Summit Therapeutics (SMMT) AI Stock Analysis

• Market Cap: $11.64B
• Dividend Yield: N/A
• Average Volume (3M): 2.47M
• Price to Earnings (P/E): ―
• Beta (1Y): 2.48
• Revenue Growth: N/A
• EPS Growth: -348.63%
• Country: US
• Employees: 159
• Sector: Healthcare
• Sector Strength: 45
• Industry: Biotechnology
• EPS (TTM): -0.31
• Shares Outstanding: 744,442,570
• 10 Day Avg. Volume: 2,610,543
• 30 Day Avg. Volume: 2,468,153
• PEG Ratio: 0.84
• Price to Book (P/B): 32.99
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -90.17
• Enterprise Value/Market Cap: 0.91
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: -701.02
• Enterprise Value/Ebitda: -11.45
• 1Y Price Target: $49.48
• Price Target Upside: 221.30% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 9
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 55 Neutral
• Price Target: $16.00 ▲(3.90% Upside)

The score is held back primarily by weak financial performance (large and worsening losses with accelerating cash burn) and bearish technicals (below all major moving averages with negative momentum). Offsetting these are strong clinical/regulatory catalysts highlighted in the earnings call and corporate events (BLA submission/acceptance and positive Phase III results), while valuation is difficult to assess given ongoing losses and no dividend.

Positive Factors

BLA acceptance by FDA

Regulatory acceptance establishes a formal U.S. review pathway and a defined timeline, materially reducing regulatory uncertainty. This durable milestone positions the company for potential approval-driven commercialization and partner/market planning if efficacy/safety are sustained through review.

Strong Phase III efficacy

Convincing Phase III efficacy supports clinical differentiation versus existing therapies and underpins regulatory filings and label claims. Durable trial efficacy increases the probability of adoption across indications and strengthens bargaining power with partners and payers if safety and OS benefits validate clinical value.

Collaboration with GSK

Partnering with a major pharma provides development capacity, operational execution support, and access to additional mechanisms and indications. This durable strategic alliance can accelerate combination trials, broaden clinical footprint, and lower execution risk versus going it alone.

Negative Factors

Accelerating cash burn

Rising negative operating cash flow shortens runway and forces ongoing external financing need. Over the medium term this constrains strategic flexibility, increases dilution or covenant risk, and could slow or reprioritize costly Phase III programs if capital markets or partner funding become limited.

Deep and widening operating losses

Very large, growing losses without material commercial revenue mean the company remains dependent on financing, milestone payments, or partners. This persistent negative profitability reduces resilience to trial setbacks and makes long-term viability contingent on successful approvals or sizable partner/licensing arrangements.

Balance-sheet sensitivity

While current leverage is low, the sharp decline in equity erodes the financial buffer and elevates reliance on new capital. That sensitivity limits downside protection, raises refinancing risk for multiple Phase III trials, and can constrain ability to fund simultaneous global development programs without dilution or partner exits.

Summit Therapeutics Business Overview & Revenue Model

Company Description

Summit Therapeutics Inc., a biopharmaceutical company, discovers, develops, and commercializes medicines to treat infectious diseases in the United States and Latin America. It conducts clinical programs focusing on Clostridioides difficile infection (CDI). The company's lead product candidate is ridinilazole, an orally administered small molecule antibiotic that is in Phase III clinical trials for the treatment of CDI. It also offers SMT-738, for combating multidrug resistant infections primarily carbapenem-resistant Enterobacteriaceae infections; and DDS-04 series for the potential treatment of infections caused by the Enterobacteriaceae. The company was founded in 2003 and is based in Cambridge, Massachusetts.

How the Company Makes Money

Summit Therapeutics generates revenue primarily through collaboration and licensing agreements with other pharmaceutical companies. These partnerships often involve upfront payments, milestone payments, and royalties based on the commercial success of the developed products. Additionally, the company may receive government grants and funding from nonprofit organizations that support research and development of new antibiotics. As a clinical-stage company, Summit Therapeutics does not yet generate revenue from product sales, as its products are still in the development phase.

