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Surrozen (SRZN)
NASDAQ:SRZN
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Surrozen (SRZN) AI Stock Analysis

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SRZN

Surrozen

(NASDAQ:SRZN)

Rating:43Neutral
Price Target:
Surrozen's overall stock score reflects significant financial challenges, including consistent losses and a weak balance sheet. While recent corporate events, such as the private placement, provide a positive outlook for liquidity, the technical indicators and valuation suggest caution. The company needs to address its financial instability and improve cash flow management to enhance its stock performance.
Positive Factors
Research Progress
The company recently presented preclinical data for assets SZN-8141 and SZN-8143 at major annual meetings, demonstrating potential for novel retinopathy treatment.
Strategic Partnerships
The collaboration and licensing agreement with Boehringer Ingelheim for bi-specific antibody SZN-413 provides upside beyond the internal Wnt pipeline for vascular pathology.
Negative Factors
Delayed Market Entry
The internal clinical development is on the longer-term horizon with candidate SZN-8141 IND submission anticipated in 2026, suggesting a delay in market availability.
Development Challenges
Surrozen previously discontinued former lead candidate SZN-043 based on Phase 1b development for severe alcohol-associated hepatitis, indicating challenges in certain therapeutic areas.

Surrozen (SRZN) vs. SPDR S&P 500 ETF (SPY)

Surrozen Business Overview & Revenue Model

Company DescriptionSurrozen, Inc. (SRZN) is a biotechnology company focused on harnessing the regenerative properties of the Wnt signaling pathway to develop novel therapeutics. The company is engaged in the research and development of treatments that aim to address unmet medical needs across various therapeutic areas. Surrozen's core products are designed to stimulate tissue regeneration and repair, potentially offering new solutions for diseases where current treatment options are limited.
How the Company Makes MoneySurrozen makes money primarily through the development and commercialization of its proprietary therapeutic candidates. The company's revenue model includes potential income from licensing agreements, collaborations, and partnerships with other pharmaceutical companies. These partnerships can provide upfront payments, milestone payments based on the achievement of specific development goals, and royalties from product sales if the therapeutics are successfully brought to market. Additionally, Surrozen may secure funding through grants and research collaborations that support its ongoing research and development efforts.

Surrozen Financial Statement Overview

Summary
Surrozen is facing significant financial challenges. Despite some revenue in 2024, the company is experiencing consistent losses and cash burn. The balance sheet shows weakening equity and a concerning liability position. The company must focus on achieving sustainable revenue growth, controlling costs, and improving cash flow management to stabilize its financial position.
Income Statement
35
Negative
Surrozen's income statement reveals a challenging financial trajectory. The company has seen fluctuating revenue, with a return to positive revenue in 2024, though still at a modest level. The gross profit margin is positive for 2024, but the net profit margin remains deeply negative due to significant losses. EBIT and EBITDA margins are also negative, indicating ongoing operational challenges. Consistent losses highlight the need for revenue growth and cost management.
Balance Sheet
30
Negative
The balance sheet shows a concerning financial position with negative stockholders' equity in 2024, indicating potential insolvency risks. The debt-to-equity ratio cannot be calculated due to negative equity, but the presence of debt and liabilities is notable. The equity position has deteriorated significantly over time, and the high level of liabilities relative to assets suggests financial instability.
Cash Flow
40
Negative
Cash flow analysis reveals a negative operating cash flow, which, while improved from prior periods, still indicates cash burn. Free cash flow remains negative, though the company has managed financing activities to maintain liquidity. The operating cash flow to net income ratio suggests inefficiencies in converting income to cash, while the free cash flow to net income ratio remains unfavorable.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue12.62M10.65M0.0012.50M0.000.00
Gross Profit13.26M10.65M-27.23M9.23M-3.30M-2.93M
EBITDA-25.31M-25.54M-41.13M-42.38M-51.35M-31.37M
Net Income-16.70M-63.56M-43.04M-36.00M-52.51M-32.63M
Balance Sheet
Total Assets102.70M48.47M46.08M89.44M137.17M62.06M
Cash, Cash Equivalents and Short-Term Investments90.39M34.56M36.04M75.84M101.85M49.18M
Total Debt7.51M8.47M3.38M5.60M7.79M9.60M
Total Liabilities55.58M69.85M8.14M13.43M27.47M14.77M
Stockholders Equity47.11M-21.38M37.94M76.00M109.70M47.29M
Cash Flow
Free Cash Flow-18.73M-17.65M-40.76M-44.87M-50.08M-29.97M
Operating Cash Flow-18.66M-17.63M-40.36M-44.15M-48.81M-29.10M
Investing Cash Flow-64.00K-26.00K51.72M38.31M-77.71M-15.07M
Financing Cash Flow71.35M16.18M276.00K-2.56M124.63M50.05M

Surrozen Technical Analysis

Technical Analysis Sentiment
Positive
Last Price11.35
Price Trends
50DMA
9.41
Positive
100DMA
9.30
Positive
200DMA
10.25
Positive
Market Momentum
MACD
0.59
Negative
RSI
63.71
Neutral
STOCH
84.12
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SRZN, the sentiment is Positive. The current price of 11.35 is above the 20-day moving average (MA) of 10.29, above the 50-day MA of 9.41, and above the 200-day MA of 10.25, indicating a bullish trend. The MACD of 0.59 indicates Negative momentum. The RSI at 63.71 is Neutral, neither overbought nor oversold. The STOCH value of 84.12 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for SRZN.

Surrozen Risk Analysis

Surrozen disclosed 85 risk factors in its most recent earnings report. Surrozen 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

Surrozen Peers Comparison

Overall Rating
UnderperformOutperform
Sector (46)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
55
Neutral
$77.76M12.00-8.31%-9.33%97.60%
52
Neutral
$94.18M-69.71%303.47%73.70%
51
Neutral
$85.64M149.62%-5.22%82.06%
46
Neutral
C$217.46M-0.36-24.12%3.15%19.33%-0.50%
44
Neutral
$47.49M-96.35%-52.76%43.40%
43
Neutral
$95.56M-130.27%35.81%
33
Underperform
$150.88M10.9811.85%
* Healthcare Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
SRZN
Surrozen
11.49
2.92
34.07%
VERU
Veru
3.60
-5.04
-58.33%
MGNX
MacroGenics
1.69
-1.80
-51.58%
WHWK
Whitehawk Therapeutics
1.74
0.16
10.13%
BDTX
Black Diamond Therapeutics
2.92
-3.54
-54.80%
ELUT
Aziyo Biologics
2.09
-1.94
-48.14%

Surrozen Corporate Events

Executive/Board ChangesPrivate Placements and Financing
Surrozen Secures $76.4M in Private Placement Deal
Positive
Mar 28, 2025

On March 24, 2025, Surrozen, Inc. entered into a Securities Purchase Agreement with institutional and accredited investors for a two-tranche private placement of shares and warrants, raising approximately $76.4 million in the first tranche. The second tranche, contingent on FDA clearance of an Investigational New Drug Application by October 31, 2026, could bring an additional $98.6 million. Additionally, Tim Kutzkey was appointed as a Class I director on March 26, 2025, bringing extensive experience in biotechnology and venture capital.

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 03, 2025