VYNE Therapeutics (VYNE) AI Stock Analysis

• Market Cap: $20.38M
• Dividend Yield: N/A
• Average Volume (3M): 251.04K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.05
• Revenue Growth: 18.16%
• EPS Growth: 86.65%
• Country: US
• Employees: 13
• Sector: Healthcare
• Sector Strength: 74
• Industry: Biotechnology
• EPS (TTM): -0.93
• Shares Outstanding: 15,209,862
• 10 Day Avg. Volume: 300,809
• 30 Day Avg. Volume: 251,040
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): 0.00
• Price to Cash Flow (P/CF): 0.00
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: 3.99
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: 162.24
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: $5.88
• Price Target Upside: 342.11% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 4

VYNE Therapeutics is facing significant financial difficulties with persistent unprofitability and cash flow challenges. The technical indicators suggest a negative trend, with the stock trading below key moving averages. Valuation metrics are unfavorable due to negative earnings and lack of dividends. These factors highlight substantial risks, impacting the overall stock score negatively.

Positive Factors

Clinical Trials

Repibresib has demonstrated a well-defined mechanism of action and potential in vitiligo in previous trials, showing a strong chance of success in subsequent clinical investigations.

Financial Health

VYNE ended FY24 with $61.5M in cash and equivalents which the company is guiding as sufficient to fund operations into 2H26.

Product Advantages

Repibresib is administered once-daily and is not expected to have a black-box warning, which are meaningful advantages over the current standard.

Negative Factors

Non-clinical Findings

FDA has placed a clinical hold on its Phase Ib study evaluating VYN202 in patients with moderate-to-severe plaque psoriasis following a recent observation of testicular toxicity in dogs.

Regulatory Challenges

A clinical hold was placed on VYN202 Phase 1b trial for moderate-to-severe plaque psoriasis due to testicular toxicity observed in dogs.

Trial Suspension

The Company has suspended all screening, enrollment, and dosing in the study, and is working with the FDA to resolve the hold as soon as possible.

VYNE Therapeutics Business Overview & Revenue Model

Company Description

VYNE Therapeutics Inc., a pharmaceutical company, focuses on developing various therapeutics for the treatment of immuno-inflammatory conditions. The company develops FCD105, a topical combination foam that has completed Phase III clinical trials for the treatment of moderate-to-severe acne vulgaris; and FMX114, a combination of tofacitinib, which is in Phase IIa preclinical trial for the treatment of mild-to-moderate atopic dermatitis. It is also developing VYN201, a bromodomain and extra-terminal (BET) inhibitor for various immuno-inflammatory diseases, including skin diseases; and VYN202, BET inhibitor compounds that are selective for bromodomain 2. The company was formerly known as Menlo Therapeutics Inc. and changed its name to VYNE Therapeutics Inc. in September 2020. VYNE Therapeutics Inc. was founded in 2003 and is based in Bridgewater, New Jersey.

How the Company Makes Money

VYNE Therapeutics generates revenue primarily through the sale of its dermatological products. The company markets and sells its proprietary topical treatments to healthcare providers, pharmacies, and directly to consumers. Additionally, VYNE may engage in strategic partnerships or licensing agreements with other pharmaceutical companies to co-develop or distribute its therapies, which can provide additional revenue streams. The company's earnings are driven by product sales, potential milestone payments, and royalties from licensing agreements.

VYNE Therapeutics Financial Statement Overview

Summary

VYNE Therapeutics faces significant financial challenges with persistent losses and cash flow issues. The balance sheet is relatively strong with low leverage, but ongoing unprofitability and negative cash flows raise concerns about financial sustainability. The company's financial position is undermined by the biotechnology industry's volatility.

Income Statement

VYNE Therapeutics has shown a significant decline in revenue over recent years, with a steep drop from 2020 to 2024. The gross profit margin is positive, but the company is facing substantial operating losses as evidenced by negative EBIT and EBITDA margins. The net profit margin is also significantly negative, highlighting persistent unprofitability. These metrics indicate challenges in achieving revenue growth and controlling costs.

Balance Sheet

The company has maintained a healthy equity position with a low debt-to-equity ratio, suggesting limited leverage risk. However, there is a consistent decrease in stockholders' equity over the last few years. The equity ratio is relatively strong, indicating a stable asset base primarily funded by equity. Despite these strengths, profitability remains an issue.

Cash Flow

Operating cash flow is consistently negative, reflecting ongoing cash burn, which is a concern for sustainability. Free cash flow has been negative, with limited growth in free cash flow, suggesting cash management challenges. The company has relied on financing activities to supplement cash needs, which could pose future risks if access to capital markets becomes constrained.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
501.00K	424.00K	477.00K	14.76M	20.99M
	Gross Profit
501.00K	424.00K	477.00K	11.41M	19.60M
	EBIT
-43.64M	-29.26M	-34.30M	-68.03M	-113.47M
	EBITDA
-43.63M	-29.26M	-34.22M	-38.94M	-251.09M
	Net Income Common Stockholders
-39.83M	-28.45M	-33.95M	-73.33M	-255.57M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
61.52M	93.25M	30.91M	42.25M	58.59M
	Total Assets
66.91M	97.69M	40.76M	67.05M	93.74M
	Total Debt
99.00K	214.00K	-349.00K	349.00K	34.78M
	Net Debt
-19.83M	-30.41M	-31.26M	-41.90M	-22.78M
	Total Liabilities
14.82M	8.95M	9.56M	18.41M	56.25M
	Stockholders Equity
52.09M	88.73M	31.20M	48.64M	37.49M
Cash Flow		Free Cash Flow
-34.09M	-25.34M	-29.20M	-56.37M	-137.19M
	Operating Cash Flow
-33.97M	-25.34M	-29.20M	-56.37M	-137.08M
	Investing Cash Flow
23.36M	-57.35M	15.67M	1.03M	89.11M
	Financing Cash Flow
-141.00K	82.39M	1.65M	39.78M	61.81M

VYNE Therapeutics Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1.33
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For VYNE, the sentiment is Negative. The current price of 1.33 is below the 20-day moving average (MA) of 1.62, below the 50-day MA of 1.88, and below the 200-day MA of 2.26, indicating a bearish trend. The MACD of -0.11 indicates Positive momentum. The RSI at 33.74 is Neutral, neither overbought nor oversold. The STOCH value of 12.07 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for VYNE.

VYNE Therapeutics Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	52 Neutral	$5.28B	3.75	-42.72%	2.86%	17.70%	2.03%
VYNE	43 Neutral	$20.38M	―	-56.54%	―	18.16%	86.65%
DARE	41 Neutral	$25.93M	―	597.53%	―	88.13%	92.45%
PYPD	41 Neutral	$28.53M	―	-1038.73%	―	―	34.97%
PLUR	40 Underperform	$37.58M	―	-1205.58%	―	89.92%	21.39%
CLNN	39 Underperform	$26.43M	―	-1738.36%	―	-47.71%	-244.00%
NRSN	30 Underperform	$25.43M	―	-2880.11%	―	―	31.09%

VYNE Therapeutics Corporate Events

VYNE Therapeutics Sees Strong Shareholder Support for Growth

VYNE Therapeutics’ stockholders approved an amendment to the 2023 Equity Incentive Plan, increasing shares available for issuance and adjusting share recycling policies. During the annual meeting, all five proposals, including director elections and executive compensation, were approved, indicating strong shareholder support and potential for strategic growth.