Viridian Therapeutics (VRDN) AI Stock Analysis

• Market Cap: $2.93B
• Dividend Yield: N/A
• Average Volume (3M): 814.59K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.31
• Revenue Growth: 23340.07%
• EPS Growth: 18.06%
• Country: US
• Employees: 143
• Sector: Healthcare
• Sector Strength: 45
• Industry: Biotechnology
• EPS (TTM): -1.08
• Shares Outstanding: 102,206,570
• 10 Day Avg. Volume: 1,087,693
• 30 Day Avg. Volume: 814,586
• PEG Ratio: 0.46
• Price to Book (P/B): 3.65
• Price to Sales (P/S): 37.25
• P/FCF Ratio: -9.53
• Enterprise Value/Market Cap: 0.78
• Enterprise Value/Revenue: 32.07
• Enterprise Value/Gross Profit: 32.21
• Enterprise Value/Ebitda: -6.79
• 1Y Price Target: $41.70
• Price Target Upside: 45.40% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 12
• EPS Forecast (FY): -3.82
• Revenue Forecast (FY): $74.63M

• Rating: 49 Neutral
• Price Target: $29.00 ▲(1.12% Upside)
• Action: Reiterated Date: 02/27/26
• Date: Action: Reiterated 02/27/26

The score is primarily constrained by weak financial performance driven by deep losses and persistent negative free cash flow, despite a strong no-debt balance sheet and improved 2025 revenue. Technical indicators add a modest negative bias due to weaker near-term momentum, while valuation is difficult to justify positively given the negative P/E and lack of dividend data.

Positive Factors

No debt / conservative balance sheet

A debt-free capital structure with sizable equity (~$722M) on ~$899M of assets provides durable financial optionality. This reduces refinancing risk and supports funding near-term regulatory, launch and commercialization activities without immediate reliance on expensive external debt, aiding strategic flexibility.

Revenue step-up in 2025

The 2025 revenue increase indicates early commercial traction or milestone-related recognition that begins to scale operations. Durable higher revenue provides a base to absorb fixed R&D and G&A, improving operating leverage prospects if sustained post-approval and if commercial execution follows regulatory success.

Late-stage pipeline progress (veligrotug BLA priority review)

Regulatory acceptance and a set PDUFA date represent a structural inflection point: potential first commercial product and global filings materially change business profile from pre-revenue R&D to commercial-stage operations. Successful approval would create recurring revenue and validate platform capabilities.

Negative Factors

Very large operating losses

Deep and persistent operating losses reflect high R&D and SG&A spend relative to current sales, eroding capital and making internal funding of growth unrealistic. Until product revenues scale materially, losses will constrain free cash flow and investor returns, requiring sustained external capital or major margin improvement.

Persistent negative cash flow / rising burn

Heavy, worsening cash burn increases the probability the company will need additional financing before achieving self-sustaining operations. That elevates dilution and execution risk around commercialization investments, potentially forcing cost cuts or capital raises that could delay product launches or market penetration.

Negative returns on equity

A substantially negative ROE indicates the existing equity base is not generating returns and that capital deployed into R&D has yet to produce profitable growth. This structural weakness can depress long-term investor confidence and make future equity raises more dilutive if operations don't convert to positive returns.

Viridian Therapeutics Business Overview & Revenue Model

Company Description

Viridian Therapeutics, Inc., a biotechnology company, develops treatments for patients suffering from serious diseases. It develops VRDN-001, a humanized monoclonal anti-IGF-1R antibody that is in Phase 1/2 clinical trial for the treatment of thyroid eye disease (TED); VRDN-002, an IGF-1R antibody, which is in Phase 1 clinical trial; and VRDN-003, a therapeutic antibody targeting IGF-1R for the treatment of TED. The company was formerly known as Miragen Therapeutics, Inc. and changed its name to Viridian Therapeutics, Inc. in January 2021. Viridian Therapeutics, Inc. was founded in 2006 and is headquartered in Waltham, Massachusetts.