Summit Therapeutics Financial Statement Overview

Summary

Income statement and cash flow are weak with minimal revenue, deeply negative profitability, and accelerating cash burn (TTM net income about -$922M; TTM operating cash flow about -$272M). The balance sheet is a relative positive with low leverage (debt-to-equity ~0.03 TTM), but equity has declined materially, increasing reliance on future financing.

Income Statement

Across the history provided, the company generates little to no revenue (including 2024 annual and 2025-09-30 TTM (Trailing-Twelve-Months)), and profitability remains deeply negative. Losses expanded sharply in TTM (Trailing-Twelve-Months) with net income around -$922M versus -$221M in 2024 annual, indicating a significant increase in operating spend and/or non-operating charges. A positive is that this profile is not unusual for a clinical-stage biotech, but the current earnings trajectory is clearly deteriorating and offers limited near-term visibility from the income statement alone.

Balance Sheet

Leverage looks conservative in the most recent periods, with low total debt and a low debt-to-equity ratio in TTM (Trailing-Twelve-Months) (~0.03) and 2024 annual (~0.02), which supports financial flexibility. However, equity has declined meaningfully from 2024 annual (~$389M) to TTM (Trailing-Twelve-Months) (~$192M), consistent with heavy losses and cash burn, and return on equity is strongly negative in TTM (Trailing-Twelve-Months). The longer-term picture also shows prior balance-sheet stress (very high leverage in 2022 and 2023), so while the balance sheet is currently cleaner, it remains sensitive to ongoing funding needs.

Cash Flow

Cash generation is weak, with operating cash flow and free cash flow negative in every period shown. Burn increased materially in TTM (Trailing-Twelve-Months) (operating cash flow about -$272M) versus 2024 annual (~-$142M), implying a faster runway consumption rate. A modest positive is that free cash flow broadly tracks net income (free cash flow to net income ~1.0), suggesting the losses are largely cash-based rather than being masked by non-cash items—but that also means funding requirements are real and recurring.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	0.00	0.00	0.00	704.29K	1.81M	860.00K
Gross Profit	-15.04M	-15.01M	-2.05M	-1.81M	1.81M	860.00K
EBITDA	-921.46M	-212.85M	-69.45M	-73.12M	-85.91M	-50.65M
Net Income	-921.62M	-221.31M	-614.93M	-78.78M	-88.60M	-52.70M
Balance Sheet
Total Assets	261.73M	435.56M	202.95M	664.17M	113.37M	102.50M
Cash, Cash Equivalents and Short-Term Investments	238.88M	412.35M	186.24M	348.61M	71.79M	66.42M
Total Debt	5.43M	7.22M	106.10M	518.76M	2.78M	465.00K
Total Liabilities	69.47M	46.81M	125.26M	537.51M	30.09M	23.05M
Stockholders Equity	192.26M	388.75M	77.69M	126.65M	83.28M	79.45M
Cash Flow
Free Cash Flow	-272.11M	-142.25M	-76.89M	-42.21M	-72.89M	-48.53M
Operating Cash Flow	-271.60M	-142.11M	-76.76M	-41.58M	-72.59M	-48.11M
Investing Cash Flow	393.11M	-205.34M	-587.77M	-624.00K	-306.00K	-421.00K
Financing Cash Flow	20.95M	381.23M	86.51M	620.24M	77.92M	50.55M

Summit Therapeutics Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 15.40
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SMMT, the sentiment is Negative. The current price of 15.4 is below the 20-day moving average (MA) of 17.24, below the 50-day MA of 17.45, and below the 200-day MA of 21.63, indicating a bearish trend. The MACD of -0.55 indicates Positive momentum. The RSI at 37.33 is Neutral, neither overbought nor oversold. The STOCH value of 8.64 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for SMMT.

