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Processa Pharmaceuticals, Inc. (PCSA)
NASDAQ:PCSA
US Market
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Processa Pharmaceuticals (PCSA) AI Stock Analysis

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PCSA

Processa Pharmaceuticals

(NASDAQ:PCSA)

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Neutral 48 (OpenAI - 5.2)
Rating:48Neutral
Price Target:
$3.00
▲(15.38% Upside)
Action:Reiterated
Date:07/30/26
The score is held down primarily by weak financial performance typical of a pre-revenue biotech—persistent losses, substantial cash burn, and a materially reduced equity cushion despite no reported debt. Technicals are a modest offset as the stock is trading above its 20/50/100-day averages, but remaining below the 200-day average keeps the longer-term trend mixed. Valuation support is limited because the negative P/E reflects ongoing losses and no dividend yield is provided.
Positive Factors
Low leverage
Zero reported debt materially reduces near- and medium-term refinancing and interest-rate risk for a cash-burning biotech. That structural low-leverage profile gives management flexibility to prioritize R&D and allocate new capital toward clinical milestones without debt-servicing constraints.
Negative Factors
Persistent cash burn and losses
Sustained negative operating and free cash flow at ~-$15M TTM means the business model is not self-funding and remains dependent on external capital. Over the medium term this creates recurring dilution risk and forces management to prioritize financing and milestone timing over longer-term strategic investments.
Read all positive and negative factors
Positive Factors
Negative Factors
Low leverage
Zero reported debt materially reduces near- and medium-term refinancing and interest-rate risk for a cash-burning biotech. That structural low-leverage profile gives management flexibility to prioritize R&D and allocate new capital toward clinical milestones without debt-servicing constraints.
Read all positive factors

Processa Pharmaceuticals (PCSA) vs. SPDR S&P 500 ETF (SPY)

Processa Pharmaceuticals Business Overview & Revenue Model

Company Description
Processa Pharmaceuticals, Inc. is a biopharmaceutical company in the clinical development stage, committed to identifying and progressing therapeutic agents for patients with critical unmet medical requirements throughout the United States. The co...
How the Company Makes Money
Processa Pharmaceuticals does not have a recurring product-revenue business model because it is a clinical-stage biopharmaceutical company and, to the extent publicly available information indicates, it does not sell approved drugs. As a result, i...

Processa Pharmaceuticals Financial Statement Overview

Summary
Financials reflect an early-stage, pre-revenue biotech with persistent sizable losses (TTM net loss ~$14.1M) and heavy ongoing cash burn (TTM operating/free cash flow about -$15.0M). Low reported debt ($0) is a positive, but the equity base has fallen sharply (about ~$25.5M in 2021 to ~$2.5M TTM), increasing financing risk and reducing balance-sheet cushion.
Income Statement
6
Very Negative
Balance Sheet
38
Negative
Cash Flow
12
Very Negative
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue0.000.000.000.000.000.00
Gross Profit-301.000.000.000.00-874.01K0.00
EBITDA-14.11M-13.56M-11.85M-11.12M-26.64M-10.78M
Net Income-14.11M-13.56M-11.85M-11.12M-27.42M-11.43M
Balance Sheet
Total Assets4.52M7.81M3.23M5.79M8.62M26.46M
Cash, Cash Equivalents and Short-Term Investments1.69M5.54M1.19M4.71M6.50M16.50M
Total Debt0.000.0073.51K150.55K229.45K78.46K
Total Liabilities1.98M2.24M1.53M797.48K1.15M978.40K
Stockholders Equity2.54M5.58M1.70M4.99M7.47M25.49M
Cash Flow
Free Cash Flow-12.25M-11.39M-11.25M-8.07M-9.61M-8.72M
Operating Cash Flow-12.25M-11.39M-11.25M-8.06M-9.61M-8.72M
Investing Cash Flow-1.35M-850.00K-3.24K-2.78K0.000.00
Financing Cash Flow12.39M16.58M7.73M6.27M-388.84K9.80M

Processa Pharmaceuticals Technical Analysis

Technical Analysis Sentiment
Negative
Last Price2.60
Price Trends
50DMA
2.28
Negative
100DMA
2.52
Negative
200DMA
3.71
Negative
Market Momentum
MACD
0.02
Positive
RSI
46.64
Neutral
STOCH
23.41
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For PCSA, the sentiment is Negative. The current price of 2.6 is above the 20-day moving average (MA) of 2.28, above the 50-day MA of 2.28, and below the 200-day MA of 3.71, indicating a bearish trend. The MACD of 0.02 indicates Positive momentum. The RSI at 46.64 is Neutral, neither overbought nor oversold. The STOCH value of 23.41 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for PCSA.

Processa Pharmaceuticals Risk Analysis

Processa Pharmaceuticals disclosed 41 risk factors in its most recent earnings report. Processa 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

Processa Pharmaceuticals Peers Comparison

Overall Rating
UnderperformOutperform
Sector (51)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
51
Neutral
$7.86B-0.30-43.30%2.27%22.53%-2.21%
48
Neutral
$5.95M-0.20-281.30%86.07%
48
Neutral
$11.31M-1.11-150.61%53.06%
45
Neutral
$17.48M-1.08-66.69%-45.52%-94.82%
42
Neutral
$2.17M>-0.01-694.46%-92.20%
41
Neutral
$8.14M-0.19-246.04%54.48%
39
Underperform
$7.22M-0.73-201.06%
* Healthcare Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
PCSA
Processa Pharmaceuticals
2.13
-3.65
-63.15%
CANF
Can-Fite BioPharma
3.17
-10.32
-76.50%
SNGX
Soligenix
0.38
-2.73
-87.88%
LPCN
Lipocine
2.11
-1.02
-32.59%
COCP
Cocrystal Pharma
0.94
-1.00
-51.55%
PHGE
BiomX
0.19
-8.02
-97.73%

Processa Pharmaceuticals Corporate Events

Business Operations and StrategyExecutive/Board ChangesLegal ProceedingsM&A TransactionsPrivate Placements and Financing
Processa Pharmaceuticals acquires Vidya, raises strategic funding
Positive
Jul 29, 2026
On July 28, 2026, Processa completed the stock‑for‑stock acquisition of Vidya Therapeutics, bringing Vidya’s lead asset VT‑7208, a next‑generation CNS‑penetrant BTK inhibitor for immune‑mediated diseases, ...
Business Operations and StrategyExecutive/Board ChangesRegulatory Filings and Compliance
Processa Pharmaceuticals Announces Transition of Chief Development Officer
Neutral
Apr 30, 2026
On April 30, 2026, Processa Pharmaceuticals approved a planned transition toward retirement for Dr. Sian Bigora, its Chief Development and Regulatory Officer. Effective May 1, 2026, she moved from a full-time executive officer role to a part-time ...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

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.Date of analysis: Jul 30, 2026