Nanobiotix (NBTX) AI Stock Analysis

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Nanobiotix

(NASDAQ:NBTX)

37Underperform

Nanobiotix's overall stock score reflects significant financial difficulties, including negative revenue and high leverage. Technical indicators suggest weak momentum, and the stock appears overvalued relative to its earnings. The strategic partnership with JNJ offers potential future benefits but does not offset the current financial challenges. Investors should approach with caution due to the high risk associated with the company's financial instability.

Positive Factors

Clinical Development

The collaboration with MD Anderson Cancer Center is exploring the potential of NBTXR3 in a range of additional tumor types, including pancreatic and esophageal cancer, which could expand the drug's applicability and market reach.

Financial Stability

A recent amendment of its licensing agreement with JNJ extends the company's cash runway to mid-2026, safeguarding the company's path through the interim analysis of the NANORAY-312 trial.

Strategic Partnerships

The partnership with JNJ and the ongoing collaboration are seen as supportive, enhancing the credibility and potential success of NBTXR3.

Negative Factors

Clinical and Commercial Risks

Clinical and commercial risks are acknowledged for the novel radioenhancer NBTXR3 and risks related to the company’s balance sheet.

Financial Concerns

Investor focus is expected to remain on the company's cash runway and ongoing concerns about the balance sheet, implying financial stability is a key concern for stakeholders.

Nanobiotix (NBTX) vs. S&P 500 (SPY)

Market Cap

$160.07M

Dividend YieldN/A

Average Volume (3M)14.13K

Price to Earnings (P/E)―

Beta (1Y)0.14

Revenue GrowthN/A

EPS Growth54.68%

CountryUS

Employees110

SectorHealthcare

Sector Strength71

IndustryBiotechnology

Share Statistics

EPS (TTM)-0.80

Shares Outstanding47,133,327

10 Day Avg. Volume16,280

30 Day Avg. Volume14,135

Financial Highlights & Ratios

PEG RatioN/A

Price to Book (P/B)N/A

Price to Sales (P/S)4.32

Price to Cash Flow (P/CF)N/A

P/FCF Ratio0.00

Enterprise Value/Market CapN/A

Enterprise Value/RevenueN/A

Enterprise Value/Gross ProfitN/A

Enterprise Value/EbitdaN/A

Forecast

1Y Price Target

$6.83

Price Target Upside105.11% Upside

Rating ConsensusModerate Buy

Number of Analyst Covering3

Nanobiotix Business Overview & Revenue Model

Company DescriptionNanobiotix (NBTX) is a pioneering biotechnology company focused on using nanotechnology to transform the treatment of cancer. The company operates in the healthcare sector, specifically within oncology, and is dedicated to developing first-in-class therapeutic solutions. Its core product, NBTXR3, is a nanoparticle designed for direct injection into cancer tumors to enhance the efficacy of radiotherapy across various cancer indications.

How the Company Makes MoneyNanobiotix generates revenue primarily through the development and commercialization of its core product, NBTXR3. The company's revenue model includes income from research and development collaborations, licensing agreements, and potential sales of its nanotechnology-based therapeutics. Key revenue streams include milestone payments from strategic partnerships with pharmaceutical companies and government grants supporting its innovative research. Significant partnerships, such as those with leading global healthcare companies, contribute to its earnings by facilitating the commercialization and distribution of its products in international markets. Additionally, Nanobiotix may receive royalties from licensed products once they reach the market.

Nanobiotix Financial Statement Overview

Summary

Nanobiotix shows significant revenue growth but remains unprofitable with ongoing operational challenges. The balance sheet is strained with negative equity, and the company relies on external financing. Improvements in cash flow management are a positive sign, but financial stability remains a concern.

Income Statement

Neutral

Nanobiotix shows substantial revenue growth with a 529.5% increase from the previous year, indicating strong top-line improvement. However, the company remains unprofitable with a negative net profit margin of -132.1% and an EBIT margin of -89.1%, reflecting ongoing operational challenges. The gross profit margin is healthy at 100%, but the overall profitability is affected by high operating expenses.

Balance Sheet

Negative

The company's balance sheet is strained with a negative stockholders' equity, indicating financial instability. The debt-to-equity ratio is not meaningful due to negative equity, but the total debt position is substantial. The equity ratio is negative, further highlighting risks in financial leverage and solvency.

Cash Flow

Neutral

Nanobiotix's cash flow shows improvement in free cash flow with a growth rate of 65.6%, suggesting better cash management. However, the operating cash flow remains negative, indicating continued reliance on external financing to support operations. The free cash flow to net income ratio is not calculable due to negative values.

TTM	Dec 2023	Dec 2022	Dec 2021	Dec 2020	Dec 2019
Breakdown
Income Statement		Total Revenue
42.20M	36.21M	4.78M	10.00K	50.00K	68.00K
	Gross Profit
42.20M	36.21M	3.79M	10.00K	50.00K	68.00K
	EBIT
-25.06M	-26.78M	-46.70M	-52.58M	-36.43M	-46.78M
	EBITDA
-21.83M	-23.69M	-45.15M	-45.60M	-31.49M	-44.77M
	Net Income Common Stockholders
-33.47M	-39.70M	-57.04M	-47.00M	-33.62M	-50.91M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
12.36M	75.28M	41.39M	83.92M	119.15M	35.09M
	Total Assets
14.02M	93.90M	59.77M	101.77M	134.03M	56.20M
	Total Debt
1.43M	50.56M	53.17M	46.02M	48.98M	44.53M
	Net Debt
-10.93M	-24.72M	11.78M	-37.90M	-70.17M	9.43M
	Total Liabilities
3.33M	95.74M	86.81M	74.98M	63.56M	58.11M
	Stockholders Equity
10.70M	-1.84M	-27.05M	26.79M	70.47M	-1.91M
Cash Flow		Free Cash Flow
-1.53M	-12.81M	-37.20M	-30.11M	-27.64M	-42.61M
	Operating Cash Flow
-1.04M	-12.48M	-37.10M	-29.87M	-27.54M	-41.17M
	Investing Cash Flow
-522.00K	-349.00K	138.00K	-242.00K	-112.00K	-1.46M
	Financing Cash Flow
46.25M	46.77M	-5.65M	-5.18M	111.77M	41.49M