Summit Therapeutics Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
INCY	81 Outperform	$19.86B	16.96	30.39%	―	18.09%	3563.21%
UTHR	76 Outperform	$20.12B	17.73	20.04%	―	13.50%	17.16%
GMAB	76 Outperform	$20.13B	14.05	28.20%	―	24.98%	127.06%
SMMT	55 Neutral	$11.64B	-12.40	-292.49%	―	―	-348.63%
BNTX	53 Neutral	$27.93B	-44.41	-2.94%	―	7.04%	-25.24%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
ASND	46 Neutral	$13.59B	-52.73	―	―	103.32%	47.55%

Summit Therapeutics Corporate Events

Summit Therapeutics’ Ivonescimab BLA Accepted by FDA

On January 29, 2026, Summit Therapeutics announced that the U.S. Food & Drug Administration accepted for filing its Biologics License Application for ivonescimab in combination with chemotherapy for patients with EGFR‑mutated locally advanced or metastatic non-squamous non-small cell lung cancer who have progressed after third-generation tyrosine kinase inhibitor therapy. The application, supported by results from the global Phase III HARMONi trial, has been assigned a Prescription Drug User Fee Act goal action date of November 14, 2026, and targets a setting with a significant unmet need, with more than 14,000 eligible U.S. patients annually. Ivonescimab, a novel bispecific antibody that blocks PD‑1 and VEGF, has been tested in numerous Phase III studies worldwide, including multiple Summit-sponsored global trials in lung and colorectal cancers, and already has commercial experience in China through partner Akeso, positioning Summit as a potential new competitor in the U.S. oncology market if approval is granted.

The most recent analyst rating on (SMMT) stock is a Hold with a $16.50 price target. To see the full list of analyst forecasts on Summit Therapeutics stock, see the SMMT Stock Forecast page.

Summit Therapeutics Expands Ivonescimab Program With GSK Collaboration

On January 12, 2026, Summit Therapeutics presented at the 44th Annual J.P. Morgan Healthcare Conference and disclosed that it had submitted a Biologics License Application in the fourth quarter of 2025 to the U.S. Food and Drug Administration for ivonescimab in combination with chemotherapy as a second-line or later treatment for patients with epidermal growth factor receptor-mutated, locally advanced or metastatic non-squamous non-small cell lung cancer, underscoring a key regulatory milestone for its lead asset in the U.S. market. On the same date, the company announced a clinical trial collaboration with GSK to evaluate ivonescimab in combination with GSK’s investigational B7-H3–targeting antibody-drug conjugate risvutatug rezetecan across multiple solid tumor settings, including small cell lung cancer, a move that expands ivonescimab’s development footprint and strengthens Summit’s strategic positioning in global oncology through high-profile partnerships and broader combination-therapy opportunities for cancer patients.

The most recent analyst rating on (SMMT) stock is a Hold with a $18.00 price target. To see the full list of analyst forecasts on Summit Therapeutics stock, see the SMMT Stock Forecast page.

Summit Therapeutics Reports Positive Phase III Trial Results

On November 7, 2025, Summit Therapeutics announced that Akeso, its partner, published results from the Phase III HARMONi-A trial conducted in China. The trial demonstrated that ivonescimab combined with platinum-doublet chemotherapy significantly improved overall survival in patients with EGFR-mutated non-small cell lung cancer compared to chemotherapy alone. The study, which was the first Phase III trial for ivonescimab, showed a median overall survival of 16.8 months versus 14.1 months for chemotherapy alone, achieving a hazard ratio of 0.74. This result highlights ivonescimab’s potential to address high unmet medical needs in cancer treatment, offering a favorable risk-benefit profile and demonstrating efficacy where other PD-1 therapies have not succeeded.

The most recent analyst rating on (SMMT) stock is a Buy with a $30.00 price target. To see the full list of analyst forecasts on Summit Therapeutics stock, see the SMMT Stock Forecast page.