Q32 Bio (QTTB) AI Stock Analysis

• Market Cap: $97.72M
• Dividend Yield: N/A
• Average Volume (3M): 396.43K
• Price to Earnings (P/E): 0.2
• Beta (1Y): 0.63
• Revenue Growth: N/A
• EPS Growth: 49.57%
• Country: US
• Employees: 28
• Sector: Healthcare
• Sector Strength: 45
• Industry: Biotechnology
• EPS (TTM): 4.58
• Shares Outstanding: 14,629,463
• 10 Day Avg. Volume: 79,560
• 30 Day Avg. Volume: 396,427
• PEG Ratio: >-0.01
• Price to Book (P/B): 0.97
• Price to Sales (P/S): 0.76
• P/FCF Ratio: -1.69
• Enterprise Value/Market Cap: 0.46
• Enterprise Value/Revenue: 0.84
• Enterprise Value/Gross Profit: 0.84
• Enterprise Value/Ebitda: 2.36
• 1Y Price Target: $14.33
• Price Target Upside: 114.52% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 3
• EPS Forecast (FY): -2.58
• Revenue Forecast (FY): N/A

• Rating: 56 Neutral
• Price Target: $6.50 ▼(-2.69% Downside)
• Action: Reiterated Date: 03/17/26
• Date: Action: Reiterated 03/17/26

The score is primarily held back by weak financial performance (minimal/zero recurring revenue and persistent cash burn), partially offset by improved balance sheet positioning. Technicals are supportive with a clear uptrend, though overbought signals increase near-term risk. Corporate events modestly help liquidity via financing but introduce dilution, and valuation signals are difficult to rely on given volatile earnings quality.

Positive Factors

Improved balance sheet

The 2025 reduction in debt and large equity infusion materially lowers leverage and refinancing risk, strengthening liquidity headroom to fund clinical programs. A healthier capital structure improves the company’s ability to execute multi-quarter R&D plans without immediate solvency pressure.

Committed financing for development

The registered direct offering provides near-term cash specifically earmarked for research and advancing clinical trials, extending the runway for key programs. Institutional participation signals continued investor support and reduces short-term financing uncertainty for pipeline execution.

Lower operating cash burn in 2025

A substantial reduction in operating cash outflows suggests improved expense control or one-time cost normalization, extending operational runway. Sustained lower burn over subsequent quarters would meaningfully reduce reliance on frequent dilutive financings and aid program continuity.

Negative Factors

No recurring revenue

The absence of commercial revenue leaves the company entirely dependent on external capital or partnership payments to fund operations. Without sales, forecasting cash flow and proving business sustainability is difficult, prolonging funding-driven execution risk for clinical programs.

Persistent negative cash flow

Consistent negative operating and free cash flow creates structural funding dependence. Even with recent improvement, the company will need periodic capital raises to sustain trials, which can dilute shareholders and create timing risk that affects long-term program prioritization and hiring.

Volatile, low-quality earnings

A sudden move to reported profitability despite negligible revenue implies one‑off items or accounting effects rather than durable operating improvement. This undermines earnings credibility and complicates assessment of sustainable margins and management’s ability to deliver repeatable financial performance.

Q32 Bio Business Overview & Revenue Model

Company Description

Q32 Bio Inc., a clinical-stage biotechnology company, develops biologic therapeutics to restore healthy immune balance in patients with autoimmune and inflammatory diseases driven by pathological immune dysfunction in the United States. Its lead product candidate is ADX-097, a humanized anti-C3d monoclonal antibody fusion protein to restore complement regulation, which has completed Phase I clinical trial for the treatment of renal and other complement-mediated diseases of high unmet need, including lupus nephritis, immunoglobulin A nephropathy, complement component 3 glomerulopathy, and anti-neutrophil cytoplasmic antibody-associated vasculitis. The company is also developing Bempikibart (ADX-914), a fully human anti–interleukin-7 receptor alpha antagonist monoclonal antibody designed to re-regulate adaptive immune function by blocking signaling mediated by interleukin-7 and thymic stromal lymphopoietin that is Phase II clinical trial for the treatment of atopic dermatitis and alopecia areata. Q32 Bio Inc. was formerly known as AdMIRx Inc. and changed its name to Q32 Bio Inc. in April 2020. The company was founded in 2017 and is based in Waltham, Massachusetts.

How the Company Makes Money

As a clinical-stage biotechnology company, Q32 Bio does not have publicly available information indicating recurring revenue from commercialized product sales. Its operations are typically funded through financing activities (such as issuing equity and other capital-raising transactions) and, where applicable, payments associated with collaborations or licensing arrangements (e.g., upfront payments, milestone payments, or research funding). Specific details on Q32 Bio’s current revenue streams, material commercial partnerships, or licensing income are null.

Q32 Bio Financial Statement Overview

Summary

Overall fundamentals remain weak: revenue has been effectively zero/inconsistent, profitability is volatile with a 2025 swing that appears non-recurring, and operating/free cash flow is consistently negative (ongoing cash burn). The main offset is meaningful balance sheet repair in 2025 (lower debt and much higher equity), but operating sustainability and funding risk remain key.

