Rallybio (RLYB) AI Stock Analysis

• Market Cap: $27.12M
• Dividend Yield: N/A
• Average Volume (3M): 283.42K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.27
• Revenue Growth: 12.71%
• EPS Growth: 79.93%
• Country: US
• Employees: 15
• Sector: Healthcare
• Sector Strength: 45
• Industry: Biotechnology
• EPS (TTM): 0.36
• Shares Outstanding: 42,243,774
• 10 Day Avg. Volume: 220,035
• 30 Day Avg. Volume: 283,421
• PEG Ratio: 0.03
• Price to Book (P/B): 0.68
• Price to Sales (P/S): 65.73
• P/FCF Ratio: -0.85
• Enterprise Value/Market Cap: -0.16
• Enterprise Value/Revenue: -6.25
• Enterprise Value/Gross Profit: -6.54
• Enterprise Value/Ebitda: 0.28
• 1Y Price Target: $1.00
• Price Target Upside: 51.52% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 48 Neutral
• Price Target: $0.70 ▲(5.61% Upside)

The score is held down primarily by weak financial performance (minimal revenue, sizable losses, and ongoing cash burn despite low debt). Technicals are mixed-to-stable with modest positive momentum and an improving longer-term moving-average structure. Valuation is difficult to assess favorably due to negative earnings and no dividend yield data.

Positive Factors

Pipeline Development

Advancing clinical trials for RLYB116 indicates progress in pipeline development, which is crucial for long-term growth in biotechnology.

Equity Milestone Payment

The milestone payment improves cash position and extends cash runway through 2027, supporting ongoing R&D and reducing immediate financial pressure.

Strong Gross Margin

A high gross margin reflects efficient cost management and potential for profitability as the company scales, enhancing long-term financial health.

Negative Factors

Declining Revenue

Decreasing revenue highlights challenges in commercializing products, which could hinder growth and sustainability if not addressed.

Sizable Net Losses

Continued net losses indicate operational inefficiencies and the need for external funding, posing risks to long-term viability without revenue growth.

Heavy Cash Burn

Significant cash burn underscores reliance on external capital, which may limit strategic flexibility and increase financial risk if not mitigated.

Rallybio Business Overview & Revenue Model

Company Description

Rallybio Corporation, a clinical-stage biotechnology company, engages in development and commercialization of life-transforming therapies for patients suffering from severe and rare diseases. Its lead product candidate is RLYB212, a monoclonal anti-HPA-1a antibody which is in Phase II clinical trial for the prevention of fetal and neonatal alloimmune thrombocytopenia (FNAIT); and RLYB211 for the prevention of FNAIT. The company is also developing RLYB114, a pegylated complement factor 5 (C5)-targeted Affibody molecule in preclinical development for the treatment of complement-mediated ophthalmic diseases; RLYB116, an inhibitor of complement component 5 (C5) to treat several diseases of complement dysregulation which has completed phase 1 trial; and RLYB332, a preclinical antibody, for the treatment of severe anemia with ineffective erythropoiesis and iron overload. It entered into a strategic alliance with AbCellera to discover, develop, and commercialize novel antibody-based therapeutics for rare diseases. Rallybio has collaboration with Exscientia for the development of small molecule therapeutics for rare diseases; and collaboration agreement with Johnson & Johnson to provide pregnant individuals therapeutic solutions at risk of fetal and neonatal alloimmune thrombocytopenia. The company was founded in 2018 and is headquartered in New Haven, Connecticut.

How the Company Makes Money

Rallybio makes money through the development and commercialization of its proprietary drug candidates. Revenue is primarily generated from partnerships and collaborations with larger pharmaceutical companies, which may include milestone payments, royalties, and licensing fees. Additionally, the company may receive funding from grants and research agreements to support its clinical trials and product development efforts. As Rallybio advances its pipeline products through clinical trials and towards regulatory approval, it aims to establish further commercial agreements to drive revenue growth.

Rallybio Financial Statement Overview

Summary

Early-stage profile with very small and declining TTM revenue ($0.7M, -11.4%), sizable net losses (~$14.2M), and heavy negative operating/free cash flow (~-$35.0M). Positives include strong gross margin (~96%) and minimal debt (~$0.2M), but shrinking equity and ongoing cash burn keep financial risk elevated.

Income Statement

TTM (Trailing-Twelve-Months) revenue remains very small ($0.7M) and declined (-11.4%), while losses are still sizable (net loss of ~$14.2M). The positive is strong gross profit economics (gross margin ~96%), but operating profitability is deeply negative (EBIT margin ~-57%), indicating the business is still far from scale and dependent on continued funding.

Balance Sheet

The balance sheet is conservatively levered with minimal debt ($0.2M TTM) and a very low debt-to-equity ratio (~0.001), which reduces financial risk. However, equity has fallen materially versus prior years (from ~$175.6M in 2021 to ~$63.0M TTM), and returns on equity are strongly negative (TTM ~-0.72), reflecting persistent losses and ongoing capital consumption.

Cash Flow

Cash burn remains heavy, with TTM operating cash flow and free cash flow both at about -$35.0M, though improved from 2024 (-$49.3M). Free cash flow also declined versus the prior period (-16.7% growth), and cash generation is not yet evident—cash flow largely mirrors accounting losses, underscoring continued reliance on external capital.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	674.00K	636.00K	0.00	0.00	0.00	0.00
Gross Profit	644.00K	636.00K	0.00	-167.00K	0.00	0.00
EBITDA	-15.20M	-60.37M	-78.78M	-67.72M	-45.39M	-25.24M
Net Income	-14.17M	-57.77M	-74.56M	-66.65M	-47.01M	-26.45M
Balance Sheet
Total Assets	67.66M	68.11M	115.62M	180.44M	182.19M	141.86M
Cash, Cash Equivalents and Short-Term Investments	59.32M	65.51M	109.93M	168.99M	175.33M	140.23M
Total Debt	198.00K	154.00K	392.00K	555.00K	0.00	0.00
Total Liabilities	4.63M	6.45M	9.44M	11.12M	6.58M	5.86M
Stockholders Equity	63.03M	61.65M	106.18M	169.32M	175.60M	136.00M
Cash Flow
Free Cash Flow	-35.00M	-49.28M	-60.28M	-57.34M	-45.87M	-22.18M
Operating Cash Flow	-35.00M	-49.28M	-60.27M	-57.28M	-45.53M	-22.04M
Investing Cash Flow	41.77M	33.49M	27.66M	-112.17M	-2.33M	-2.07M
Financing Cash Flow	28.00K	5.20M	143.00K	51.08M	82.97M	144.89M

Rallybio Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.66
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For RLYB, the sentiment is Positive. The current price of 0.66 is below the 20-day moving average (MA) of 0.68, below the 50-day MA of 0.69, and above the 200-day MA of 0.53, indicating a neutral trend. The MACD of -0.01 indicates Positive momentum. The RSI at 47.00 is Neutral, neither overbought nor oversold. The STOCH value of 53.42 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for RLYB.

Rallybio Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
RLYB	48 Neutral	$27.12M	-2.06	-21.17%	―	12.71%	79.93%
CTXR	48 Neutral	$15.37M	-0.20	-54.40%	―	―	18.73%
MBRX	45 Neutral	$13.21M	-0.07	―	―	―	79.31%
APVO	43 Neutral	$7.25M	>-0.01	-256.30%	―	―	99.02%
ALLR	42 Neutral	$16.06M	-0.60	-122.61%	―	―	99.82%
PCSA	41 Neutral	$6.80M	-0.08	-270.74%	―	―	72.88%