Nanobiotix Technical Analysis

Technical Analysis Sentiment

Positive

Last Price3.33

Price Trends

50DMA

3.55

Negative

100DMA

3.38

Positive

200DMA

4.19

Negative

Market Momentum

MACD

-0.07

Positive

RSI

50.40

Neutral

STOCH

62.27

Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For NBTX, the sentiment is Positive. The current price of 3.33 is below the 20-day moving average (MA) of 3.44, below the 50-day MA of 3.55, and below the 200-day MA of 4.19, indicating a bearish trend. The MACD of -0.07 indicates Positive momentum. The RSI at 50.40 is Neutral, neither overbought nor oversold. The STOCH value of 62.27 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for NBTX.

Nanobiotix Risk Analysis

Nanobiotix disclosed 72 risk factors in its most recent earnings report. Nanobiotix 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

Nanobiotix Peers Comparison

Overall Rating

UnderperformOutperform

Sector (50)

Financial Indicators

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	50 Neutral	$5.51B	2.95	-43.70%	2.78%	16.94%	3.59%
IPHA	46 Neutral	$164.95M	―	-160.99%	―	-42.35%	42.43%
MOLN	42 Neutral	$158.44M	―	-33.54%	―	-27.77%	13.82%
NBTX	37 Underperform	$160.07M	―	2152.93%	―	―	54.68%
SGMO	35 Underperform	$168.64M	―	-187.83%	―	-67.20%	64.66%
DSGN	32 Underperform	$184.48M	―	-19.08%	―	―	26.63%
ANNX	27 Underperform	$167.86M	―	-50.84%	―	―	43.21%

* Healthcare Sector Average

Performance Comparison

NBTX

Nanobiotix

3.41

-2.11

-38.22%

SGMO

Sangamo Biosciences

0.74

0.20

37.04%

ANNX

Annexon Biosciences

1.54

-3.58

-69.92%

IPHA

Innate Pharma

1.91

-0.68

-26.25%

DSGN

Design Therapeutics

3.25

-0.44

-11.92%

MOLN

Molecular Partners

3.91

0.00

0.00%

Nanobiotix Earnings Call Summary

Earnings Call Date: Apr 2, 2025 | % Change Since: -2.06% | Next Earnings Date: May 14, 2025

Earnings Call Sentiment Neutral

The call highlighted significant strategic progress with the JNJ collaboration and pipeline advancements, along with a strong financial strategy to extend cash runway. However, financial performance showed challenges with negative revenue and increased net loss.

Highlights

JNJ Collaboration

Signed a $2.6 billion plus royalties agreement with JNJ, focusing initially on lung and head and neck cancers, representing a potential $10 billion market.

Pipeline Progress

Significant pipeline developments including the NANORAY-312 Phase 3 study in head and neck cancer and the CONVERGE Phase 2 study in lung cancer.

Curadigm Platform Launch

Launched a new first-in-class nanotherapeutic platform, Curadigm, which has potential applications in multiple therapeutic areas.

Financial Strategy and Cash Runway

Extended cash runway to mid-2026 through an amendment to the JNJ agreement, and exploring nondilutive financing options to extend it to 2027.

Lowlights

Financial Performance

Reported negative revenue of €7.2 million in 2024 due to a one-time non-cash negative revenue impact from the transfer of NANORAY-312 sponsorship to Janssen.

R&D Expenses

R&D expenses increased by 5% to €40.5 million, mainly due to costs related to NANORAY-312 and other clinical trials.

Net Loss

Net loss attributable to shareholders increased by 72% to €68.1 million, primarily due to the one-off negative revenue recognition impact.

Company Guidance

During the Nanobiotix Business Update and Full Year 2024 Financial Results Conference Call, significant guidance was provided regarding the company's financial and operational outlook. Nanobiotix reported a net loss of €68.1 million for 2024, largely due to a non-cash negative revenue recognition impact from the transfer of NANORAY-312 study sponsorship to Janssen, which resulted in negative revenue of €7.2 million. The company highlighted that its cash and cash equivalents stood at €49.7 million as of December 31, 2024, projecting this to fund operations into mid-2026. Notably, Nanobiotix anticipates potential medium-term milestones exceeding $200 million from its collaboration with Johnson & Johnson (JNJ). This collaboration includes a $2.6 billion deal plus royalties, with recent amendments extending the company's cash runway by removing most funding obligations for NANORAY-312. The company also emphasized its strategic focus on the Curadigm platform and potential nondilutive financing options to further extend cash visibility into 2027.

Glossary

OutperformA stock rated as "Outperform" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock is likely to deliver higher returns compared to the average returns of other stocks in the same sector or market index. Investors might consider this stock a good buying opportunity.

NeutralA stock rated as "Neutral" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly attractive nor unattractive for investment. Investors may consider holding onto the stock, as it is not expected to either significantly outperform or underperform the market.

UnderperformA stock rated as "Underperform" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock may deliver lower returns compared to the average returns of other stocks in the same sector or market index. Investors might consider selling the stock or avoiding it as an investment.

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.