Ventyx Biosciences (VTYX) AI Stock Analysis

• Market Cap: $576.89M
• Dividend Yield: N/A
• Average Volume (3M): 1.30M
• Price to Earnings (P/E): ―
• Beta (1Y): 2.16
• Revenue Growth: N/A
• EPS Growth: 36.65%
• Country: US
• Employees: 81
• Sector: Healthcare
• Sector Strength: 45
• Industry: Biotechnology
• EPS (TTM): -0.32
• Shares Outstanding: 71,308,520
• 10 Day Avg. Volume: 1,359,554
• 30 Day Avg. Volume: 1,304,464
• PEG Ratio: 0.03
• Price to Book (P/B): 0.59
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -1.14
• Enterprise Value/Market Cap: -0.08
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: 0.41
• 1Y Price Target: $13.75
• Price Target Upside: 265.69% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 6
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• 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

Strong Liquidity

Strong liquidity with minimal debt provides Ventyx Biosciences with the financial flexibility to continue its R&D efforts without immediate pressure to generate revenue.

Focus on Unmet Medical Needs

By focusing on unmet medical needs in inflammatory and autoimmune diseases, Ventyx positions itself to capture significant market opportunities if its therapies succeed.

Partnership Revenue Model

The partnership-based revenue model allows Ventyx to leverage the resources and networks of larger pharmaceutical companies, reducing financial risk and enhancing development potential.

Negative Factors

Negative Equity

Negative equity indicates that liabilities exceed assets, posing a risk to financial stability and potentially limiting future financing options.

Ongoing Cash Burn

Continued cash burn without revenue generation could deplete resources, necessitating further external funding and diluting existing shareholders.

Lack of Revenue

The absence of revenue highlights the risk inherent in Ventyx's business model, as success depends on future product commercialization and regulatory approvals.

Ventyx Biosciences Business Overview & Revenue Model

Company Description

Ventyx Biosciences (VTYX) is a clinical-stage biopharmaceutical company focused on discovering and developing novel, small molecule drugs for the treatment of inflammatory and autoimmune diseases. The company is engaged in the research and development of therapies targeting clinically validated mechanisms, with an emphasis on addressing significant unmet medical needs. Ventyx's core product candidates are designed to modulate key pathways involved in immune system regulation, providing potential new treatments for conditions such as psoriasis, Crohn's disease, and ulcerative colitis.

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	0.00	0.00	0.00	0.00	0.00	0.00
Gross Profit	0.00	0.00	0.00	0.00	0.00	0.00
EBITDA	-113.62M	-147.10M	-207.05M	-112.67M	-83.62M	0.00
Net Income	-106.61M	-135.12M	-192.96M	-108.43M	-83.75M	-28.17M
Balance Sheet
Total Assets	211.47M	276.56M	277.69M	371.40M	291.48M	245.00K
Cash, Cash Equivalents and Short-Term Investments	192.64M	217.32M	252.22M	317.94M	258.58M	244.00K
Total Debt	10.02M	10.79M	12.51M	1.56M	0.00	12.65M
Total Liabilities	0.00	22.52M	33.77M	17.50M	12.28M	30.90M
Stockholders Equity	191.36M	254.04M	243.92M	353.89M	279.20M	-30.65M
Cash Flow
Free Cash Flow	-87.87M	-131.11M	-167.04M	-99.05M	-38.91M	-6.20M
Operating Cash Flow	-87.75M	-130.87M	-166.52M	-98.77M	-38.65M	-6.20M
Investing Cash Flow	57.66M	-15.51M	100.94M	-74.93M	-214.37M	0.00
Financing Cash Flow	246.00K	122.11M	53.33M	167.77M	323.55M	6.13M

Ventyx Biosciences Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 3.76
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For VTYX, the sentiment is Positive. The current price of 3.76 is below the 20-day moving average (MA) of 6.79, below the 50-day MA of 4.48, and above the 200-day MA of 2.56, indicating a bullish trend. The MACD of 1.49 indicates Negative momentum. The RSI at 77.13 is Negative, neither overbought nor oversold. The STOCH value of 83.99 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for VTYX.

Ventyx Biosciences Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SLN	54 Neutral	$307.49M	-3.89	―	―	―	―
VYGR	53 Neutral	$234.63M	―	-46.09%	―	-80.88%	-388.61%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
VTYX	41 Neutral	$576.89M	-4.82	-45.35%	―	―	36.65%
IMMP	41 Neutral	$245.07M	―	-35.86%	―	―	-17.16%
FHTX	41 Neutral	$199.55M	-2.85	―	―	-3.91%	37.89%
KYTX	36 Underperform	$275.04M	-1.73	-61.29%	―	―	-39.69%

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.