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Molecular Partners (MOLN)
NASDAQ:MOLN
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Molecular Partners
(NASDAQ:MOLN)
Rating:50Neutral
Price Target:
$4.00
▲(9.59% Upside)
Positive Factors
Clinical Advancements
Molecular Partners announced that the previously planned Phase 0 imaging study for MP0712 is no longer necessary following discussions with the FDA, allowing the company to proceed directly into a Phase I dose escalation study.
Financial Stability
Molecular Partners has CHF 131M cash and cash equivalents, which will be sufficient to fund its runway well into the future.
Preclinical Data
Molecular Partners Ag presented its second Radio-DARPin candidate targeting mesothelin for ovarian cancer, showing promising preclinical data.
Negative Factors
Dose Escalation Risks
3 investigator-assessed DLTs were recorded (2 in DR7 and 1 in DR8), and 1 DLT (fatal pulmonary hemorrhage in context of disseminated intravascular coagulation) in DR8 was confirmed by the Dose Escalation Review Committee, resulting in a TD decrease for subsequent patients in DR8.
Treatment Challenges
Antidrug antibodies (ADAs) were detected in 66% of patients, which coincided with reduced serum MP0533 exposure levels, posing a challenge to treatment efficacy.
Workforce Restructuring
MOLN announced that the company intends to reduce its current workforce by no more than 40 positions, representing up to ~24% of all headcounts.
Molecular Partners (MOLN) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$152.81M
Dividend YieldN/A
Average Volume (3M)1.52K
Price to Earnings (P/E)―
Beta (1Y)1.31
Revenue Growth-67.23%
EPS Growth4.11%
CountryUS
Employees158
SectorHealthcare
Sector Strength39
IndustryBiotechnology
Share Statistics
EPS (TTM)-0.36
Shares Outstanding40,374,640
10 Day Avg. Volume1,156
30 Day Avg. Volume1,524
Financial Highlights & Ratios
PEG RatioN/A
Price to Book (P/B)0.00
Price to Sales (P/S)0.00
P/FCF Ratio0.00
Enterprise Value/Market Cap0.43
Enterprise Value/Revenue29.67
Enterprise Value/Gross Profit-3.05
Enterprise Value/Ebitda-1.16
Forecast
1Y Price Target
$10.50Price Target Upside187.67% Upside
Rating ConsensusModerate Buy
Number of Analyst Covering2
Molecular Partners Business Overview & Revenue Model
Company DescriptionMolecular Partners AG is a clinical-stage biopharmaceutical company based in Switzerland, specializing in the development of a new class of custom-built protein therapeutics called DARPin therapeutics. These therapeutics are designed to address significant unmet medical needs across various therapeutic areas, including oncology, ophthalmology, and infectious diseases. The company's proprietary DARPin platform leverages a unique protein engineering approach to develop differentiated treatment options with the potential for enhanced efficacy and safety compared to traditional therapies.
How the Company Makes MoneyMolecular Partners primarily generates revenue through strategic collaborations and partnerships with larger pharmaceutical companies. These collaborations often include upfront payments, milestone payments, and royalties based on the successful development and commercialization of DARPin-based therapies. Additionally, the company may engage in licensing agreements for its proprietary technology, allowing partners to leverage the DARPin platform for their own therapeutic development. This business model enables Molecular Partners to gain financial support for its research and development activities, while also benefiting from the commercial success of its partnered programs. Furthermore, the company may receive funding from grants and other non-dilutive sources to support specific research initiatives.
Molecular Partners Earnings Call Summary
Earnings Call Date:Mar 06, 2025
(Q4-2024)
| % Change Since: -25.51%|
Next Earnings Date:Aug 25, 2025
Earnings Call Sentiment Positive
The earnings call highlighted significant progress in Molecular Partners' programs, particularly in the radio DARPin franchise and the improved efficacy of the 533-DARPIn program. The expansion of the Orano Med collaboration and strong financial position further bolster the company's outlook. However, the discontinuation of the Novartis collaboration and initial challenges with the T Cell Engager program were noted as setbacks. Overall, the highlights significantly outweigh the lowlights.Q4-2024 Updates
Positive Updates
Successful Year of Execution
Molecular Partners successfully executed their plans in 2024, advancing programs toward clinical readouts and expanding their collaboration with Orano Med.
Lead DARPin Program Progress
The radio DARPin franchise showed significant progress with the lead compound DLL3 targeting 712 passing all IND-enabling studies and ready to enter clinical trials.
Strategic Collaboration with Orano Med
Molecular Partners expanded their collaboration with Orano Med to secure isotope supply for 10 products, enhancing their radio DARPin franchise.
Strong Financial Position
Ending the year with CHF149 million in cash, the company is well-capitalized with a runway into 2027, ensuring continued investment in their pipeline.
Improved Efficacy in T Cell Engager Program
The 533-DARPIn program for AML showed promising results with three complete responses out of eight patients after adjustments in dosing regimen.
Negative Updates
Discontinuation of Novartis Collaboration
The collaboration with Novartis was discontinued after three years due to lack of strategic interest in the research targets.
Challenges with Initial T Cell Engager Results
The 533-DARPIn program initially faced underwhelming results due to target-mediated drug disposition problems, requiring adjustments in dosing.