Income Statement

The income statement remains very weak for a biotech profile: revenue has been inconsistent and effectively zero in the last two annual periods (2024–2025), limiting visibility into a sustainable business model. Profitability is volatile—large losses in 2020–2024 followed by a sharp swing to positive EBIT and net income in 2025 (annual), which looks more like non-recurring items than operating leverage given the lack of revenue. Overall, earnings quality and repeatability appear low despite the 2025 rebound.

Balance Sheet

Balance sheet risk has improved meaningfully versus the prior year: total debt declined (from ~$18.9M in 2024 to ~$11.2M in 2025) while equity expanded sharply (from ~$5.7M to ~$42.0M), reducing financial strain. However, the capital structure has been unstable over the cycle (including negative equity in 2023), and assets declined from 2024 to 2025, suggesting ongoing balance sheet churn typical of cash-burning biotech. Net-net, leverage looks manageable today, but stability remains a concern.

Cash Flow

Cash generation is the primary weakness: operating cash flow and free cash flow are consistently negative across all years provided, indicating continued cash burn. While the burn rate improved substantially in 2025 (operating cash flow about -$24.2M vs. about -$67.7M in 2024), free cash flow still deteriorated on a growth basis in 2025 (more negative versus the prior period per the provided growth figure). The company likely remains dependent on external funding until cash burn structurally moderates.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	53.74M	0.00	-6.65M	6.65M	33.97M
Gross Profit	53.35M	-487.00K	-6.65M	6.65M	24.43M
EBITDA	17.29M	-45.30M	-47.76M	-38.85M	-86.22M
Net Income	29.82M	-47.73M	-53.74M	-42.81M	-95.76M
Balance Sheet
Total Assets	61.78M	92.33M	47.06M	61.77M	211.72M
Cash, Cash Equivalents and Short-Term Investments	48.30M	77.97M	25.62M	43.89M	155.87M
Total Debt	15.34M	18.90M	50.84M	44.73M	23.93M
Total Liabilities	19.76M	86.66M	229.98M	192.49M	42.07M
Stockholders Equity	42.01M	5.67M	-182.92M	177.98M	169.65M
Cash Flow
Free Cash Flow	-24.18M	-67.79M	-18.68M	-13.44M	-112.15M
Operating Cash Flow	-24.19M	-67.72M	-18.68M	-10.96M	-109.75M
Investing Cash Flow	7.00M	19.93M	-5.00K	-2.47M	-50.79M
Financing Cash Flow	-3.13M	95.14M	406.00K	30.07M	52.17M

Q32 Bio Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 6.68
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For QTTB, the sentiment is Positive. The current price of 6.68 is above the 20-day moving average (MA) of 5.52, above the 50-day MA of 4.57, and above the 200-day MA of 2.88, indicating a bullish trend. The MACD of 0.63 indicates Negative momentum. The RSI at 65.90 is Neutral, neither overbought nor oversold. The STOCH value of 56.92 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for QTTB.

Q32 Bio Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
QTTB	56 Neutral	$97.72M	0.18	1630.23%	―	―	49.57%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
GRCE	50 Neutral	$68.40M	-4.61	-10.61%	―	―	45.97%
SNTI	48 Neutral	$24.19M	-0.51	-197.68%	―	―	78.60%
PDSB	47 Neutral	$31.25M	-1.31	-208.95%	―	―	29.95%
TPST	44 Neutral	$30.87M	-3.25	-310.89%	―	―	49.43%
CALC	40 Underperform	$9.09M	-3,346.34	-526.36%	―	―	-2.46%

Q32 Bio Corporate Events

Q32 Bio Announces $10.5 Million Registered Direct Offering

On February 17, 2026, Q32 Bio Inc. announced it had entered a definitive agreement with institutional investors for a $10.5 million registered direct offering of 1,666,679 shares of common stock and pre-funded warrants to purchase up to 1,025,654 additional shares, priced in line with its recent Nasdaq closing. The transaction, led by a new institutional investor with participation from an existing public institutional holder, is expected to close on or about February 18, 2026, with proceeds earmarked for working capital and to support research, clinical development and commercialization activities, including advancing bempikibart into future alopecia areata trials, bolstering Q32 Bio’s funding base as it progresses its autoimmune pipeline.

The most recent analyst rating on (QTTB) stock is a Hold with a $4.00 price target. To see the full list of analyst forecasts on Q32 Bio stock, see the QTTB Stock Forecast page.

Q32 Bio Retains Mark Iwicki as Board Chair

On December 17, 2025, Q32 Bio Inc. announced that board member Mark Iwicki, who had previously notified the company of his intention to resign from its Board of Directors effective December 31, 2025, withdrew that resignation after a reduction in the number of boards on which he serves. With the full support of the board, Iwicki will remain Chair of the Board and the Compensation Committee, as well as a member of the Audit Committee, preserving leadership continuity and stability in Q32 Bio’s governance structure.

The most recent analyst rating on (QTTB) stock is a Buy with a $20.00 price target. To see the full list of analyst forecasts on Q32 Bio stock, see the QTTB Stock Forecast page.