Neurogene (NGNE) AI Stock Analysis

• Market Cap: $270.55M
• Dividend Yield: N/A
• Average Volume (3M): 216.44K
• Price to Earnings (P/E): ―
• Beta (1Y): 2.85
• Revenue Growth: N/A
• EPS Growth: -140.77%
• Country: US
• Employees: 107
• Sector: Healthcare
• Sector Strength: 55
• Industry: Biotechnology
• EPS (TTM): -1.08
• Shares Outstanding: 14,262,066
• 10 Day Avg. Volume: 223,080
• 30 Day Avg. Volume: 216,441
• PEG Ratio: >-0.01
• Price to Book (P/B): -0.90
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -2.37
• Enterprise Value/Market Cap: 0.20
• Enterprise Value/Revenue: 14.38
• Enterprise Value/Gross Profit: -3.59
• Enterprise Value/Ebitda: -0.19
• 1Y Price Target: $35.25
• Price Target Upside: 85.82% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 7

• Rating: 34 Underperform
• Price Target: ―

Neurogene's overall score is primarily influenced by its financial performance, which is challenged by zero revenues and significant net losses. While the stock shows some technical strength, the high beta and potential overbought conditions pose risks. The valuation reflects the speculative nature of investing in an early-stage biotech firm.

Positive Factors

Clinical Trial Success

TSHA's clinical data showed a 100% responder rate in developmental milestones, suggesting potential positive outcomes for Neurogene Inc.'s similar trials.

Regulatory Support

The FDA remains flexible on trial designs, which positively affects Neurogene Inc.'s approach to their own pivotal trial.

Safety Profile

The selected low dose of NGN-401 is significantly safer compared to the high dose, offering a favorable safety profile.

Negative Factors

Dosing Concerns

High-dose NGN-401 led to serious adverse events, causing concern among investors.

Efficacy Concerns

Analyst remains skeptical on whether the drug provides a strong enough benefit for FDA approval based on single-arm data.

Regulatory Uncertainty

Analyst downgrades NGNE to Neutral due to continued significant regulatory uncertainty for NGN-401.

Neurogene Business Overview & Revenue Model

Company Description

Neurogene (NGNE) is a biotechnology company focused on developing life-changing genetic medicines to address severe neurological diseases. The company operates within the healthcare and biotechnology sectors, leveraging cutting-edge gene therapy techniques to create innovative treatments that have the potential to transform patient outcomes.

How the Company Makes Money

Neurogene makes money primarily through the development and commercialization of its gene therapy products. The company's revenue streams include licensing agreements, where it partners with larger pharmaceutical companies to co-develop and market its therapies, and potential sales of approved treatments. Neurogene may also receive funding through research grants, collaborations with academic institutions, and milestone payments from its strategic partnerships, which support its ongoing research and development efforts.

Neurogene Financial Statement Overview

Summary

Neurogene faces significant financial challenges typical of early-stage biotech firms, with no revenue and substantial net losses due to high R&D expenses. Despite a strong liquidity position, the company relies heavily on external financing, and historical negative equity highlights financial vulnerabilities.

Income Statement

Neurogene has consistently reported zero revenue over the years, highlighting the early-stage nature of its research-focused operations. The company faces substantial net losses, which have increased over time, indicating high operating expenses without corresponding income. This consistent lack of revenue and growing net losses reflect significant financial challenges.

Balance Sheet

The balance sheet shows a strong liquidity position with significant cash reserves compared to total debt, evidenced by healthy net debt figures. However, the company's equity ratio has been negative in recent years due to significant accumulated losses, although it turned positive in 2023 and 2024. The high cash position provides some stability, but the negative equity in the past highlights financial distress.

Cash Flow

Neurogene's cash flow statements indicate negative operating and free cash flows, consistent with its status as a pre-revenue biotech firm. The company relies heavily on financing activities for cash inflows, which is unsustainable long-term. While free cash flow has improved marginally, the negative cash flow from operations poses a significant risk.

Breakdown
TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
925.00K	925.00K	0.00	0.00	0.00	0.00
	Gross Profit
-14.82M	-2.32M	-3.26M	-3.20M	-2.28M	-1.82M
	EBIT
-89.75M	-82.61M	-55.58M	-56.52M	-50.53M	-41.55M
	EBITDA
-81.71M	-71.89M	-52.29M	-51.99M	-49.59M	-31.46M
	Net Income Common Stockholders
-80.87M	-75.14M	-36.32M	-55.19M	-50.52M	-33.28M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
292.60M	312.40M	197.16M	82.02M	70.54M	192.56M
	Total Assets
315.30M	335.73M	222.57M	109.27M	101.49M	210.52M
	Total Debt
13.54M	12.43M	16.25M	4.69M	5.21M	12.12M
	Net Debt
-57.23M	-124.16M	-131.96M	-77.33M	-65.33M	-180.43M
	Total Liabilities
23.51M	25.36M	36.55M	255.00M	193.36M	19.30M
	Stockholders Equity
291.80M	310.38M	186.02M	-145.74M	-91.88M	191.22M
Cash Flow		Free Cash Flow
-71.25M	-71.41M	-51.74M	-55.05M	-64.77M	-26.79M
	Operating Cash Flow
-69.73M	-70.60M	-51.42M	-52.82M	-46.40M	-24.57M
	Investing Cash Flow
-200.24M	-125.26M	25.64M	-2.23M	-18.37M	-2.22M
	Financing Cash Flow
190.60M	184.07M	92.48M	66.53M	51.06M	77.14M

Neurogene Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 18.97
• 50DMA: Positive
• 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 NGNE, the sentiment is Neutral. The current price of 18.97 is below the 20-day moving average (MA) of 19.38, above the 50-day MA of 15.79, and below the 200-day MA of 25.68, indicating a neutral trend. The MACD of 1.16 indicates Positive momentum. The RSI at 51.03 is Neutral, neither overbought nor oversold. The STOCH value of 25.00 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for NGNE.

Neurogene Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
LYEL	55 Neutral	$150.60M	―	-71.20%	―	-4.41%	-38.08%
Sector *	54 Neutral	$5.34B	3.27	-45.10%	3.30%	16.80%	0.02%
FDMT	48 Neutral	$202.44M	―	-32.97%	―	―	―
PRQR	48 Neutral	$197.80M	―	-52.64%	―	82.38%	3.63%
IKT	46 Neutral	$138.28M	―	-79.02%	―	-100.00%	38.72%
KRRO	45 Neutral	$127.15M	―	-60.22%	―	―	85.19%
NGNE	34 Underperform	$270.55M	―	-34.97%	―	―	-140.77%

Neurogene Corporate Events

Neurogene Highlights Progress in Rett Syndrome Program

Neurogene has updated its corporate presentation, highlighting the progress and future plans for its NGN-401 program for Rett syndrome, which is currently in Phase 1/2 clinical trials. The company is leveraging its proprietary EXACT technology and in-house manufacturing to advance its pipeline and explore market opportunities, positioning itself strategically in the biopharmaceutical sector.