tiprankstipranks
Trending News
More News >
TransCode Therapeutics (RNAZ)
NASDAQ:RNAZ
US Market

TransCode Therapeutics (RNAZ) AI Stock Analysis

Compare
419 Followers

Top Page

RN

TransCode Therapeutics

(NASDAQ:RNAZ)

Rating:27Underperform
Price Target:
TransCode Therapeutics, as an early-stage biotech firm, presents a high-risk investment profile with significant financial challenges. The lack of revenue and increasing losses, coupled with negative equity, highlight financial instability. Technical indicators suggest continued downward pressure on the stock. The absence of a favorable valuation further impacts its attractiveness. Investors should be cautious given the speculative nature and financial health of the company.
Positive Factors
Clinical Trials
The safety review committee's approval to open Cohort 4 in the Phase 1 trial of TTX-MC138 suggests favorable safety and potential for further development.
Financial Performance
TransCode's recent $8.8M equity raise boosts its cash reserves, potentially funding operations into 2026.
Strategic Growth
Potential pipeline partnerships indicate strategic growth opportunities for TransCode following the presentation of initial data.
Negative Factors
Clinical Risks
Risks include the emergence of safety signals or lower than expected efficacy from the company's clinical programs.
Operating Expenses
The company reported significantly higher operating expenses due to costs associated with dose escalation in the Phase 1 trial.

TransCode Therapeutics (RNAZ) vs. SPDR S&P 500 ETF (SPY)

TransCode Therapeutics Business Overview & Revenue Model

Company DescriptionTransCode Therapeutics, Inc., a biopharmaceutical company, engages in the development and commercialization of drugs and diagnostics for treating and identifying metastatic disease. Its lead therapeutic candidate, TTX-MC138, is a preclinical stage product for the treatment of metastatic cancer. The company's products in preclinical programs include TTX-siPDL1, an siRNA-based modulator of programmed death-ligand 1; TTX-siLIN28B, an siRNA-based inhibitor of RNA-binding protein LIN28B. Its cancer agnostic programs comprise TTX-RIGA, an RNA–based agonist of the RIG-I-driven immune response in the tumor microenvironment; TTX-CRISPR, a CRISPR/Cas9–based therapy platform for the repair or elimination of cancer-causing genes inside tumor cells; and TTX-mRNA, an mRNA-based platform for the development of cancer vaccines meant to activate cytotoxic immune responses against tumor cells. The company was incorporated in 2016 and is based in Boston, Massachusetts.
How the Company Makes MoneyTransCode Therapeutics primarily generates revenue through the development and potential commercialization of its RNA-based therapeutic candidates. The company may enter into collaborative agreements or partnerships with larger pharmaceutical companies to co-develop or license its technologies, which can result in upfront payments, milestone payments, and royalties on sales. Additionally, TransCode might receive funding through grants or research collaborations that support their R&D activities. As a biotechnology firm, the company's earnings are heavily reliant on the successful clinical development and eventual market approval of its drug candidates.

TransCode Therapeutics Financial Statement Overview

Summary
TransCode Therapeutics is in the early stages of development with no revenue generation yet. The financials reflect a typical high-risk, high-reward profile of a biotech startup, with significant losses and reliance on external funding. The company must achieve milestones to attract further funding and transition towards revenue generation to improve financial health.
Income Statement
10
Very Negative
TransCode Therapeutics has not generated any revenue over the past years, which is typical for early-stage biotech companies. The company consistently reports net losses, with a significant increase in net loss in the latest year. The lack of revenue and increasing expenses pose a risk to financial sustainability without future funding or revenue streams.
Balance Sheet
20
Very Negative
The company's balance sheet shows negative stockholders' equity, indicating liabilities exceed assets, which is a concern. The debt-to-equity ratio cannot be calculated due to negative equity, and the high liabilities compared to assets reflect financial instability. Cash reserves are present but may not be sufficient to cover ongoing losses.
Cash Flow
15
Very Negative
Operating cash flow is deeply negative, reflecting the company's pre-revenue status and heavy R&D spending. The company has been financing its operations primarily through external financing, as indicated by positive financing cash flows. Free cash flow remains negative, highlighting the need for more sustainable cash generation.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue0.000.000.000.000.000.00
Gross Profit0.000.000.00-98.61K-42.47K0.00
EBITDA-25.05M-16.19M-17.97M-17.47M-6.11M0.00
Net Income-25.51M-16.75M-18.55M-35.13M-6.94M-2.74M
Balance Sheet
Total Assets13.19M7.29M5.17M7.59M22.94M1.06M
Cash, Cash Equivalents and Short-Term Investments11.57M5.81M2.77M4.97M20.83M828.02K
Total Debt0.0038.29K450.57K0.000.002.09M
Total Liabilities2.90M9.31M3.53M4.35M2.53M4.46M
Stockholders Equity10.29M-2.02M1.64M3.24M20.40M-3.41M
Cash Flow
Free Cash Flow-12.51M-13.36M-18.11M-15.86M-5.52M-492.97K
Operating Cash Flow-12.50M-13.34M-18.07M-15.76M-5.27M-492.97K
Investing Cash Flow-17.93K-21.76K-35.61K-100.92K-251.82K0.00
Financing Cash Flow19.17M16.40M15.91M5.99K25.52M1.12M

