Tango Therapeutics (TNGX) AI Stock Analysis

• Market Cap: $157.84M
• Dividend Yield: N/A
• Average Volume (3M): 743.46K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.31
• Revenue Growth: 15.18%
• EPS Growth: -9.47%
• Country: US
• Employees: 155
• Sector: Healthcare
• Sector Strength: 69
• Industry: Biotechnology
• EPS (TTM): -1.20
• Shares Outstanding: 108,107,890
• 10 Day Avg. Volume: 613,843
• 30 Day Avg. Volume: 743,459
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): 4.52
• Price to Cash Flow (P/CF): -1.30
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: $12.00
• Price Target Upside: 721.92% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 3

Tango Therapeutics shows significant financial and operational challenges, reflected in its low financial performance and technical analysis scores. Sustained losses, negative cash flows, and bearish technical indicators contribute to a low score. The valuation is also unattractive due to the negative P/E ratio and lack of dividends. Improvements in operational efficiency and strategic financial management are essential for future viability.

Positive Factors

Clinical Trials

TNG462 appears well-tolerated at expansion doses.

Financial Performance

Tango ended 2024 with $257.9M in cash, which should provide an operational runway into 3Q26.

Partnerships and Collaborations

Tango is planning to evaluate TNG462 in combination with Revolution Medicines' RAS(ON) inhibitors, AstraZeneca's Tagrisso, and Merck's Keytruda, supported by preclinical data showing enhanced anti-tumor activity.

Negative Factors

Clinical Data

Investors were disappointed this update contained no numerical TNG462 efficacy data for the remaining evaluable patients, particularly pancreatic and lung which represent larger commercial opportunities.

Drug Development

Tango is discontinuing TNG908 due to insufficient efficacy in glioblastoma multiforme patients.

Safety Concerns

Safety suggests minimal adverse effects for the 160/200mg dose, but for the 300mg dose, the rates of thrombocytopenia and anemia were over 30%, above that seen for BMS-504 and AMG193.

Tango Therapeutics Business Overview & Revenue Model

Company Description

Tango Therapeutics (TNGX) is a biotechnology company focused on discovering and developing precision medicines that target specific genetic vulnerabilities in cancer. The company leverages its proprietary technology platform to identify novel targets and create therapies that are designed to selectively kill cancer cells while sparing normal cells. Tango Therapeutics operates in the biopharmaceutical sector, with a core emphasis on oncology drug development.

How the Company Makes Money

Tango Therapeutics makes money primarily through the development and commercialization of targeted cancer therapies. The company generates revenue through partnerships and collaborations with larger pharmaceutical companies, research grants, and potentially through the sale of its proprietary drugs once they receive regulatory approval. Tango may also earn milestone payments and royalties from these partnerships, particularly if their drug candidates progress through clinical trials and reach the market. The company's earnings are significantly influenced by its ability to successfully bring its therapies from the research stage to commercial availability.

Tango Therapeutics Financial Statement Overview

Summary

Tango Therapeutics faces significant financial challenges with consistent losses, negative cash flows, and declining asset and equity levels. Despite revenue growth, high operating expenses lead to negative margins, indicating operational inefficiencies and potential financial instability.

Income Statement

The income statement reveals a concerning trajectory with consistent losses over the years. Despite a growth in revenue from $36.53M in 2023 to $42.07M in 2024, net income remained negative at -$130.30M for 2024, indicating profitability challenges. The gross profit margin remains 100% due to no cost of goods sold; however, the net profit margin is negative due to high operating expenses. Continued negative EBIT and EBITDA margins highlight ongoing operational inefficiencies.

Balance Sheet

The balance sheet shows moderate stability with a debt-to-equity ratio of 0.18, indicating manageable leverage. However, total assets have declined, and stockholders' equity has decreased from $253.11M in 2023 to $199.52M in 2024. The equity ratio stands at 63.06%, suggesting a strong equity base, though the shrinking equity base and continual losses are concerning.

Cash Flow

Free cash flow has worsened, moving from -$119.51M in 2023 to -$131.50M in 2024, indicating increased cash burn. The operating cash flow to net income ratio is approximately 1.01, highlighting a close alignment between cash flow and net losses. Limited cash flow from operations raises concerns about liquidity and long-term sustainability.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
42.07M	36.53M	24.86M	37.04M	7.66M
	Gross Profit
42.07M	-78.67M	20.83M	35.08M	6.03M
	EBIT
-145.59M	-114.17M	-111.07M	-58.19M	-52.20M
	EBITDA
-145.59M	-111.76M	-109.46M	-57.29M	-51.48M
	Net Income Common Stockholders
-130.30M	-101.74M	-108.18M	-58.23M	-51.86M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
257.92M	336.88M	366.13M	485.25M	190.32M
	Total Assets
316.49M	402.57M	436.47M	500.15M	207.25M
	Total Debt
36.49M	38.92M	41.13M	1.50M	7.88M
	Net Debt
-33.04M	-27.46M	-18.84M	-141.24M	-20.50M
	Total Liabilities
116.97M	149.46M	186.99M	155.41M	168.65M
	Stockholders Equity
199.52M	253.11M	249.48M	344.75M	38.60M
Cash Flow		Free Cash Flow
-131.50M	-119.51M	-116.77M	-61.36M	68.97M
	Operating Cash Flow
-131.50M	-117.98M	-109.08M	-59.53M	70.07M
	Investing Cash Flow
86.13M	41.43M	26.40M	-183.43M	-145.47M
	Financing Cash Flow
47.66M	82.41M	1.61M	357.32M	80.88M

Tango Therapeutics Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 1.46
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TNGX, the sentiment is Neutral. The current price of 1.46 is above the 20-day moving average (MA) of 1.37, below the 50-day MA of 1.78, and below the 200-day MA of 5.18, indicating a neutral trend. The MACD of -0.10 indicates Negative momentum. The RSI at 46.79 is Neutral, neither overbought nor oversold. The STOCH value of 68.25 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for TNGX.

Tango Therapeutics Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
FULC	62 Neutral	$189.47M	―	-4.07%	―	2752.05%	87.57%
Sector *	51 Neutral	$5.32B	3.32	-40.25%	2.90%	17.93%	2.14%
RZLT	46 Neutral	$239.72M	―	-74.36%	―	―	-10.43%
IKT	46 Neutral	$156.86M	―	-52.00%	―	-100.00%	38.72%
ACIU	45 Neutral	$164.25M	―	-36.38%	―	88.63%	18.78%
TNGX	38 Underperform	$157.84M	―	-57.58%	―	15.18%	-9.47%
DMAC	36 Underperform	$173.14M	―	-53.27%	―	―	2.53%

Tango Therapeutics Corporate Events

Tango Therapeutics Highlights Breakthroughs in Cancer Treatment

Tango Therapeutics has updated its corporate presentation, highlighting potential breakthroughs in its product pipeline, including best-in-class oral PRMT5 inhibitors and first-in-class oral CoREST inhibitors. These advancements are part of Tango’s strategy to treat a wide range of cancers, with ongoing and planned clinical trials that might significantly impact its market positioning and potential success in cancer therapeutics.