Company Guidance
During the Molecular Partners Fourth Quarter and Full Year 2024 Results Call, several key metrics and strategic developments were highlighted. The company reported operating expenses of CHF 66 million for the year, which was within their guidance range of CHF 65 million to CHF 70 million. They ended the year with a cash balance of CHF 149 million, having raised CHF 20 million in a financing round in October, and reported a cash burn of approximately CHF 54 million for the year. This funding positions them well financially, with a runway extending into 2027. Revenue for 2024 was CHF 5 million, primarily from their collaboration with Novartis, which has now concluded. The company is advancing its radio DARPin program, with their lead candidate MP0712 set to begin clinical trials and dosimetry studies in 2025. The expansion of their collaboration with Orano Med was also a significant milestone, securing access to 10 product slots for the promising isotope Lead-212. Additionally, Molecular Partners is continuing to refine its T cell engager platform, with plans to densify dosing schedules and further investigate premedication strategies in upcoming trials.Molecular Partners Financial Statement Overview
Summary
Molecular Partners faces significant financial challenges with declining revenue and consistent net losses. Negative profitability margins and a slight improvement in negative free cash flow highlight ongoing financial strain. The strong equity financing is a positive, but the company's overall financial health is concerning.Income Statement
The company has experienced a decline in revenue over the past year, with a negative revenue growth rate of approximately -29.37% from 2023 to 2024. Gross profit margin is high at 100% in 2024 due to low total revenue, but net profit margin is negative due to substantial net losses, indicating challenges in controlling operational costs. EBIT and EBITDA margins are also negative, reflecting ongoing operational inefficiencies.30
Negative
Balance Sheet
The balance sheet shows a relatively low debt-to-equity ratio of 0.02 in 2024, suggesting low leverage and financial risk. However, the equity ratio is high at 89.34%, indicating strong equity financing. Return on equity is negative due to net losses, which is a concern for profitability. Overall, the company has a solid equity base but struggles with profitability.45
Neutral
Cash Flow
The company reports negative free cash flow, which has slightly increased from the previous year's negative free cash flow. The operating cash flow to net income ratio is close to 1, indicating that cash flow performance aligns with net income losses. However, negative free cash flow is a concern for long-term sustainability.40
Negative
| Breakdown | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 | Dec 2020 |
|---|---|---|---|---|---|
Income Statement | |||||
| Total Revenue | 4.97M | 7.04M | 189.56M | 9.33M | 9.34M |
| Gross Profit | -42.53M | -40.81M | 138.81M | -46.39M | -46.73M |
| EBITDA | -51.65M | -59.52M | 117.50M | -60.66M | -59.58M |
| Net Income | -54.04M | -61.98M | 117.85M | -63.78M | -62.76M |
Balance Sheet | |||||
| Total Assets | 158.53M | 198.35M | 262.26M | 172.67M | 187.55M |
| Cash, Cash Equivalents and Short-Term Investments | 149.44M | 186.89M | 249.14M | 132.81M | 173.72M |
| Total Debt | 2.44M | 3.65M | 4.85M | 6.04M | 7.22M |
| Total Liabilities | 16.89M | 21.92M | 27.09M | 65.38M | 80.33M |
| Stockholders Equity | 141.64M | 176.43M | 235.17M | 107.29M | 107.22M |
Cash Flow | |||||
| Free Cash Flow | -59.97M | -59.81M | 117.15M | -92.26M | -30.67M |
| Operating Cash Flow | -59.25M | -59.01M | 118.57M | -90.95M | -28.98M |
| Investing Cash Flow | 40.49M | 44.64M | -101.12M | -22.24M | -21.75M |
| Financing Cash Flow | 14.43M | -1.17M | -1.57M | 50.58M | 113.20M |
Molecular Partners Technical Analysis
Negative
3.65
Price Trends
3.74
Negative
3.86
Negative
4.61
Negative
Market Momentum
>-0.01
Positive
46.51
Neutral
25.50
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For MOLN, the sentiment is Negative. The current price of 3.65 is below the 20-day moving average (MA) of 3.71, below the 50-day MA of 3.74, and below the 200-day MA of 4.61, indicating a bearish trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 46.51 is Neutral, neither overbought nor oversold. The STOCH value of 25.50 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for MOLN.
Molecular Partners Risk Analysis
Molecular Partners disclosed 100 risk factors in its most recent earnings report. Molecular Partners reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Molecular Partners Peers Comparison
Overall Rating
UnderperformOutperform
Sector (63)
Financial Indicators
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
63 Neutral | ₹228.84B | 47.60 | 12.09% | 0.61% | 10.48% | 2.45% | |
58 Neutral | $197.97M | ― | -160.99% | ― | -75.67% | -552.37% | |
50 Neutral | $152.81M | ― | -40.40% | ― | -67.23% | 4.11% | |
47 Neutral | $216.86M | ― | -22.59% | ― | ― | 26.63% | |
46 Neutral | $137.82M | ― | -262.12% | ― | 239.92% | 79.41% | |
38 Underperform | $268.80M | ― | -66.13% | ― | ― | 43.21% |
* Healthcare Sector Average
Performance Comparison
MOLN
Molecular Partners
3.94
-2.23
-36.14%
SGMO
Sangamo Biosciences
0.53
-0.46
-46.46%
ANNX
Annexon Biosciences
2.48
-3.19
-56.26%
IPHA
Innate Pharma
2.14
-0.10
-4.46%
DSGN
Design Therapeutics
4.06
-0.15
-3.56%
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.