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Stoke Therapeutics (STOK)
NASDAQ:STOK
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Stoke Therapeutics (STOK) AI Stock Analysis

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STOK

Stoke Therapeutics

(NASDAQ:STOK)

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Neutral 56 (OpenAI - 5.2)
Rating:56Neutral
Price Target:
$30.00
▲(2.39% Upside)
Action:Reiterated
Date:08/04/26
The score is held back primarily by weak and worsening TTM profitability and cash burn despite a strong, low-debt balance sheet. Offsetting this, the latest earnings call was notably constructive on Phase III progress, regulatory plans, manufacturing readiness, and cash runway guidance. Technically, the stock remains in a weak trend (below major moving averages with negative MACD), and valuation support is limited due to ongoing losses and no dividend.
Positive Factors
Low leverage / strong balance sheet
Minimal-to-zero debt and sizable equity give Stoke durable financial flexibility to fund pivotal development, complete CMC/validation work, and absorb timing shifts. Low leverage reduces refinancing risk, supports strategic partnering, and preserves optionality ahead of potential approval years.
Negative Factors
TTM cash burn and deteriorating profitability
Trailing-twelve-months cash flow reverted to heavy burn and operating/net losses widened, increasing the probability Stoke will need incremental financing before commercialization. Persistent burn strains runway, can force dilutive raises, and may distract management from execution priorities over the next 2–6 months.
Read all positive and negative factors
Positive Factors
Negative Factors
Low leverage / strong balance sheet
Minimal-to-zero debt and sizable equity give Stoke durable financial flexibility to fund pivotal development, complete CMC/validation work, and absorb timing shifts. Low leverage reduces refinancing risk, supports strategic partnering, and preserves optionality ahead of potential approval years.
Read all positive factors

Stoke Therapeutics (STOK) vs. SPDR S&P 500 ETF (SPY)

Stoke Therapeutics Business Overview & Revenue Model

Company Description
Stoke Therapeutics, Inc. is an emerging biopharmaceutical company dedicated to developing innovative antisense oligonucleotide (ASO) therapies. Its primary focus is to target and address the fundamental causes of severe genetic disorders, particul...
How the Company Makes Money
Stoke Therapeutics primarily seeks to generate revenue through (1) collaboration and licensing arrangements with larger pharmaceutical partners and (2) potential future product sales if its drug candidates receive regulatory approval. 1) Collabor...

Stoke Therapeutics Earnings Call Summary

Earnings Call Date:Aug 03, 2026
(Q2-2026)
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% Change Since: |
Next Earnings Date:Nov 10, 2026
Earnings Call Sentiment Positive
The call delivers multiple strong operational and clinical positives: faster-than-expected Phase III enrollment (162 vs target ≥150), 0% discontinuations (vs 15% assumed), robust long-term OLE data (statistically significant Vineland improvements through 4 years, durable seizure reductions), completed manufacturing validation, and a pro forma cash position (~$420M) supporting runway to a potential early-2028 U.S. launch. Key risks are procedural and timing-related rather than clinical safety: SAP and label details are not yet finalized with the FDA, the final Phase III readout and completion of the rolling NDA extend into Q3 2027, inclusion of OLE data in the label is not guaranteed, and diagnosis/access gaps (particularly in adults) and reliance on partner execution outside North America remain challenges. On balance, the positive clinical progress, regulatory preparedness, financial runway, and commercial planning materially outweigh the remaining uncertainties.
Positive Updates
Phase III EMPEROR Enrollment Completed Ahead of Target
Enrolled 162 patients in EMPEROR in ~10 months versus an enrollment target of at least 150 (≈8% above target). More than 140 (145) patients have completed week 8 (≈89.5% of enrolled), ~50% have passed week 24, and 60 patients (≈37% of enrolled) have completed the week 28 primary endpoint assessment. No treatment discontinuations to date (0% vs the 15% discontinuation assumed in powering).
Negative Updates
Regulatory and Statistical Details Still Pending
Pre-NDA discussions with FDA will address statistical analysis plan (SAP) and hierarchy/composite approach for Vineland-3 subdomains; exact SAP alignment and how secondary endpoints will be presented remain to be agreed with the agency, introducing some regulatory execution risk.
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Q2-2026 Updates
Negative
Phase III EMPEROR Enrollment Completed Ahead of Target
Enrolled 162 patients in EMPEROR in ~10 months versus an enrollment target of at least 150 (≈8% above target). More than 140 (145) patients have completed week 8 (≈89.5% of enrolled), ~50% have passed week 24, and 60 patients (≈37% of enrolled) have completed the week 28 primary endpoint assessment. No treatment discontinuations to date (0% vs the 15% discontinuation assumed in powering).
Read all positive updates
Company Guidance
The company provided clear operational and regulatory guidance and a number of specific metrics: Phase III EMPEROR enrollment is complete at 162 patients (enrolled in ~10 months) with >140 (145) patients through week 8, ~60 patients through the week‑28 primary endpoint (percent change in major motor seizure frequency), about half through week 24 (one dose left in the 52‑week treatment period), and 0 discontinuations to date; the study is powered (initial target ≥150, powered >90% for Vineland‑3 subdomains with a planned hierarchical/composite secondary analysis) for readout in Q3 2027, with a pre‑NDA meeting in early fall 2026 and a rolling NDA to begin Q1 2027 (CMC first, clinical data to close in Q3 2027) targeting potential FDA approval and U.S. launch in early 2028. Longer‑term data guidance: the company cites statistically significant Vineland improvements through 4 years in the OLE, >930 zorevunersen doses administered, some patients treated >5 years (up to 16 doses over 5 years), 81 Phase I/IIa enrollees with 93% (75) entering the OLE and 57 remaining, and the expectation of ~6 years of Phase I/II + OLE safety/efficacy data available around NDA submission. Financial and commercial guidance: pro forma cash ≈ $420M ($354.3M quarter‑end cash plus $65.7M ATM proceeds) expected to fund operations through a potential U.S. launch, commercial manufacturing validation complete, plan for a lean U.S. commercial footprint (~25 sales reps) to serve an estimated U.S. Dravet population of ~16,000 (≈6,000 ≤25 years immediately addressable) and a global pool of ~38,000 across seven major markets. Near‑term pipeline metrics include an infant/toddler study (<24 months) to start later in 2026, a STK‑002 ADOA Phase I single‑ascending‑dose study with a 3‑patient sentinel cohort (cohort 2 dosing underway; four cohorts planned) and anticipated early safety/efficacy readouts in H1 2027.

