Upstream Bio, Inc. (UPB) AI Stock Analysis

• Market Cap: $587.97M
• Dividend Yield: N/A
• Average Volume (3M): 481.20K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.77
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: US
• Employees: 52
• Sector: Healthcare
• Sector Strength: 42
• Industry: Biotechnology
• EPS (TTM): N/A
• Shares Outstanding: 53,793,700
• 10 Day Avg. Volume: 703,639
• 30 Day Avg. Volume: 481,198
• PEG Ratio: -0.66
• Price to Book (P/B): -6.49
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -20.99
• Enterprise Value/Market Cap: 1.32
• Enterprise Value/Revenue: 171.35
• Enterprise Value/Gross Profit: 432.99
• Enterprise Value/Ebitda: -4.55
• 1Y Price Target: $75.00
• Price Target Upside: 586.18% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 3

• Rating: 64 Neutral
• Price Target: $11.50 ▲(5.22%Upside)

Upstream Bio, Inc. has a moderate stock score driven by strong technical analysis indicators suggesting positive momentum. However, the financial performance poses significant risks due to operational losses and negative cash flow. Valuation remains uncertain due to the lack of earnings and dividends, typical of a growth-phase biotechnology company.

Positive Factors

Clinical Trials

Enrollment in the phase 2 VALIANT trial of verekitug in severe asthma has reached completion, which is seen positively, setting up for topline results.

Financial Position

Upstream Bio is well-financed with $431M cash, offering a unique investment profile.

Negative Factors

Competitive Landscape

A key focus of all investor conversations remains on the competitive landscape given the number of new companies that have recently in-licensed TSLP assets at various stages of development.

Conflict of Interest

There is a potential conflict of interest as J.P. Morgan does business with companies covered in its research reports, including Upstream Bio.

Upstream Bio, Inc. Business Overview & Revenue Model

Company Description

Upstream Bio, Inc. (UPB) is a biotechnology company focused on developing innovative therapies for the treatment of inflammatory and immune-mediated diseases. Utilizing cutting-edge research and technology, UPB aims to address unmet medical needs by bringing novel biologic and small molecule drugs to market. The company operates within the pharmaceutical and healthcare sectors, with a strong emphasis on advancing its therapeutic pipeline through clinical development stages.

How the Company Makes Money

Upstream Bio, Inc. makes money primarily through the development and commercialization of its drug candidates. The company invests in research and development to create proprietary therapies which, upon successful clinical trials and regulatory approval, are sold to healthcare providers, hospitals, and clinics. Revenue streams include sales of these drugs, as well as potential licensing agreements with other pharmaceutical companies that wish to market UPB's products in different regions. Additionally, Upstream Bio may enter into strategic partnerships and collaborations that provide funding for joint development projects or milestone payments based on the achievement of specific clinical or commercial goals.

Upstream Bio, Inc. Financial Statement Overview

Summary

Upstream Bio, Inc. is experiencing significant operational and cash flow challenges. The income statement reflects minimal revenue growth with ongoing operational losses. The balance sheet is strong due to high equity, but consistent net losses could erode this over time. Cash flow is negative, highlighting reliance on external funding for operations.

Income Statement

Upstream Bio, Inc. has experienced minimal revenue growth of 95.45% from 2022 to 2023, but revenue decreased slightly by 0.42% from 2023 to 2024. The gross profit margin stands at 100%, reflecting the absence of COGS. However, the company faces significant challenges with negative EBIT and net profit margins, indicating ongoing operational losses.

Balance Sheet

The company displays a strong equity position with a debt-to-equity ratio of 0.0039 and an equity ratio of 97.55% as of 2024. Despite a high level of stockholders' equity, consistent net losses could erode this strength over time if not addressed.

Cash Flow

Free cash flow deteriorated from -$19.1 million in 2022 to -$59.7 million in 2024. The company's operating cash flow to net income ratio remains negative, highlighting cash flow challenges. Positive financing cash flow suggests reliance on external funding to manage operations.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022
Income Statement
Total Revenue	1.79M	2.37M	2.38M	1.21M
Gross Profit	1.79M	2.37M	2.38M	1.21M
EBITDA	-77.12M	-77.67M	-40.05M	-23.90M
Net Income	-64.50M	-62.81M	-20.54M	-23.87M
Balance Sheet
Total Assets	456.17M	481.72M	117.20M	18.48M
Cash, Cash Equivalents and Short-Term Investments	431.38M	470.45M	109.81M	17.05M
Total Debt	1.70M	1.83M	45.00K	94.00K
Total Liabilities	10.56M	11.87M	240.32M	124.63M
Stockholders Equity	445.61M	469.85M	-123.13M	-106.16M
Cash Flow
Free Cash Flow	-75.25M	-59.68M	-38.07M	-19.10M
Operating Cash Flow	-74.74M	-59.17M	-37.93M	-19.02M
Investing Cash Flow	-170.06M	-59.48M	-82.84M	-82.00K
Financing Cash Flow	268.97M	418.91M	129.55M	9.96M

Upstream Bio, Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
UPB	64 Neutral	$587.97M	―		―	―	―
TRDA	61 Neutral	$262.26M	8.55	7.22%	―	5.74%	24.45%
DNA	53 Neutral	$553.71M	―	-57.76%	―	13.76%	48.34%
RNAC	50 Neutral	$277.19M	―	-938.38%	―	38.82%	-645.78%
Sector *	46 Neutral	C$190.36M	-4.25	-8.56%	3.09%	13.53%	-1.76%
CELC	44 Neutral	$474.84M	―	-115.39%	―	―	-4.14%
MREO	43 Neutral	$422.94M	―	-92.00%	―	―	―

Upstream Bio, Inc. Corporate Events

Upstream Bio Holds 2025 Annual Stockholders Meeting

Upstream Bio, Inc. held its 2025 Annual Meeting of Stockholders on June 10, 2025, where stockholders voted on two key proposals. The first proposal involved the election of Erez Chimovits and Marcella Kuhlman Ruddy as Class I directors, which was approved. The second proposal was the ratification of PricewaterhouseCoopers LLP as the company’s independent registered public accounting firm for the fiscal year ending December 31, 2025, which was also ratified.

The most recent analyst rating on (UPB) stock is a Buy with a $75.00 price target. To see the full list of analyst forecasts on Upstream Bio, Inc. stock, see the UPB Stock Forecast page.