Ventyx Biosciences (VTYX) AI Stock Analysis

• Market Cap: $179.70M
• Dividend Yield: N/A
• Average Volume (3M): 654.13K
• Price to Earnings (P/E): ―
• Beta (1Y): 2.10
• Revenue Growth: N/A
• EPS Growth: 39.76%
• Country: US
• Employees: 81
• Sector: Healthcare
• Sector Strength: 52
• Industry: Biotechnology
• EPS (TTM): -0.38
• Shares Outstanding: 71,308,520
• 10 Day Avg. Volume: 407,936
• 30 Day Avg. Volume: 654,130
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: -0.26
• Enterprise Value/Revenue: -31.97
• Enterprise Value/Gross Profit: -503.25
• Enterprise Value/Ebitda: 0.40
• 1Y Price Target: $11.40
• Price Target Upside: 352.38% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 8

• Rating: 41 Neutral
• Price Target: ―

Ventyx Biosciences' overall score reflects the challenges typical of a pre-revenue biotech firm, with significant financial risks due to lack of revenue and negative equity. While the company has strong liquidity, it relies heavily on external funding. The technical analysis suggests a bearish trend, and valuation metrics indicate ongoing losses, contributing to a low overall score.

Positive Factors

Clinical Trials

Ventyx reported positive results from the Phase IIa open-label study for VTX3232 in early Parkinson's disease.

Drug Development

VTX3232 combined with semaglutide led to additive reductions in body weight and food intake, showing potential for improved treatment outcomes.

Safety Profile

VTX3232 demonstrated a well-tolerated profile with no drug-related TEAEs or SAEs over the 28-day dosing period.

Negative Factors

Market Strategy

The company is not focusing on monotherapy for obesity as the market is highly competitive, indicating challenges in this strategy.

Partnerships

The pressure on VTYX relates to a lack of concurrent update on interactions with Sanofi, which maintains right of first negotiation for VTX3232.

Strategic Challenges

A significant increase over semaglutide alone is needed to justify the combination approach, presenting a challenge for the company's strategy.

Ventyx Biosciences Business Overview & Revenue Model

Company Description

Ventyx Biosciences, Inc., a clinical-stage biopharmaceutical company, develops small molecule product candidates for inflammatory diseases and autoimmune disorders. The company's lead product candidate is VTX958, a tyrosine kinase type 2 inhibitor that is in phase I clinical trials for the treatment of immune-mediated diseases, such as psoriasis, inflammatory bowel disease, psoriatic arthritis, Crohn's disease, and lupus. It also develops VTX002, an oral sphingosine 1 phosphate receptor 1 modulator that is in phase II clinical trials for the treatment of ulcerative colitis; and VTX2735, a peripheral-targeted NOD-like receptor protein 3 (NLRP3) inflammasome inhibitor for the treatment of systemic inflammatory diseases, such as cardiovascular, hepatic, renal, and rheumatologic diseases which is in phase I clinical trials. In addition, the company develops CNS-penetrant NLRP3 inhibitors for the treatment of Alzheimer disease, Parkinson disease, amyotrophic lateral sclerosis, and multiple sclerosis. Ventyx Biosciences, Inc. was incorporated in 2018 and is based in Encinitas, California.

How the Company Makes Money

Ventyx Biosciences generates revenue primarily through partnerships, collaborations, and licensing agreements with larger pharmaceutical companies. These partnerships often involve upfront payments, milestone payments contingent on the achievement of specific development or regulatory objectives, and royalties on sales of any successfully commercialized products. Additionally, Ventyx may receive funding from grants or government programs to support its research efforts. As a clinical-stage company, Ventyx does not yet generate revenue from product sales, as its therapies are still in the development and approval stages.

Ventyx Biosciences Financial Statement Overview

Summary

Ventyx Biosciences is a pre-revenue biotechnology company with no reported revenue and negative net income, indicating typical financial challenges of such firms. While it maintains strong liquidity with minimal debt, negative stockholders' equity and ongoing cash burn pose significant financial risks.

