Kezar Life Sciences (KZR) AI Stock Analysis

• Market Cap: $45.40M
• Dividend Yield: N/A
• Average Volume (3M): 297.79K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.02
• Revenue Growth: N/A
• EPS Growth: 35.80%
• Country: US
• Employees: 55
• Sector: Healthcare
• Sector Strength: 45
• Industry: Biotechnology
• EPS (TTM): -1.53
• Shares Outstanding: 7,323,156
• 10 Day Avg. Volume: 813,550
• 30 Day Avg. Volume: 297,789
• PEG Ratio: 0.33
• Price to Book (P/B): 4.19
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -6.60
• Enterprise Value/Market Cap: -1.22
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: 115.67
• Enterprise Value/Ebitda: 0.93
• 1Y Price Target: $6.00
• Price Target Upside: -3.23% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 3
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 52 Neutral
• Price Target: $6.50 ▲(4.84% Upside)

The score is held down primarily by weak financial performance (no recent revenue, persistent large losses, and heavy cash burn), with additional pressure from negative corporate developments around regulatory setbacks and restructuring. These risks are partly balanced by improving technical momentum and a low-leverage balance sheet, while valuation support is limited given ongoing losses and no dividend.

Positive Factors

Business Model Strength

Kezar's focus on novel therapies for unmet needs in autoimmune diseases and cancer positions it well in the biotech industry, potentially leading to significant breakthroughs and market opportunities.

Balance Sheet Stability

A solid equity base and decreasing liabilities indicate financial stability, providing a foundation for future growth and resilience against operational losses.

Leadership Strength

The appointment of an experienced accounting officer strengthens financial oversight and supports strategic financial management, crucial for long-term success in the biotech sector.

Negative Factors

Revenue Generation Challenges

The lack of revenue generation highlights challenges in commercializing products, which could hinder financial sustainability and growth prospects if not addressed.

Cash Flow Issues

Negative cash flow from operations suggests the company is not self-sustaining, increasing dependency on external funding and posing risks to long-term viability.

Operational Inefficiencies

High operational costs leading to negative margins indicate inefficiencies that could impact profitability and require strategic adjustments to improve cost management.

Kezar Life Sciences Business Overview & Revenue Model

Company Description

Kezar Life Sciences, Inc., a clinical-stage biotechnology company, engages in the discovery and development of novel small molecule therapeutics to treat unmet needs in immune-mediated diseases and cancer in the United States. The company's lead product candidate is KZR-616, a selective immunoproteasome inhibitor that is in Phase 2 clinical trials for various indications, including lupus nephritis, dermatomyositis, and polymyositis; and Phase 1b clinical trials in systemic lupus erythematosus and lupus nephritis. Its preclinical products include KZR-261, a novel first-in-class protein secretion inhibitor for the treatment of KZR-261; and KZR-TBD for the treatment of oncology and immunology. The company was incorporated in 2015 and is based in South San Francisco, California.

How the Company Makes Money

Kezar Life Sciences generates revenue primarily through strategic partnerships, collaborations, and potential licensing agreements with other pharmaceutical and biotechnology companies. These partnerships may include upfront payments, milestone payments, and royalties based on the successful development and commercialization of their drug candidates. Additionally, the company may receive funding through grants or research agreements. As Kezar's lead product candidates progress through clinical trials and towards potential market approval, the company could also generate revenue from product sales if they receive regulatory approval.

Kezar Life Sciences Financial Statement Overview

Summary

Kezar Life Sciences is in the development stage, typical for biotechnology firms, with no significant revenue and persistent losses. The balance sheet remains fairly stable with a solid equity base, but operational and cash flow challenges persist, suggesting the need for additional funding.

Income Statement

Kezar Life Sciences has consistently reported no revenue for most of the years, except for 2023. Gross profit margin is unavailable due to zero revenue in most years. Net income has been negative, indicating losses. The EBIT and EBITDA margins are also negative, suggesting high operational costs and inefficiencies.

Balance Sheet

The company has a solid equity base with decreasing liabilities over time, as seen from the debt-to-equity ratio and equity ratio. However, the consistent losses have impacted the return on equity, which remains negative. Overall, the balance sheet shows financial stability despite operational challenges.

