Keros Therapeutics (KROS) AI Stock Analysis

• Market Cap: $546.28M
• Dividend Yield: N/A
• Average Volume (3M): 565.38K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.91
• Revenue Growth: 91657.69%
• EPS Growth: 97.21%
• Country: US
• Employees: 163
• Sector: Healthcare
• Sector Strength: 39
• Industry: Biotechnology
• EPS (TTM): 3.62
• Shares Outstanding: 40,615,414
• 10 Day Avg. Volume: 484,231
• 30 Day Avg. Volume: 565,375
• PEG Ratio: 1.50
• Price to Book (P/B): 0.84
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 14.10
• Enterprise Value/Market Cap: -0.17
• Enterprise Value/Revenue: -0.42
• Enterprise Value/Gross Profit: -0.43
• Enterprise Value/Ebitda: 0.16
• 1Y Price Target: $24.17
• Price Target Upside: 79.70% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 10

• Rating: 43 Neutral
• Price Target: $14.00 ▲(4.09%Upside)

Keros Therapeutics has a low overall stock score due to several factors. Financial performance is hindered by ongoing unprofitability and negative cash flows, which are typical of growth-stage biotech firms. Although technical analysis indicates some positive momentum, valuation remains challenged by the lack of profitability. Significant negative corporate events, including a major workforce reduction and strategic realignment, further weigh on the overall score.

Positive Factors

Capital Return

The return of $375 million in excess capital to shareholders is a net positive and could help improve investor sentiment.

Cost Savings

KROS announced a headcount reduction, which is expected to result in potential annual savings of approximately $17 million.

Project Advancement

Keros is moving forward with its KER-065 project for Duchenne muscular dystrophy, which shows potential.

Negative Factors

Development Discontinuation

KROS is discontinuing all development of cibotercept in PAH given the dose-dependent signal on pericardial effusion events.

Investor Sentiment

Sentiment remains negative, possibly weighing on the share outlook, with investor frustrations from past disappointments still top of mind.

Safety Concerns

Key insights on KER-065 are unlikely for some time, with safety still an overhang, leading to limited near-term share upside.

Keros Therapeutics Business Overview & Revenue Model

Company Description

Keros Therapeutics, Inc. (KROS) is a biopharmaceutical company dedicated to the discovery, development, and commercialization of novel treatments for hematological and musculoskeletal disorders. The company's primary focus is on developing therapies that target the transforming growth factor-beta (TGF-β) family of proteins, which are implicated in various diseases. Keros Therapeutics' core products aim to treat conditions such as anemia, thrombocytopenia, and bone diseases by modulating these protein pathways to improve patient outcomes.

How the Company Makes Money

Keros Therapeutics generates revenue primarily through the development and commercialization of its proprietary drug candidates. The company earns money by advancing its pipeline of therapeutic candidates through clinical trials and eventually bringing successful treatments to market, where they can be sold to healthcare providers and patients. Key revenue streams include potential product sales, milestone payments, and royalties from licensing agreements with larger pharmaceutical companies. Additionally, strategic partnerships and collaborations with other biotech and pharmaceutical firms may provide Keros with funding support and shared resources, contributing to its revenue generation and financial growth.

Keros Therapeutics Financial Statement Overview

Summary

Keros Therapeutics shows significant revenue growth but remains unprofitable with negative margins, typical for early-stage biotech firms. The balance sheet is strong with a high equity ratio, but negative cash flow and reliance on external financing present long-term sustainability challenges.

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	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	214.71M	3.55M	151.00K	0.00	20.10M	0.00
Gross Profit	214.07M	2.32M	-664.00K	-1.61M	19.20M	-605.00K
EBITDA	-3.04M	-185.82M	-152.18M	-103.06M	-56.37M	-44.92M
Net Income	4.21M	-187.35M	-152.99M	-104.68M	-58.74M	-45.36M
Balance Sheet
Total Assets	0.00	615.89M	370.02M	306.78M	255.25M	269.44M
Cash, Cash Equivalents and Short-Term Investments	23.26M	559.93M	331.15M	279.05M	230.04M	265.88M
Total Debt	0.00	18.86M	14.44M	13.27M	1.09M	899.00K
Total Liabilities	0.00	44.33M	37.81M	29.36M	12.08M	7.72M
Stockholders Equity	12.76M	571.55M	332.21M	277.42M	243.17M	261.72M
Cash Flow
Free Cash Flow	43.31M	-162.80M	-126.97M	-71.30M	-63.17M	-37.19M
Operating Cash Flow	44.86M	-160.87M	-124.51M	-70.06M	-62.15M	-36.89M
Investing Cash Flow	-1.55M	-1.93M	-2.46M	-1.24M	-1.02M	-294.00K
Financing Cash Flow	235.02M	391.82M	178.96M	120.31M	28.55M	296.04M

