Protara Therapeutics (TARA) AI Stock Analysis

• Market Cap: $363.48M
• Dividend Yield: N/A
• Average Volume (3M): 912.77K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.89
• Revenue Growth: N/A
• EPS Growth: 48.84%
• Country: US
• Employees: 28
• Sector: Healthcare
• Sector Strength: 45
• Industry: Biotechnology
• EPS (TTM): -0.31
• Shares Outstanding: 51,630,737
• 10 Day Avg. Volume: 1,108,614
• 30 Day Avg. Volume: 912,771
• PEG Ratio: 0.06
• Price to Book (P/B): 0.65
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -3.03
• Enterprise Value/Market Cap: 0.69
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: -2.86K
• Enterprise Value/Ebitda: -4.46
• 1Y Price Target: $25.50
• Price Target Upside: 277.78% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 6
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 57 Neutral
• Price Target: $7.50 ▲(11.11% Upside)

The score is held back primarily by weak financial performance—no revenue, sizable losses, and heavy cash burn—despite a strong, low-debt balance sheet. Offsetting this, the stock shows strong technical momentum (though overbought) and recent positive clinical and financing events that improve near-term runway and program credibility. Valuation contributes little support due to negative earnings and no dividend.

Positive Factors

Balance sheet strength and low leverage

Very low leverage and a sizable equity base provide durable financial flexibility to fund ongoing trials and absorb setbacks without immediate refinancing. This lowers liquidity risk, supports operational continuity through clinical milestones, and improves negotiating leverage with partners or acquirers.

Recent equity raise extends runway

A material capital raise meaningfully extends runway, reducing near-term funding pressure and enabling execution of registrational trials. With more capital, management can advance pivotal studies, hit de-risking milestones, and pursue licensing or partnerships from a stronger negotiating position.

Positive Phase 2 data and FDA feedback

Robust Phase 2 signals plus constructive FDA input materially de-risk the development pathway. This improves the probability of a successful registrational program, enhances commercial and partnership prospects, and can shorten time to approval if confirmatory trials validate these interim results.

Negative Factors

Zero revenue and widening net losses

Absence of product revenue means the business depends entirely on financing or deals to sustain operations. Widening losses erode equity over time and make long-term viability contingent on successful clinical outcomes or partnerships, increasing investor dilution and strategic risk.

High and increasing cash burn

Sustained negative operating and free cash flow at elevated levels raises structural funding risk. Even after recent financing, persistent burn could necessitate further dilutive raises or asset sales, constrain pipeline breadth, and force prioritization that may delay or cancel programs.

Concentrated pipeline and small operating scale

A narrow clinical-stage pipeline combined with a small team concentrates execution and clinical risk: a failed key program materially impairs value. Limited internal commercial and development capacity increases reliance on partners for late-stage development, manufacturing, and commercialization.

Protara Therapeutics Business Overview & Revenue Model

Company Description

Protara Therapeutics, Inc., a clinical-stage biopharmaceutical company, engages in the identifying and advancing transformative therapies for the treatment of cancer and rare diseases. The company's lead program is TARA-002, an investigational cell therapy for the treatment of lymphatic malformations. It also develops intravenous choline chloride, an investigational phospholipid substrate replacement therapy for the treatment of intestinal failure associated liver disease. The company was formerly known as ArTara Therapeutics, Inc. and changed its name to Protara Therapeutics, Inc. in May 2020. Protara Therapeutics, Inc. is headquartered in New York, New York.

How the Company Makes Money

Protara Therapeutics primarily makes money through the development and commercialization of its investigational therapies. The company's revenue model is centered around advancing its clinical-stage products through the regulatory approval process to eventually bring them to market. Key revenue streams include potential future sales of approved products, licensing agreements, and partnerships with other pharmaceutical companies. Additionally, the company may receive milestone payments and royalties if its therapies are successfully commercialized by partners. Significant factors contributing to its earnings include the successful advancement of its clinical trials, favorable regulatory outcomes, and strategic collaborations that provide funding and resources for product development.

Protara Therapeutics Financial Statement Overview

Summary

Overall financials are pressured by a zero-revenue profile with large and widening losses (TTM net loss ~-$52.9M) and significant cash burn (TTM FCF ~-$48.8M, worse than 2024). The balance sheet is a key offset with very low leverage (debt-to-equity ~0.03) and a sizable equity base (~$132.3M), but continued negative ROE (~-37%) signals ongoing capital erosion without milestone progress or additional funding.

Income Statement

TTM (Trailing-Twelve-Months) results show no revenue and continued heavy operating losses (EBIT of about -$59.8M; net loss about -$52.9M). Losses have widened versus 2024 (net loss about -$44.6M), indicating higher spending and limited operating leverage at this stage. A modest positive is that net losses have improved versus the peak loss year (2022), but profitability remains highly dependent on future commercialization or partnering given the current zero-revenue profile.

Balance Sheet

The balance sheet is a clear strength: leverage is very low (TTM debt-to-equity ~0.03) with a large equity base (~$132.3M) versus total debt (~$3.7M). Total assets are substantial (~$144.6M), providing financial flexibility. The key weakness is ongoing negative returns on equity (TTM return on equity roughly -37%), reflecting continued losses that are eroding capital over time if not offset by financing or a turnaround.