TransCode Therapeutics Technical Analysis

Technical Analysis Sentiment
Neutral
Last Price8.05
Price Trends
50DMA
8.52
Positive
100DMA
37.06
Negative
200DMA
179.55
Negative
Market Momentum
MACD
-0.15
Negative
RSI
57.49
Neutral
STOCH
73.38
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For RNAZ, the sentiment is Neutral. The current price of 8.05 is above the 20-day moving average (MA) of 7.69, below the 50-day MA of 8.52, and below the 200-day MA of 179.55, indicating a neutral trend. The MACD of -0.15 indicates Negative momentum. The RSI at 57.49 is Neutral, neither overbought nor oversold. The STOCH value of 73.38 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for RNAZ.

TransCode Therapeutics Risk Analysis

TransCode Therapeutics disclosed 91 risk factors in its most recent earnings report. TransCode Therapeutics reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks

TransCode Therapeutics Peers Comparison

Overall Rating
UnderperformOutperform
Sector (52)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
52
Neutral
$7.45B0.30-61.93%2.28%16.62%1.04%
48
Neutral
$11.50M-655.00%-26.38%40.99%
39
Underperform
$7.00M
-94.07%52.36%
34
Underperform
$7.08M-590.37%-73095.97%
33
Underperform
$12.19M-339.64%-75.88%
27
Underperform
$6.71M-342.99%99.64%
$3.80M-154.54%
* Healthcare Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
RNAZ
TransCode Therapeutics
9.25
-776.15
-98.82%
PTNT
Palatin Technologies
0.14
-1.63
-92.09%
EVGN
Evogene
1.41
-4.98
-77.93%
MTVA
MetaVia
0.64
-3.89
-85.87%
SLXN
Silexion Therapeutics
0.81
-105.03
-99.23%
LIPO
Lipella Pharmaceuticals, Inc.
0.78
-2.66
-77.33%

TransCode Therapeutics Corporate Events

Delistings and Listing ChangesStock Split
TransCode Therapeutics Announces Reverse Stock Split Approval
Neutral
May 2, 2025

On May 2, 2025, TransCode Therapeutics announced that its stockholders approved a 1-for-28 reverse stock split to meet Nasdaq’s minimum bid price requirements. This move, aimed at increasing the per-share trading price, will reduce the number of outstanding shares from 23,341,336 to approximately 833,620. The reverse stock split will automatically convert twenty-eight current shares into one new share, with no fractional shares issued. The effective date is yet to be determined, and the company will announce it at least two days before implementation. This strategic decision is significant for maintaining the company’s Nasdaq listing and potentially improving its market position.

Spark’s Take on RNAZ Stock

According to Spark, TipRanks’ AI Analyst, RNAZ is a Underperform.

TransCode Therapeutics, as an early-stage biotech firm, presents a high-risk investment profile with significant financial challenges. The lack of revenue and increasing losses, coupled with negative equity, highlight financial instability. Technical indicators suggest continued downward pressure on the stock. The absence of a favorable valuation further impacts its attractiveness. Investors should be cautious given the speculative nature and financial health of the company.

To see Spark’s full report on RNAZ stock, click here.

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: May 02, 2025