Entrada Therapeutics Inc (TRDA) AI Stock Analysis

• Market Cap: $385.25M
• Dividend Yield: N/A
• Average Volume (3M): 264.07K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.56
• Revenue Growth: -71.42%
• EPS Growth: -248.91%
• Country: US
• Employees: 183
• Sector: Healthcare
• Sector Strength: 45
• Industry: Biotechnology
• EPS (TTM): -1.06
• Shares Outstanding: 38,219,230
• 10 Day Avg. Volume: 364,031
• 30 Day Avg. Volume: 264,073
• PEG Ratio: -0.01
• Price to Book (P/B): 1.50
• Price to Sales (P/S): 3.06
• P/FCF Ratio: -14.43
• Enterprise Value/Market Cap: -0.09
• Enterprise Value/Revenue: -0.55
• Enterprise Value/Gross Profit: -1.47
• Enterprise Value/Ebitda: 0.30
• 1Y Price Target: $16.50
• Price Target Upside: 63.69% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 4
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 54 Neutral
• Price Target: $7.50 ▼(-25.60% Downside)

Entrada Therapeutics Inc's overall stock score is primarily influenced by its financial challenges, including declining revenues and persistent losses. Despite these issues, the stock exhibits strong technical momentum, which boosts its score. However, valuation concerns due to negative earnings and lack of dividends weigh down the overall assessment.

Positive Factors

Proprietary Technology

The TET platform provides a competitive edge by enabling effective delivery of therapeutic agents, potentially leading to successful treatments and partnerships.

Partnerships and Collaborations

Strong partnerships with pharmaceutical firms enhance revenue potential and provide financial support for R&D, crucial for long-term growth in biotech.

Low Leverage

Low leverage provides financial stability and flexibility, reducing risk and allowing the company to focus on R&D and strategic growth initiatives.

Negative Factors

Declining Revenues

Declining revenues indicate challenges in product commercialization and market penetration, impacting long-term financial sustainability.

Cash Flow Challenges

Negative cash flow limits the company's ability to invest in R&D and scale operations, potentially hindering growth and innovation efforts.

Profitability Issues

Ongoing profitability issues suggest operational inefficiencies and high costs, which could strain resources and affect long-term viability.

Entrada Therapeutics Inc Business Overview & Revenue Model

Company Description

Entrada Therapeutics, Inc., a biotechnology company, develops endosomal escape vehicle (EEV) therapeutics for the treatment of multiple neuromuscular diseases. Its endosomal escape vehicle platform develops a portfolio of oligonucleotide, antibody, and enzyme-based programs. The company's lead product candidate is ENTR-601-44, which is in preclinical trail for the treatment of Duchenne muscular dystrophy and myotonic dystrophy type 1. It also engages in the development of EEV-PMO-CAG for the treatment of myotonic dystrophy type 1. The company was formerly known as CycloPorters, Inc. and changed its name to Entrada Therapeutics, Inc. in October 2017. Entrada Therapeutics, Inc. was incorporated in 2016 and is headquartered in Boston, Massachusetts.

How the Company Makes Money

Entrada Therapeutics generates revenue through a combination of product development partnerships, grants, and potential future product sales. The company collaborates with pharmaceutical firms and research organizations to develop its therapies, often receiving milestone payments and royalties from these partnerships. Additionally, Entrada may receive funding from government and non-profit organizations aimed at supporting research in rare and genetic diseases. As the company advances its drug candidates through clinical trials, it may also attract further investments and partnerships, enhancing its revenue potential.

Entrada Therapeutics Inc Financial Statement Overview

Summary

Entrada Therapeutics Inc is facing significant financial challenges, with declining revenues and persistent losses impacting profitability. While the company maintains a stable balance sheet with low leverage, cash flow issues persist. The biotechnology industry often involves high R&D costs and long development cycles, which may contribute to the current financial performance.

