NextCure (NXTC) AI Stock Analysis

• Market Cap: $11.73M
• Dividend Yield: N/A
• Average Volume (3M): 203.44K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.84
• Revenue Growth: N/A
• EPS Growth: 11.66%
• Country: US
• Employees: 43
• Sector: Healthcare
• Sector Strength: 65
• Industry: Biotechnology
• EPS (TTM): -1.99
• Shares Outstanding: 28,006,683
• 10 Day Avg. Volume: 370,112
• 30 Day Avg. Volume: 203,437
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• Price to Cash Flow (P/CF): -0.60
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: $3.00
• Price Target Upside: 614.29% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2

NextCure's stock score is primarily impacted by its financial challenges, with no current revenue and ongoing cash burn being significant hurdles. Technical analysis indicates a bearish outlook, while valuation metrics are unfavorable due to the lack of earnings. The recent corporate event highlights potential strategic growth through clinical trial advancements, offering some optimism. However, the company's immediate need for strategic partnerships or funding remains a critical factor for improving its financial stability and long-term viability.

Positive Factors

Clinical Development

The speed of clinical development and encouraging preclinical data are viewed positively for NextCure's LNCB74.

Efficacy

Preclinical results have demonstrated superior efficacy vs the val-cit linker MMAE ADC in ovarian cancer and breast cancer models, showing potential for LNCB74 to be more efficacious.

Safety Profile

NextCure is enrolling patients in Cohort 2 in Phase 1, which is taken as a positive signal of safety with no DLTs likely observed.

Negative Factors

Competition

The B7-H4 ADC landscape is competitive with 5 other clinical stage players, posing a challenge for LNCB74 to stand out.

Price Target

Analyst is lowering the price target to $3, given Nextcure no longer has any programs in active clinical studies.

Program Discontinuation

Nextcure has decided to halt further enrollment for NC410's Phase Ib study in CRC and ovarian cancer in order to prioritize resources on LNCB74.

NextCure Business Overview & Revenue Model

Company Description

NextCure, Inc. (NXTC) is a clinical-stage biopharmaceutical company dedicated to discovering and developing novel, first-in-class immunomedicines to treat cancer and other immune-related diseases. The company's approach is centered around its proprietary Functional, Integrated, NextCure Discovery in Immuno-Oncology (FIND-IO) platform, which enables the identification of targets for new immunotherapies. NextCure's core products focus on addressing unmet medical needs in oncology through innovative therapeutic solutions.

How the Company Makes Money

NextCure primarily generates revenue through strategic collaborations and partnerships with other pharmaceutical and biotechnology companies. These partnerships often involve joint development agreements, where NextCure provides its proprietary technology and expertise in exchange for research funding, milestone payments, and potential royalties on future product sales. Additionally, the company may receive revenue from government grants supporting specific research initiatives. However, as a clinical-stage company, NextCure has not yet achieved commercial sales of its products, which means its revenue streams are largely dependent on these collaborative and developmental agreements.

NextCure Financial Statement Overview

Summary

NextCure's financials indicate a focus on development with no current revenue, which is typical for biotech firms in pre-commercial phases. The balance sheet shows low leverage, but persistent negative cash flows highlight a critical need for revenue generation or additional funding to sustain operations.

Income Statement

NextCure's income statement shows a lack of revenue generation with consistent negative EBIT and net income, reflecting operational challenges. The absence of revenue growth and negative margins indicate significant financial strain, typical of early-stage biotech companies focused on R&D without marketable products.

Balance Sheet

The balance sheet reflects a strong equity position and low debt levels, with a favorable equity ratio. However, declining total assets and equity over the years pose concerns about sustainability. The company's reliance on cash reserves for funding operations highlights potential liquidity risks if revenue streams don't materialize.

Cash Flow

Cash flow analysis reveals negative operating and free cash flows with no signs of improvement, suggesting ongoing cash burn. The company's cash reserves have decreased substantially, although the ability to generate positive investing cash flow offers some relief. This trend indicates a need for external financing or strategic shifts to ensure long-term viability.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
0.00	0.00	0.00	0.00	22.38M
	Gross Profit
0.00	-3.68M	-4.48M	-4.30M	22.33M
	EBIT
-59.75M	-67.64M	-75.91M	-70.77M	-41.23M
	EBITDA
-54.34M	-59.04M	-70.25M	-65.01M	-37.81M
	Net Income Common Stockholders
-55.65M	-62.72M	-69.43M	-69.39M	-33.19M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
68.62M	108.30M	159.91M	219.59M	283.45M
	Total Assets
80.86M	128.04M	184.16M	242.39M	306.64M
	Total Debt
5.15M	6.61M	7.12M	0.00	3.47M
	Net Debt
-22.57M	-6.48M	-19.51M	-12.34M	-29.30M
	Total Liabilities
15.39M	13.62M	16.63M	9.00M	12.92M
	Stockholders Equity
65.47M	114.42M	167.53M	233.39M	293.72M
Cash Flow		Free Cash Flow
-41.28M	-53.79M	-56.00M	-59.60M	-52.09M
	Operating Cash Flow
-40.80M	-52.97M	-53.89M	-57.24M	-44.95M
	Investing Cash Flow
55.31M	39.27M	67.98M	36.60M	43.52M
	Financing Cash Flow
144.00K	154.00K	200.00K	-3.27M	-1.42M

NextCure Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 0.42
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For NXTC, the sentiment is Neutral. The current price of 0.42 is above the 20-day moving average (MA) of 0.38, below the 50-day MA of 0.57, and below the 200-day MA of 1.09, indicating a neutral trend. The MACD of -0.04 indicates Negative momentum. The RSI at 52.88 is Neutral, neither overbought nor oversold. The STOCH value of 87.03 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for NXTC.

NextCure Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	51 Neutral	$5.31B	3.33	-39.82%	2.92%	17.95%	1.84%
NXTC	43 Neutral	$11.73M	―	-61.87%	―	―	11.66%
SABS	43 Neutral	$13.93M	―	-81.92%	―	-40.94%	51.90%
GLYC	40 Underperform	$16.17M	―	-173.25%	―	-100.00%	-0.58%
MBRX	39 Underperform	$15.68M	―	-135.80%	―	―	52.82%
HOOK	34 Underperform	$10.13M	―	-61.68%	―	118.32%	61.16%
CARM	15 Underperform	$8.85M	―	-362.79%	―	31.59%	57.94%

NextCure Corporate Events

NextCure Updates Presentation on LNCB74 Clinical Trial

On April 10, 2025, NextCure updated its corporate presentation to provide insights into its ongoing clinical trial of LNCB74, a differentiated antibody-drug conjugate (ADC) targeting B7-H4, which is being developed in partnership with LigaChem Biosciences. The trial, which began in January 2025, is focused on breast, ovarian, and endometrial cancers, with data readouts expected in the first half of 2026. This development highlights NextCure’s strategic focus on advancing its pipeline of ADCs, leveraging its expertise in B7-H4, and addressing unmet needs in oncology, potentially enhancing its industry positioning and offering new opportunities for stakeholders.

Spark’s Take on NXTC Stock

According to Spark, TipRanks’ AI Analyst, NXTC is a Underperform.

NextCure’s overall stock score is low, reflecting significant financial challenges with no current revenue and ongoing cash burn. Technical analysis shows a bearish trend, and the negative P/E ratio highlights the company’s pre-commercial phase with no earnings. The company must urgently address these issues through strategic partnerships or additional funding to improve its financial stability.

To see Spark’s full report on NXTC stock, click here.