Cash Flow

Operating cash flow has been negative, indicating that the company is not generating cash from its core activities. While free cash flow is negative, it has shown slight improvements over the years. The cash flow from financing activities suggests reliance on external funding.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	0.00	0.00	7.00M	0.00	0.00	0.00
Gross Profit	-478.00K	-1.04M	7.00M	0.00	-1.51M	-1.54M
EBITDA	-59.69M	-81.10M	-99.25M	-66.03M	-52.96M	-40.26M
Net Income	-61.70M	-83.74M	-101.87M	-68.24M	-54.63M	-41.74M
Balance Sheet
Total Assets	97.73M	144.68M	221.24M	299.57M	217.93M	151.84M
Cash, Cash Equivalents and Short-Term Investments	90.22M	132.25M	201.37M	276.56M	208.35M	140.45M
Total Debt	9.91M	16.18M	18.93M	21.26M	14.04M	5.46M
Total Liabilities	14.75M	27.77M	33.66M	29.70M	21.06M	10.86M
Stockholders Equity	82.98M	116.92M	187.57M	269.87M	196.88M	140.98M
Cash Flow
Free Cash Flow	-56.66M	-74.24M	-83.45M	-60.42M	-42.75M	-37.14M
Operating Cash Flow	-56.64M	-74.21M	-81.64M	-58.85M	-42.44M	-36.95M
Investing Cash Flow	64.59M	80.43M	76.05M	-91.39M	-28.44M	-56.50M
Financing Cash Flow	-3.83M	103.00K	638.00K	127.86M	112.58M	99.64M

Kezar Life Sciences Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 6.20
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For KZR, the sentiment is Neutral. The current price of 6.2 is below the 20-day moving average (MA) of 6.28, below the 50-day MA of 6.24, and above the 200-day MA of 4.82, indicating a neutral trend. The MACD of <0.01 indicates Positive momentum. The RSI at 47.65 is Neutral, neither overbought nor oversold. The STOCH value of 31.99 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for KZR.

Kezar Life Sciences Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
PYPD	56 Neutral	$69.79M	-1.47	-390.53%	―	―	61.23%
KZR	52 Neutral	$45.40M	-0.73	-56.86%	―	―	35.80%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
XCUR	48 Neutral	$39.84M	-4.13	-217.87%	―	-100.00%	33.44%
CASI	46 Neutral	$16.11M	-0.30	―	―	26.20%	-42.26%
AKTX	42 Neutral	$8.72M	―	-196.60%	―	―	―

Kezar Life Sciences Corporate Events

Kezar Life Sciences Announces Major Workforce Reduction

On November 6, 2025, Kezar Life Sciences announced a restructuring plan that involves reducing its workforce by approximately 70%, equating to about 31 employees. This decision is part of the company’s strategic evaluation of alternatives and is expected to incur costs of around $6.0 million, primarily for severance and related expenses, to be recognized mostly in the fourth quarter of 2025. The restructuring may have significant implications for the company’s operations and market positioning, with potential additional costs arising from the workforce reduction.

The most recent analyst rating on (KZR) stock is a Hold with a $7.00 price target. To see the full list of analyst forecasts on Kezar Life Sciences stock, see the KZR Stock Forecast page.

Kezar Life Sciences Repays Loan, Ends Agreement

On October 20, 2025, Kezar Life Sciences, Inc. fully repaid $6.3 million under its Loan and Security Agreement with Oxford Finance LLC, effectively terminating the agreement and releasing all associated liens and security interests. This financial move reflects the company’s strategic efforts to manage its debt obligations and potentially improve its financial standing within the industry.

The most recent analyst rating on (KZR) stock is a Hold with a $7.00 price target. To see the full list of analyst forecasts on Kezar Life Sciences stock, see the KZR Stock Forecast page.

Kezar Life Sciences Faces FDA Challenges in Drug Program

On October 16, 2025, Kezar Life Sciences announced a regulatory update regarding its zetomipzomib program for autoimmune hepatitis, revealing challenges in aligning with the FDA on a clinical trial. The FDA’s request for additional studies could delay zetomipzomib’s development by two years, impacting Kezar’s operations and strategic direction. The company is exploring strategic alternatives, including restructuring and workforce reduction, to maximize shareholder value. Additionally, Kezar extended its Rights Plan to protect the strategic review process, ensuring fair participation and informed decision-making by the Board.

The most recent analyst rating on (KZR) stock is a Hold with a $7.00 price target. To see the full list of analyst forecasts on Kezar Life Sciences stock, see the KZR Stock Forecast page.