Stoke Therapeutics Financial Statement Overview

Summary
Balance sheet strength (minimal/zero debt and sizable equity) is a key positive, but operating performance is weak: revenue is volatile, TTM profitability deteriorated to very large operating/net losses, and TTM cash flow shifted back to heavy burn, increasing runway/funding risk if sustained.
Income Statement
28
Negative
Balance Sheet
78
Positive
Cash Flow
35
Negative
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue27.59M184.42M36.55M8.78M12.40M0.00
Gross Profit23.36M184.42M36.55M8.78M12.40M0.00
EBITDA-205.36M-5.12M-86.80M-102.23M-99.52M-84.83M
Net Income-207.90M-6.88M-88.98M-104.70M-101.07M-85.81M
Balance Sheet
Total Assets393.97M418.43M271.56M228.34M256.07M238.87M
Cash, Cash Equivalents and Short-Term Investments292.82M284.67M216.90M201.39M229.59M219.81M
Total Debt2.68M3.01M4.77M2.06M2.36M5.04M
Total Liabilities48.42M65.98M42.53M68.78M71.22M21.09M
Stockholders Equity345.55M352.46M229.02M159.56M184.85M217.78M
Cash Flow
Free Cash Flow-180.68M44.91M-87.05M-82.68M-35.83M-68.11M
Operating Cash Flow-177.99M45.59M-86.85M-81.07M-31.87M-66.91M
Investing Cash Flow7.75M-186.81M-107.47M105.95M-45.88M-76.43M
Financing Cash Flow181.70M97.39M131.09M53.01M46.41M1.28M

Stoke Therapeutics Technical Analysis

Technical Analysis Sentiment
Positive
Last Price29.30
Price Trends
50DMA
30.33
Positive
100DMA
31.81
Negative
200DMA
31.61
Positive
Market Momentum
MACD
-0.22
Negative
RSI
58.81
Neutral
STOCH
56.88
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For STOK, the sentiment is Positive. The current price of 29.3 is below the 20-day moving average (MA) of 29.81, below the 50-day MA of 30.33, and below the 200-day MA of 31.61, indicating a bullish trend. The MACD of -0.22 indicates Negative momentum. The RSI at 58.81 is Neutral, neither overbought nor oversold. The STOCH value of 56.88 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for STOK.

Stoke Therapeutics Risk Analysis

Stoke Therapeutics disclosed 67 risk factors in its most recent earnings report. Stoke Therapeutics 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

Stoke Therapeutics Peers Comparison

Overall Rating
UnderperformOutperform
Sector (51)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
70
Outperform
$1.39B114.12735.00%41.47%
56
Neutral
$1.80B-10.20-59.36%-83.20%-439.48%
55
Neutral
$2.13B-24.42-27.31%-27.48%
53
Neutral
$1.96B-15.76-24.79%-18.14%
51
Neutral
$7.86B-0.30-43.30%2.27%22.53%-2.21%
50
Neutral
$1.69B-6.80-256.66%397.28%27.68%
* Healthcare Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
STOK
Stoke Therapeutics
31.67
18.50
140.47%
SNDX
Syndax Pharmaceuticals
19.08
6.19
48.02%
XERS
Xeris Pharmaceuticals
8.19
2.70
49.18%
RAPP
Rapport Therapeutics, Inc.
42.20
27.59
188.84%
SION
Sionna Therapeutics, Inc.
49.94
32.96
194.11%

Stoke Therapeutics Corporate Events

Private Placements and FinancingRegulatory Filings and Compliance
Stoke Therapeutics Expands ATM Equity Program for Funding
Neutral
Aug 3, 2026
On August 3, 2026, Stoke Therapeutics filed a prospectus supplement with the SEC to register the potential sale of up to $200 million of common stock under an existing at-the-market equity offering program established with Cantor Fitzgerald in May...
Business Operations and StrategyProduct-Related AnnouncementsRegulatory Filings and Compliance
Stoke Therapeutics Completes Enrollment in Phase 3 Dravet Trial
Positive
Jun 30, 2026
On June 30, 2026, Stoke Therapeutics announced it has completed enrollment of 162 patients in the primary analysis population of its global Phase 3 EMPEROR study of zorevunersen for Dravet syndrome across the U.S., U.K., and Japan. The study&#8217...
Executive/Board ChangesShareholder Meetings
Stoke Therapeutics Stockholders Approve Directors and Governance Items
Positive
Jun 4, 2026
At its June 3, 2026 annual meeting of stockholders, Stoke Therapeutics, Inc. reported the election of three Class I directors, G. Clare Kahn, Ph.D., Adrian Krainer, Ph.D., and Julie Anne Smith, each to serve three-year terms extending to the 2029 ...
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: Aug 04, 2026