical need. The company's lead protein therapeutic product candidate is KER-050, which is being developed for the treatment of low blood cell counts, or cytopenias, including anemia and thrombocytopenia in patients with myelodysplastic syndromes, and in patients with myelofibrosis. It is also developing small molecule product candidate KER-047 that is being developed for the treatment of anemia, and is currently in Phase 1 clinical trial; and KER-012, which is in Phase 1 clinical trial to treat disorders associated with bone loss, such as osteoporosis and osteogenesis imperfecta, and for the treatment of pulmonary arterial hypertension. The company was incorporated in 2015 and is headquartered in Lexington, Massachusetts.

How the Company Makes Money

Keros Therapeutics makes money primarily through the development and commercialization of its proprietary drug candidates. As a clinical-stage company, its revenue is currently generated through partnerships with larger pharmaceutical entities, research and development collaborations, and potential upfront and milestone payments from licensing agreements. The company's long-term revenue model aims to include income from the sales of approved therapies, contingent upon successful clinical trials and regulatory approvals.

Keros Therapeutics Financial Statement Overview

Summary

Keros Therapeutics is experiencing significant revenue growth but remains unprofitable with large negative profit margins. The strong equity position is overshadowed by continual losses and negative operating cash flow, highlighting the company's reliance on external financing, typical of biotech firms in the growth stage.

Income Statement

Keros Therapeutics has experienced significant revenue growth, with an increase from $151K in 2023 to $3.55M in 2024. However, the company remains unprofitable with a negative EBIT margin of -5937% and a net profit margin of -5277% in 2024. This highlights ongoing challenges in managing operating expenses relative to revenues, typical of early-stage biotech firms.

Balance Sheet

The company's balance sheet shows a strong equity position with an equity ratio of 92.8% and a low debt-to-equity ratio of 0.03. However, the company consistently incurs losses, which could affect its ability to sustain this financial structure long-term without additional financing.

Cash Flow

Operating cash flow is negative, indicating the company is not generating sufficient cash from its operations. The free cash flow to net income ratio is positive but reflects heavy reliance on external financing, as seen in the substantial financing cash flow in 2024. This is a common situation for biotech companies investing heavily in R&D.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
3.55M	151.00K	0.00	20.10M	0.00
	Gross Profit
3.55M	-664.00K	-1.61M	19.20M	-605.00K
	EBIT
-210.83M	-169.94M	-114.79M	-56.37M	-46.66M
	EBITDA
-185.82M	-152.18M	-103.06M	-56.37M	-44.92M
	Net Income Common Stockholders
-187.35M	-152.99M	-104.68M	-58.74M	-45.36M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
559.93M	331.15M	279.05M	230.04M	265.88M
	Total Assets
615.89M	370.02M	306.78M	255.25M	269.44M
	Total Debt
18.86M	14.44M	13.27M	1.09M	899.00K
	Net Debt
-541.07M	-316.70M	-265.78M	-228.95M	-264.98M
	Total Liabilities
44.33M	37.81M	29.36M	12.08M	7.72M
	Stockholders Equity
571.55M	332.21M	277.42M	243.17M	261.72M
Cash Flow		Free Cash Flow
-162.80M	-126.97M	-71.30M	-63.17M	-37.19M
	Operating Cash Flow
-160.87M	-124.51M	-70.06M	-62.15M	-36.89M
	Investing Cash Flow
-1.93M	-2.46M	-1.24M	-1.02M	-294.00K
	Financing Cash Flow
391.82M	178.96M	120.31M	28.55M	296.04M

Keros Therapeutics Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 10.33
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Positive
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For KROS, the sentiment is Positive. The current price of 10.33 is below the 20-day moving average (MA) of 10.83, below the 50-day MA of 10.96, and below the 200-day MA of 37.24, indicating a neutral trend. The MACD of -0.44 indicates Positive momentum. The RSI at 26.61 is Positive, neither overbought nor oversold. The STOCH value of 16.88 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for KROS.

Keros Therapeutics Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ARGX	68 Neutral	$31.67B	40.61	17.33%	―	78.01%	―
BPMC	52 Neutral	$5.24B	―	-31.26%	―	104.04%	87.80%
Sector *	48 Neutral	$6.36B	1.28	-45.04%	2.64%	19.24%	1.69%
RARE	47 Neutral	$3.18B	―	-214.50%	―	29.01%	23.93%
KROS	46 Neutral	$419.01M	―	-41.46%	―	2250.99%	3.52%
FATE	42 Neutral	$105.39M	―	-54.21%	―	-78.55%	-0.92%
VKTX	42 Neutral	$2.39B	―	-17.90%	―	―	-10.27%

Keros Therapeutics Corporate Events

Keros Therapeutics CEO to Speak at Major Conferences

On February 28, 2025, Keros Therapeutics announced that its Chair and CEO, Jasbir Seehra, will participate in fireside chat presentations at the TD Cowen 45th Annual Healthcare Conference on March 3, 2025, and the Leerink Partners Global Healthcare Conference on March 10, 2025. These events are significant as they provide Keros with a platform to discuss its innovative therapeutic developments and engage with stakeholders, potentially impacting its industry positioning and investor relations.

Keros Therapeutics CEO to Speak at Biotech Conference

On January 30, 2025, Keros Therapeutics announced that its CEO, Jasbir Seehra, will participate in a fireside chat at the Guggenheim SMID Cap Biotech Conference on February 6, 2025. This event allows Keros to highlight its strategic initiatives and potentially boost its industry positioning, offering insights to stakeholders on its ongoing developments and market focus.