Keros Therapeutics Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 13.45
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For KROS, the sentiment is Negative. The current price of 13.45 is below the 20-day moving average (MA) of 13.74, below the 50-day MA of 14.03, and below the 200-day MA of 27.59, indicating a bearish trend. The MACD of -0.16 indicates Positive momentum. The RSI at 43.39 is Neutral, neither overbought nor oversold. The STOCH value of 20.94 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for KROS.

Keros Therapeutics Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MGTX	63 Neutral	$603.54M	―	-216.14%	―	203.23%	-80.71%
TBPH	57 Neutral	$557.51M	―	-31.46%	―	6.11%	-37.79%
SAGE	55 Neutral	$576.12M	―	-63.53%	―	-47.94%	30.94%
Sector *	52 Neutral	$7.53B	0.32	-61.76%	2.28%	16.60%	1.56%
KROS	43 Neutral	$546.28M	―	0.71%	―	91657.69%	97.21%
TYRA	41 Neutral	$531.78M	―	-27.04%	―	―	6.72%
MNMD	40 Neutral	$541.72M	―	-37.07%	―	―	26.24%

Keros Therapeutics Corporate Events

Keros Therapeutics Concludes Strategic Alternatives Review

On June 4, 2025, Keros Therapeutics held its Annual Meeting of Stockholders, where stockholders voted on three proposals, including the election of directors, ratification of Deloitte & Touche LLP as the independent auditor, and approval of executive compensation. Subsequently, on June 9, 2025, Keros announced the conclusion of its strategic alternatives review, deciding to return $375 million in excess capital to stockholders. This decision reflects a thorough review of capital requirements and stockholder feedback, while the company continues to focus on developing KER-065 for neuromuscular diseases.

The most recent analyst rating on (KROS) stock is a Buy with a $100.00 price target. To see the full list of analyst forecasts on Keros Therapeutics stock, see the KROS Stock Forecast page.

Keros Therapeutics CEO to Speak at Healthcare Conference

On June 6, 2025, Keros Therapeutics announced that its Chair and CEO, Jasbir Seehra, will participate in a fireside chat at the Goldman Sachs 46th Annual Global Healthcare Conference on June 9, 2025. This participation highlights Keros’ engagement with the healthcare investment community and may impact its visibility and industry positioning.

The most recent analyst rating on (KROS) stock is a Buy with a $100.00 price target. To see the full list of analyst forecasts on Keros Therapeutics stock, see the KROS Stock Forecast page.

Keros Therapeutics Announces Major Workforce Reduction Plan

On May 28, 2025, Keros Therapeutics‘ Board of Directors approved a plan to reduce the company’s workforce by approximately 45%, aiming to align operations with strategic priorities and achieve cost savings. This reorganization, expected to be completed by the fourth quarter of 2025, follows the discontinuation of cibotercept development in pulmonary arterial hypertension due to safety concerns observed in the TROPOS trial. The company is evaluating strategic alternatives, including potential business transactions, to maximize shareholder value.

The most recent analyst rating on (KROS) stock is a Buy with a $100.00 price target. To see the full list of analyst forecasts on Keros Therapeutics stock, see the KROS Stock Forecast page.

Keros Therapeutics CEO to Speak at Healthcare Conference

On May 12, 2025, Keros Therapeutics announced that its Chair and CEO, Jasbir S. Seehra, will participate in a fireside chat at the Bank of America 2025 Global Healthcare Conference on May 13, 2025. This participation highlights Keros’ engagement with the healthcare investment community and may enhance its visibility and influence within the industry.

The most recent analyst rating on (KROS) stock is a Buy with a $100.00 price target. To see the full list of analyst forecasts on Keros Therapeutics stock, see the KROS Stock Forecast page.