Cash Flow

Cash generation remains weak with negative operating cash flow and free cash flow in TTM (both roughly -$48.7M to -$48.8M), implying a meaningful cash burn rate. Cash burn has increased versus 2024 (free cash flow about -$35.9M), which raises funding risk if sustained. A relative positive is that free cash flow closely tracks net loss (free cash flow to net income ~1.0), suggesting losses are not being materially understated by non-cash items—but cash outflows are still significant.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	0.00	0.00	0.00	0.00	0.00	0.00
Gross Profit	-88.00K	0.00	-341.00K	0.00	0.00	-196.00K
EBITDA	-56.43M	-48.82M	-43.27M	-64.57M	-45.40M	-33.78M
Net Income	-52.90M	-44.60M	-40.42M	-65.95M	-47.25M	-33.98M
Balance Sheet
Total Assets	144.64M	181.45M	78.95M	113.29M	172.60M	203.16M
Cash, Cash Equivalents and Short-Term Investments	132.67M	170.29M	65.58M	84.37M	91.23M	168.60M
Total Debt	3.66M	4.48M	5.47M	6.38M	7.24M	1.09M
Total Liabilities	12.35M	14.32M	10.63M	11.21M	10.68M	3.91M
Stockholders Equity	132.29M	167.13M	68.32M	102.08M	161.91M	199.24M
Cash Flow
Free Cash Flow	-48.79M	-35.87M	-37.60M	-26.58M	-35.10M	-24.29M
Operating Cash Flow	-48.72M	-35.81M	-37.56M	-26.46M	-34.50M	-23.41M
Investing Cash Flow	-90.08M	19.16M	53.11M	14.95M	-98.19M	2.83M
Financing Cash Flow	99.60M	139.87M	-91.00K	-90.00K	-228.00K	189.40M

Protara Therapeutics Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 6.75
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TARA, the sentiment is Positive. The current price of 6.75 is above the 20-day moving average (MA) of 5.99, above the 50-day MA of 5.99, and above the 200-day MA of 4.30, indicating a bullish trend. The MACD of 0.40 indicates Negative momentum. The RSI at 60.91 is Neutral, neither overbought nor oversold. The STOCH value of 75.20 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TARA.

Protara Therapeutics Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
PLX	59 Neutral	$209.10M	39.28	12.64%	―	35.42%	―
TARA	57 Neutral	$363.48M	-4.68	-49.42%	―	―	48.84%
ZURA	57 Neutral	$375.18M	-8.93	-47.85%	―	―	-19.69%
OBIO	52 Neutral	$226.99M	-2.24	-166.97%	―	6.46%	-14.32%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
SKYE	49 Neutral	$29.81M	-0.70	-94.31%	―	―	-53.18%
HURA	41 Neutral	$31.51M	-0.72	-418.06%	―	―	99.21%

Protara Therapeutics Corporate Events

Protara Therapeutics Raises $86.3 Million in Offering

On December 8, 2025, Protara Therapeutics completed a public offering of 13,043,479 shares of common stock at $5.75 per share, raising approximately $86.3 million in gross proceeds. The funds are intended to support the clinical development of TARA-002 and other programs, as well as general corporate purposes, potentially strengthening the company’s position in the biopharmaceutical industry.

The most recent analyst rating on (TARA) stock is a Buy with a $26.00 price target. To see the full list of analyst forecasts on Protara Therapeutics stock, see the TARA Stock Forecast page.

Protara Therapeutics Completes $75 Million Stock Offering

On December 4, 2025, Protara Therapeutics entered into an Underwriting Agreement with several underwriters to sell 13,043,479 shares of common stock at $5.75 per share, closing the offering on December 8, 2025. The company expects to raise approximately $75 million in gross proceeds, which will be used to fund the clinical development of TARA-002 and other programs, as well as for general corporate purposes.

The most recent analyst rating on (TARA) stock is a Buy with a $26.00 price target. To see the full list of analyst forecasts on Protara Therapeutics stock, see the TARA Stock Forecast page.

Protara Therapeutics Announces Promising Phase 2 Trial Results

On December 3, 2025, Protara Therapeutics announced updated interim data from their Phase 2 ADVANCED-2 Trial of TARA-002, presented at the Society of Urologic Oncology Conference. The trial results showed promising complete response rates in BCG-Naïve NMIBC patients, with a 72% CR rate at any time and a favorable safety profile. The FDA has provided feedback supporting a registrational trial design for TARA-002 in BCG-Naïve patients, indicating potential expansion of its use beyond BCG-Unresponsive NMIBC. This development could significantly impact Protara’s market positioning and offer new treatment options for patients.

The most recent analyst rating on (TARA) stock is a Buy with a $23.00 price target. To see the full list of analyst forecasts on Protara Therapeutics stock, see the TARA Stock Forecast page.

Protara Therapeutics Announces Promising Phase 2 Trial Results

On November 19, 2025, Protara Therapeutics announced interim results from its Phase 2 STARBORN-1 clinical trial of TARA-002 for pediatric patients with lymphatic malformations. The data indicated that the majority of evaluable patients achieved clinical success, with no serious adverse events reported. This development highlights the potential of TARA-002 to address a significant unmet need in treating macrocystic and mixed-cystic LMs, potentially positioning Protara as a leader in this rare disease market.

The most recent analyst rating on (TARA) stock is a Buy with a $26.00 price target. To see the full list of analyst forecasts on Protara Therapeutics stock, see the TARA Stock Forecast page.