Income Statement

Entrada Therapeutics Inc has experienced a significant decline in revenue with a negative growth rate of -22.59% in the TTM period. The company is facing challenges with profitability, as evidenced by negative net profit and EBIT margins. Despite a high gross profit margin, the overall financial performance is hindered by substantial operating losses.

Balance Sheet

The company maintains a relatively low debt-to-equity ratio of 0.15, indicating conservative leverage. However, the return on equity is negative, reflecting ongoing losses. The equity ratio is stable, suggesting a solid capital structure despite profitability challenges.

Cash Flow

Operating cash flow and free cash flow are both negative, indicating cash flow challenges. The free cash flow to net income ratio is slightly above 1, suggesting some alignment between cash flow and accounting profits, but the overall cash flow position remains weak.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	61.52M	210.78M	129.01M	0.00	0.00	0.00
Gross Profit	23.16M	210.78M	129.01M	0.00	0.00	-326.00K
EBITDA	-113.78M	47.01M	-321.00K	-95.35M	-50.01M	-26.20M
Net Income	-103.45M	65.63M	-6.68M	-94.62M	-51.16M	-26.52M
Balance Sheet
Total Assets	412.90M	526.32M	469.19M	252.06M	305.83M	43.53M
Cash, Cash Equivalents and Short-Term Investments	326.84M	420.00M	351.97M	188.71M	291.06M	39.05M
Total Debt	52.40M	59.21M	68.23M	25.94M	0.00	0.00
Total Liabilities	72.18M	97.64M	226.83M	39.50M	7.12M	85.02M
Stockholders Equity	340.72M	428.68M	242.36M	212.55M	298.72M	-41.49M
Cash Flow
Free Cash Flow	-129.80M	-44.72M	134.19M	-96.67M	-55.44M	-27.89M
Operating Cash Flow	-127.91M	-41.56M	139.80M	-93.79M	-50.86M	-25.57M
Investing Cash Flow	141.05M	-27.80M	-138.40M	-148.65M	-4.58M	-2.32M
Financing Cash Flow	2.10M	102.96M	21.04M	479.00K	307.46M	50.09M

Entrada Therapeutics Inc Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 10.08
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TRDA, the sentiment is Positive. The current price of 10.08 is above the 20-day moving average (MA) of 8.20, above the 50-day MA of 6.92, and above the 200-day MA of 7.71, indicating a bullish trend. The MACD of 0.92 indicates Negative momentum. The RSI at 77.14 is Negative, neither overbought nor oversold. The STOCH value of 77.43 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TRDA.

Entrada Therapeutics Inc Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
GNFT	60 Neutral	$219.11M	―	-51.06%	―	-44.94%	-274.42%
TRDA	54 Neutral	$385.25M	―	-27.11%	―	-71.42%	-248.91%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
CCCC	47 Neutral	$259.73M	―	-59.98%	―	-10.57%	1.98%
SGMT	44 Neutral	$219.49M	―	-39.78%	―	―	-38.23%
VTYX	41 Neutral	$712.87M	―	-45.35%	―	―	36.65%
BDTX	33 Underperform	$215.37M	10.42	19.23%	―	―	―

Entrada Therapeutics Inc Corporate Events

Entrada Therapeutics Reports Increased Losses Amid R&D Expansion

Entrada Therapeutics Inc., a clinical-stage biopharmaceutical company, focuses on developing innovative medicines that target intracellular mechanisms, primarily within the biotechnology sector. The company’s recent earnings report highlights a challenging quarter with a net loss of $44.1 million, reflecting increased research and development expenses as they advance their therapeutic programs. Key financial metrics indicate a decrease in collaboration revenue to $1.6 million for the quarter, down from $19.6 million the previous year, while operating expenses rose to $48.7 million. Despite these challenges, Entrada maintains a strong cash position with $326.8 million in cash, cash equivalents, and marketable securities, ensuring operational funding for at least the next twelve months. Looking ahead, the company remains focused on advancing its therapeutic candidates and leveraging its proprietary EEV platform to explore additional opportunities in the biopharmaceutical landscape.