Omeros (OMER) AI Stock Analysis

• Market Cap: $284.47M
• Dividend Yield: N/A
• Average Volume (3M): 1.36M
• Price to Earnings (P/E): ―
• Beta (1Y): 1.29
• Revenue Growth: N/A
• EPS Growth: 10.15%
• Country: US
• Employees: 202
• Sector: Healthcare
• Sector Strength: 51
• Industry: Biotechnology
• EPS (TTM): -0.43
• Shares Outstanding: 68,055,824
• 10 Day Avg. Volume: 765,636
• 30 Day Avg. Volume: 1,358,742
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 1.86
• Enterprise Value/Revenue: 1.28K
• Enterprise Value/Gross Profit: -728.68
• Enterprise Value/Ebitda: -4.18
• 1Y Price Target: $9.00
• Price Target Upside: 115.83% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2

• Rating: 40 Underperform
• Price Target: ―

Omeros faces significant financial instability with no revenue and high debt, which heavily impacts its score. Technical indicators suggest some potential for short-term recovery, but poor valuation and ongoing losses are concerning. The company's strategic focus on drug development and partnerships offers some optimism, but financial recovery is crucial for improvement.

Positive Factors

Clinical Performance

Narsoplimab demonstrates a differentiated clinical profile and reinforces its potential to become the first approved therapy for transplant-associated thrombotic microangiopathy (TA-TMA).

Financial Prospects

Narsoplimab has the potential to be cash flow positive relatively quickly thus allowing OMER to begin to reinvest in these paused programs.

Negative Factors

Financial Challenges

There is an urgent financial overhang that the company needs to address, indicating financial instability.

Regulatory Concerns

There is skepticism about FDA approval of narsoplimab due to the limited clinical dataset and lack of new clinical data.

Omeros Business Overview & Revenue Model

Company Description

Omeros Corporation, a commercial-stage biopharmaceutical company, discovers, develops, and commercializes small-molecule and protein therapeutics, and orphan indications targeting inflammation, complement-mediated diseases, cancers related to dysfunction of the immune system, and addictive and compulsive disorders. The company's clinical programs include Narsoplimab (OMS721/MASP-2) that has completed pivotal studies for hematopoietic stem-cell transplant-associated thrombotic microangiopathy (HSCT-TMA); that is in Phase III clinical trial for immunoglobulin A nephropathy (IgAN) and atypical hemolytic uremic syndrome (aHUS); and Phase II clinical trial to treat COVID-19. Its clinical programs also consist of PPAR? (OMS405) that is in Phase II to treat opioid and nicotine addiction; PDE7 (OMS527), which is in Phase I trial for treating addiction and compulsive disorders, and movement disorders; and MASP-3 (OMS906) that is in Phase I trial for paroxysmal nocturnal hemoglobinuria (PNH) and other alternative pathway disorders. The company's preclinical programs comprise MASP-2-small-molecule inhibitors used for the treatment of aHUS, IgAN, HSCT-TMA, and age-related macular degeneration; longer-acting second generation antibody targeting MASP-2; and MASP-3-small-molecule inhibitors to treat PNH and other alternative pathway disorders. Its preclinical programs also include GPR174 Inhibitors and Chimeric Antigen Receptor (CAR) T-Cell and Adoptive T-Cell Therapies for various cancers; and G protein-coupled receptor targets for treating immunologic, immuno-oncologic, metabolic, CNS, cardiovascular, musculoskeletal, and other disorders. The company was incorporated in 1994 and is headquartered in Seattle, Washington.

How the Company Makes Money

Omeros Corporation makes money primarily through the sales of its commercial product, Omidria. Revenue is generated by selling Omidria to hospitals, ambulatory surgery centers, and other medical facilities where cataract and lens replacement surgeries are performed. The company has also received funding and financial support through partnerships, government grants, and collaborations to support its research and development activities. Additionally, Omeros may receive milestone payments and royalties from licensing agreements related to its pipeline products in development, though the majority of its current revenue stems from Omidria sales.

Omeros Financial Statement Overview

Summary

Omeros is facing significant financial challenges, with consistent net losses and no revenue generation. The negative stockholders' equity and high debt load exacerbate its instability, and the company relies heavily on debt financing, which is unsustainable without revenue.

Income Statement

Omeros' income statement reveals significant challenges, with no revenue generated in recent years, leading to negative gross and net profit margins. The company has struggled with consistent net losses, indicating severe profitability issues. There is no visible revenue growth, and operating margins are deeply negative, highlighting ongoing operational difficulties.

Balance Sheet

The balance sheet shows a negative stockholders' equity, which is a concerning indicator of financial instability. The company has a high debt load relative to its equity, resulting in a negative debt-to-equity ratio. This leverage situation poses substantial risks. The equity ratio is also negative, further underscoring the weak financial position.

Cash Flow

Cash flow analysis indicates persistent negative free cash flow, although there was a notable increase in operating cash flow in 2023. However, the operating cash flow remains negative overall. The company has been financing its operations through debt, which is unsustainable in the long term without generating revenue.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	412.00K	0.00	0.00	0.00	0.00	73.81M
Gross Profit	-726.00K	-950.00K	-69.78M	-952.00K	-1.39M	72.91M
EBITDA	-126.53M	-157.00M	-163.61M	-162.44M	-172.23M	-168.02M
Net Income	-122.47M	-156.81M	-117.81M	28.78M	194.24M	-138.06M
Balance Sheet
Total Assets	200.57M	277.08M	378.27M	590.97M	419.27M	181.04M
Cash, Cash Equivalents and Short-Term Investments	28.74M	90.13M	171.85M	194.92M	157.27M	134.95M
Total Debt	184.33M	207.02M	361.58M	342.02M	347.84M	32.55M
Total Liabilities	429.25M	459.69M	403.25M	505.29M	395.49M	301.79M
Stockholders Equity	-228.69M	-182.61M	-24.98M	85.68M	23.78M	-872.67M
Cash Flow
Free Cash Flow	-118.90M	-148.97M	74.30M	-86.60M	-110.00M	-100.37M
Operating Cash Flow	-118.82M	-148.80M	74.73M	-86.48M	-109.72M	-100.09M
Investing Cash Flow	130.83M	82.22M	27.45M	-127.56M	193.71M	-67.03M
Financing Cash Flow	-12.23M	62.88M	-106.08M	124.25M	6.32M	174.53M

Omeros Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 4.17
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For OMER, the sentiment is Negative. The current price of 4.17 is below the 20-day moving average (MA) of 4.25, above the 50-day MA of 3.84, and below the 200-day MA of 6.61, indicating a neutral trend. The MACD of 0.09 indicates Positive momentum. The RSI at 51.45 is Neutral, neither overbought nor oversold. The STOCH value of 21.42 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for OMER.

Omeros Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
UPB	61 Neutral	$1.06B	―		―	―	―
RLAY	55 Neutral	$689.65M	―	-46.24%	―	-76.27%	22.77%
DNA	55 Neutral	$691.45M	―	-43.59%	―	25.21%	67.53%
ZVRA	53 Neutral	$501.29M	―	3.53%	―	158.57%	96.76%
Sector *	51 Neutral	$7.92B	-0.43	-41.67%	2.21%	22.29%	-1.85%
OMER	40 Underperform	$284.47M	―	87.26%	―	―	10.15%
SION	―	$1.02B	―		―	―	―