How the Company Makes Money

Viridian Therapeutics generates revenue primarily through the development and commercialization of its therapeutic products. The company's revenue model includes potential sales from approved drugs, milestone payments from partnerships, and royalties on product sales. Key revenue streams may arise from collaborations with larger pharmaceutical companies that provide funding for research and development in exchange for future profits or product rights. Additionally, Viridian may seek to monetize its product pipeline through licensing agreements or partnerships that allow it to share development costs and risks while gaining access to broader distribution channels.

Viridian Therapeutics Financial Statement Overview

Summary

Balance sheet strength supports the business (no debt reported in 2025 and sizable equity), but operating performance is very weak with large losses (2025 net income -$342.6M; net margin ~-484%) and significant ongoing cash burn (2025 operating cash flow -$276.4M; free cash flow -$276.9M). The 2025 revenue step-up is a positive, but not enough to offset profitability and cash flow risks.

Income Statement

Revenue is volatile but showed a sharp step-up in 2025 (annual revenue of ~$70.8M, +8.5% YoY), likely improving scale versus prior years. That said, profitability remains very weak: 2025 net income was -$342.6M with a deeply negative net margin (~-484%), and operating losses (EBIT/EBITDA) remain large. Overall, the trajectory is dominated by heavy R&D/operating spend and sustained losses despite the 2025 revenue improvement.

Balance Sheet

The balance sheet appears strong and conservatively levered. Total debt is reported as $0 in 2025 (very low leverage historically as well), while equity is sizable at ~$722.2M on ~$899.4M of assets. The main weakness is returns: return on equity is materially negative (about -47% in 2025), reflecting continued net losses and indicating the capital base is not yet generating profitability.

Cash Flow

Cash generation is a key pressure point. Operating cash flow and free cash flow are consistently negative, with 2025 operating cash flow at -$276.4M and free cash flow at -$276.9M, and free cash flow growth deteriorating in 2025 (down ~15x vs the prior year’s level). A mitigating positive is that cash burn broadly tracks reported losses (free cash flow roughly in line with net income), but the ongoing and rising burn rate remains a clear risk until revenues scale materially or costs moderate.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	70.85M	302.00K	314.00K	1.77M	2.96M
Gross Profit	69.69M	302.00K	314.00K	1.77M	2.96M
EBITDA	-337.65M	-265.66M	-235.37M	-129.13M	-79.29M
Net Income	-342.60M	-269.95M	-237.73M	-129.87M	-79.41M
Balance Sheet
Total Assets	899.42M	742.40M	490.42M	435.09M	203.71M
Cash, Cash Equivalents and Short-Term Investments	874.65M	717.58M	477.37M	424.55M	196.97M
Total Debt	50.69M	21.09M	21.05M	5.26M	520.00K
Total Liabilities	177.25M	70.76M	48.40M	40.03M	15.99M
Stockholders Equity	722.17M	671.64M	442.02M	395.06M	187.72M
Cash Flow
Free Cash Flow	-276.89M	-232.83M	-185.07M	-94.64M	-54.92M
Operating Cash Flow	-276.39M	-232.32M	-184.17M	-93.84M	-54.58M
Investing Cash Flow	-37.56M	-228.65M	-94.25M	-115.13M	-74.29M
Financing Cash Flow	426.74M	457.74M	225.67M	322.24M	125.28M

Viridian Therapeutics Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 28.68
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For VRDN, the sentiment is Negative. The current price of 28.68 is below the 20-day moving average (MA) of 28.84, below the 50-day MA of 30.52, and above the 200-day MA of 23.71, indicating a neutral trend. The MACD of -0.43 indicates Negative momentum. The RSI at 45.33 is Neutral, neither overbought nor oversold. The STOCH value of 27.99 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for VRDN.

Viridian Therapeutics Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
EWTX	61 Neutral	$3.17B	-12.72	-31.97%	―	―	-5.73%
PHVS	56 Neutral	$1.63B	-8.91	-67.11%	―	―	-20.08%
DNTH	53 Neutral	$3.46B	-9.59	-28.57%	―	-42.64%	-39.78%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
JANX	50 Neutral	$826.09M	-7.53	-11.55%	―	-23.37%	-42.45%
VRDN	49 Neutral	$2.93B	-5.48	-58.44%	―	23340.07%	18.06%
BHVN	45 Neutral	$1.44B	―	-688.89%	―	―	18.76%