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Oric Pharmaceuticals (ORIC)
NASDAQ:ORIC

Oric Pharmaceuticals (ORIC) AI Stock Analysis

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Oric Pharmaceuticals

(NASDAQ:ORIC)

42Neutral
Oric Pharmaceuticals scores low overall due to its development stage characteristics, including no revenue generation and negative cash flows. While the company shows strong financial resilience with substantial cash reserves and no debt, its technical indicators signal weakness. Recent corporate events suggest strategic growth, but the lack of positive valuation metrics remains a significant concern.
Positive Factors
Financial Health
Management projects cash runway into 2027, indicating strong financial health to support ongoing research and development.
Market Opportunities
Pfizer's data presentation validates the target in prostate cancer and provides opportunities for ORIC as a second to market.
Research and Development
ORIC is accelerating their programs towards registration enabling studies with an initial focus on their prostate program.
Negative Factors
Development Risks
Risks include potential inability to advance ORIC-114 and ORIC-944 in clinical development and delays in moving into pivotal trials.
Safety Concerns
Despite robust efficacy results, investors focused on the high treatment-related Grade ≥3 adverse event rate of 49%.
Stock Dilution
There is a long-term dilution risk associated with the company's operations and stock.

Oric Pharmaceuticals (ORIC) vs. S&P 500 (SPY)

Oric Pharmaceuticals Business Overview & Revenue Model

Company DescriptionORIC Pharmaceuticals, Inc., a clinical-stage biopharmaceutical company, discovers and develops therapies for treatment of cancers in the United States. Its clinical stage product candidates include ORIC-533, an orally bioavailable small molecule inhibitor of CD73 being developed for resistance to chemotherapy- and immunotherapy-based treatment regimens; ORIC-944, an allosteric inhibitor of the polycomb repressive complex 2 for prostate cancer; and ORIC-114, a brain penetrant orally bioavailable irreversible inhibitor designed to selectively target epidermal growth factor receptor and human epidermal growth factor receptor 2 with high potency towards exon 20 insertion mutations. The company is also developing multiple discovery stage precision medicines targeting other cancer resistance mechanisms. It has a license and collaboration agreement with Voronoi Inc.; and a license agreement with Mirati Therapeutics, Inc. The company was incorporated in 2014 and is headquartered in South San Francisco, California.
How the Company Makes MoneyOric Pharmaceuticals generates revenue primarily through the development and commercialization of its drug candidates. The company seeks to monetize its pipeline by advancing its proprietary compounds through clinical trials and obtaining regulatory approval, which then allows it to either market these drugs directly or license them to larger pharmaceutical companies. Key revenue streams include potential milestone payments, royalties from partnerships with larger pharmaceutical companies, and future product sales upon successful drug approval. Oric may also engage in strategic collaborations and partnerships to co-develop or out-license its technologies, which can provide upfront payments and shared development costs, contributing to its revenue.

Oric Pharmaceuticals Financial Statement Overview

Summary
Oric Pharmaceuticals is in the development stage typical for biotech firms, with zero revenue, persistent net losses, and negative cash flows. However, its balance sheet is strong, with zero debt and substantial cash reserves, providing financial stability despite ongoing operational challenges.
Income Statement
10
Very Negative
Oric Pharmaceuticals has consistently reported zero revenue over the years, indicating that the company is still in the development phase typical for biotechnology firms. The persistent net losses and negative EBIT and EBITDA highlight ongoing operational challenges without any revenue to offset costs. This results in minimal profitability and growth metrics.
Balance Sheet
60
Neutral
The company maintains a strong equity position with zero total debt, resulting in a favorable debt-to-equity ratio. The high equity ratio indicates financial stability, while the substantial cash reserves suggest good liquidity to support ongoing operations and development activities. However, the continuous net losses may eventually impact equity if no revenue generation occurs.
Cash Flow
40
Negative
Operating cash flows have been consistently negative, reflecting the company's cash consumption due to ongoing operations without revenue inflows. The company has managed to maintain liquidity through financing activities, as seen in positive financing cash flows. However, free cash flow remains negative, highlighting the need for continual financing to sustain operations.
Breakdown
Dec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income StatementTotal Revenue
0.000.000.000.000.00
Gross Profit
0.00-1.03M-966.00K-897.00K-970.00K
EBIT
-142.90M-110.78M-91.77M-78.87M-74.19M
EBITDA
-142.90M-109.75M-91.77M-77.97M-74.19M
Net Income Common Stockholders
-127.85M-100.70M-91.48M-77.68M-97.27M
Balance SheetCash, Cash Equivalents and Short-Term Investments
255.96M208.19M206.27M236.98M293.60M
Total Assets
274.14M252.01M247.18M298.64M299.00M
Total Debt
3.18M10.21M2.66M1.93M0.00
Net Debt
-59.41M-13.17M-64.18M-224.08M-78.45M
Total Liabilities
31.02M27.92M24.83M25.67M9.22M
Stockholders Equity
243.12M224.09M222.35M272.98M289.78M
Cash FlowFree Cash Flow
-112.66M-86.54M-77.22M-60.48M-45.94M
Operating Cash Flow
-112.66M-85.69M-75.14M-59.54M-45.27M
Investing Cash Flow
22.14M-43.40M-109.25M158.44M-215.96M
Financing Cash Flow
126.55M85.66M25.62M49.13M250.51M