Income Statement

Ventyx Biosciences has consistently reported zero revenue, which is typical for early-stage biotechnology firms focused on research and development. The net income remains negative, reflecting ongoing operational expenses without offsetting revenue. The lack of revenue growth and negative profit margins suggest financial challenges typical of pre-revenue biotech firms.

Balance Sheet

The company possesses a healthy cash balance with minimal debt, indicating strong liquidity. However, the negative stockholders' equity raises concerns about the company's financial stability and potential for future leverage. The debt-to-equity ratio is not applicable due to negative equity, but the low total liabilities relative to assets offer some financial resilience.

Cash Flow

Ventyx Biosciences shows negative free cash flow, which is expected for companies in the development phase. The operating cash flow remains negative, and the free cash flow trends suggest ongoing cash burn without revenue to counterbalance expenses. Financing activities have been a significant source of cash, highlighting reliance on external funding.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.45M	0.00	0.00	0.00	0.00	0.00
Gross Profit	92.00K	-1.35M	-941.00K	-470.00K	-30.00K	0.00
EBITDA	-116.09M	-133.77M	-207.84M	-107.96M	-67.12M	0.00
Net Income	-119.03M	-135.12M	-192.96M	-107.96M	-83.75M	-28.17M
Balance Sheet
Total Assets	230.01M	276.56M	277.69M	371.40M	291.48M	245.00K
Cash, Cash Equivalents and Short-Term Investments	208.96M	217.32M	252.22M	317.94M	258.58M	244.00K
Total Debt	10.29M	10.79M	12.51M	1.56M	0.00	12.65M
Total Liabilities	20.63M	22.52M	33.77M	17.50M	12.28M	30.90M
Stockholders Equity	209.38M	254.04M	243.92M	353.89M	279.20M	-30.65M
Cash Flow
Free Cash Flow	-105.77M	-131.11M	-167.04M	-99.05M	-38.91M	-6.20M
Operating Cash Flow	-105.70M	-130.87M	-166.52M	-98.77M	-38.65M	-6.20M
Investing Cash Flow	69.86M	-15.51M	100.94M	-74.93M	-214.37M	0.00
Financing Cash Flow	26.91M	122.11M	53.33M	167.77M	323.55M	6.13M

Ventyx Biosciences Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 2.52
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For VTYX, the sentiment is Neutral. The current price of 2.52 is below the 20-day moving average (MA) of 2.64, below the 50-day MA of 2.66, and above the 200-day MA of 2.01, indicating a neutral trend. The MACD of -0.05 indicates Positive momentum. The RSI at 46.66 is Neutral, neither overbought nor oversold. The STOCH value of 54.07 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for VTYX.

Ventyx Biosciences Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ASMB	58 Neutral	$370.56M	―	-147.64%	―	54.77%	37.35%
Sector *	51 Neutral	$7.95B	-0.40	-42.50%	2.21%	22.29%	-1.85%
TCRX	48 Neutral	$108.39M	―	-63.33%	―	-42.94%	―
VTYX	41 Neutral	$179.70M	―	-48.56%	―	―	39.76%
CNTX	37 Underperform	$73.59M	―	-37.25%	―	―	62.83%
ABOS	36 Underperform	$87.23M	―	-75.71%	―	―	-103.31%
RANI	32 Underperform	$36.09M	―	-1372.59%	―	―	22.94%

Ventyx Biosciences Corporate Events

Ventyx Biosciences Unveils 2025 Pipeline and Clinical Updates

Ventyx Biosciences highlighted its 2025 pipeline strategy and clinical updates for its NLRP3 inhibitor portfolio during the 43rd Annual J.P. Morgan Healthcare Conference. Key developments include the initiation of a Phase 2 trial of VTX3232 for obesity and cardiometabolic risk factors, and a Phase 2 trial of VTX2735 for recurrent pericarditis, with topline data expected in H2 2025. The company anticipates establishing itself as a leader in NLRP3 inflammasome treatment, potentially exploring opportunities in systemic and neurological diseases. Ventyx also reported a cash position of $252.9M as of December 31, 2024, expected to fund operations into H2 2026.