Oric Pharmaceuticals Technical Analysis

Technical Analysis Sentiment
Negative
Last Price4.88
Price Trends
50DMA
8.32
Negative
100DMA
8.72
Negative
200DMA
9.11
Negative
Market Momentum
MACD
-0.72
Positive
RSI
30.09
Neutral
STOCH
10.30
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ORIC, the sentiment is Negative. The current price of 4.88 is below the 20-day moving average (MA) of 6.79, below the 50-day MA of 8.32, and below the 200-day MA of 9.11, indicating a bearish trend. The MACD of -0.72 indicates Positive momentum. The RSI at 30.09 is Neutral, neither overbought nor oversold. The STOCH value of 10.30 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for ORIC.

Oric Pharmaceuticals Risk Analysis

Oric Pharmaceuticals disclosed 95 risk factors in its most recent earnings report. Oric Pharmaceuticals 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

Oric Pharmaceuticals Peers Comparison

Overall Rating
UnderperformOutperform
Sector (48)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
77
Outperform
$4.93B57.3310.34%473.02%1620.44%
59
Neutral
$4.07B-31.41%49.59%24.92%
48
Neutral
$6.36B1.14-49.01%2.63%17.12%1.49%
46
Neutral
$66.06M-273.36%194.23%45.50%
42
Neutral
$346.61M-54.73%7.15%
42
Neutral
$86.28M-54.21%-78.55%-0.92%
40
Neutral
$574.53M-50.50%4.28%
* Healthcare Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
ORIC
Oric Pharmaceuticals
4.88
-5.87
-54.60%
FATE
Fate Therapeutics
0.75
-5.96
-88.82%
ADAP
Adaptimmune Therapeutics
0.26
-1.10
-80.88%
ZLAB
Zai Lab
31.77
16.28
105.10%
KRYS
Krystal Biotech
171.30
-9.12
-5.05%
REPL
Replimune Group
7.46
0.34
4.78%

Oric Pharmaceuticals Corporate Events

Private Placements and FinancingBusiness Operations and Strategy
Oric Pharmaceuticals Expands Equity Incentive Plan for Growth
Positive
Mar 14, 2025

On March 11, 2025, Oric Pharmaceuticals’ Board of Directors approved an amendment to the 2022 Inducement Equity Incentive Plan, increasing the shares reserved for issuance by 1,100,000, totaling 2,250,000 shares. This move, made without stockholder approval under Nasdaq rules, aims to attract new employees and facilitate mergers or acquisitions, aligning with the company’s strategic growth and talent acquisition objectives.

Product-Related AnnouncementsBusiness Operations and Strategy
Oric Pharmaceuticals to Present at J.P. Morgan Conference
Positive
Jan 13, 2025

ORIC Pharmaceuticals plans to present an updated corporate presentation at the J.P. Morgan Healthcare Conference, highlighting its progress in advancing two lead programs, ORIC-114 and ORIC-944, towards pivotal studies. With a strong financial position, the company is well-positioned to continue its development pipeline, targeting new investigational new drug candidates and anticipating significant data milestones in the upcoming years, which could strengthen its industry positioning and impact stakeholders by addressing unmet needs in cancer treatment.

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.