Wave Life Sciences (WVE) AI Stock Analysis

• Market Cap: $2.33B
• Dividend Yield: N/A
• Average Volume (3M): 3.45M
• Price to Earnings (P/E): ―
• Beta (1Y): 1.77
• Revenue Growth: 103.75%
• EPS Growth: 33.84%
• Country: US
• Employees: 287
• Sector: Healthcare
• Sector Strength: 45
• Industry: Biotechnology
• EPS (TTM): -0.32
• Shares Outstanding: 182,996,750
• 10 Day Avg. Volume: 2,898,317
• 30 Day Avg. Volume: 3,454,155
• PEG Ratio: -0.60
• Price to Book (P/B): 8.16
• Price to Sales (P/S): 15.79
• P/FCF Ratio: -11.26
• Enterprise Value/Market Cap: 0.95
• Enterprise Value/Revenue: 20.18
• Enterprise Value/Gross Profit: 21.02
• Enterprise Value/Ebitda: -17.68
• 1Y Price Target: $32.08
• Price Target Upside: 146.58% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 14
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 50 Neutral
• Price Target: $15.00 ▲(15.30% Upside)

The score is held back primarily by weak financial performance (ongoing losses and negative cash flows) despite revenue growth. Offsetting this, the latest earnings call was constructive with meaningful clinical progress and runway visibility, while technicals are mixed (longer-term strength but near-term softness). Valuation remains difficult to assess due to negative earnings and no dividend data.

Positive Factors

Differentiated RNA medicines platform

Clinical translation of RNA editing (WVE-006) validates Wave’s stereopure oligonucleotide platform, creating a durable technological moat. A proven editing modality enables multiple therapeutic programs and platform leverage for new indications, improving long-term pipeline optionality and partnership value.

Compelling WVE-007 clinical profile

Dose-dependent, durable biomarker reductions and body-composition benefits suggest WVE-007 could offer less-frequent dosing and muscle-sparing advantages versus GLP-1s. This structural clinical differentiation supports sustainable competitive positioning in obesity therapeutics and long-term commercial potential.

Extended cash runway after capital raise

A materially extended runway into 3Q 2028 meaningfully reduces near-term financing pressure, allowing Wave to advance multiple pivotal/Phase 2 programs and de-risk development timelines. This funding horizon supports durable execution of clinical milestones and strategic partnering discussions.

Negative Factors

Persistent negative cash flow and unprofitability

Sustained negative operating and free cash flows indicate the business is not self-funding development. Over a multi-quarter horizon this necessitates continued external financing or partnerships, which can dilute shareholders or constrain strategic flexibility if clinical timelines slip or costs rise.

Rising R&D spend increases cash burn

Higher R&D outlays are needed to progress multiple programs, but they accelerate cash burn and pressure margins. Persistently rising development costs without near-term revenue inflection can shorten runway and heighten the need for dilutive funding or strategic trade-offs across projects.

Dependence on partnerships for late-stage execution

Reliance on external partners to advance registrational programs creates execution and timing risk: partner negotiations, shared control, or unfavorable economics could delay pivotal studies or commercialization, reducing capture of long-term value if partnerships are not secured on favorable terms.

Wave Life Sciences Business Overview & Revenue Model

Company Description

Wave Life Sciences Ltd., a clinical stage genetic medicine company, designs, optimizes, and produces novel stereopure oligonucleotides through PRISM, a discovery and drug developing platform. It is developing oligonucleotides target ribonucleic acid to reduce the expression of disease-promoting proteins or restore the production of functional proteins, or modulate protein expression. The company also develops WVE-004, a C9orf72 molecule for the treatment of amyotrophic lateral sclerosis and frontotemporal dementia; WVE-003, a mutant huntingtin SNP3 molecule for the treatment of Huntington's disease; WVE-N531, an Exon 53 molecule for the treatment of Duchenne muscular dystrophy; and ATXN3, a discovery stage program for the treatment of spinocerebellar ataxia 3, as well as multiple preclinical programs for CNS disorders. In addition, it focuses on developing GalNAc-conjugated AIMers to treat hepatic indications comprising Alpha-1 antitrypsin deficiency (AATD); and two preclinical programs, such as Usher syndrome type 2A (USH2A) and retinitis pigmentosa due to a P23H mutation in the RHO gene (RhoP23H) for the treatment of retinal diseases. It has collaboration agreements with Pfizer Inc., Takeda Pharmaceutical Company Limited, University of Oxford, University of Massachusetts, Western Washington University, Grenoble Institute of Neurosciences, IRBM S.p.A, University of Louisville, and University College London. The company was incorporated in 2012 and is based in Singapore.

How the Company Makes Money

Wave Life Sciences generates revenue primarily through the development and commercialization of its therapeutic products. The company secures funding through partnerships with larger pharmaceutical companies, which may involve upfront payments, milestone payments upon achieving specific development goals, and royalties on future sales. Additionally, Wave may receive grants and funding from government and research institutions aimed at supporting innovative medical research. Significant collaborations with industry leaders can enhance its financial stability and provide access to resources necessary for advancing its product pipeline.

Wave Life Sciences Financial Statement Overview

Summary

Revenue is growing (16.27% TTM), but overall fundamentals remain weak due to ongoing losses (negative net profit and EBIT margins) and strained cash generation (negative operating and free cash flow with negative FCF growth). Leverage appears manageable (debt-to-equity 0.16), yet negative ROE and a low equity ratio point to limited financial stability.

Income Statement

Wave Life Sciences shows a mixed performance in its income statement. The company has achieved a positive revenue growth rate of 16.27% in the TTM period, indicating an upward trajectory in sales. However, profitability remains a significant concern, with negative net profit and EBIT margins, reflecting ongoing operational challenges and high costs relative to revenue.

Balance Sheet

The balance sheet reveals a moderate debt-to-equity ratio of 0.16, suggesting manageable leverage. However, the return on equity is negative, indicating that the company is not generating profit from shareholders' equity. The equity ratio is also low, pointing to potential financial instability.

Cash Flow

Cash flow analysis highlights significant challenges, with negative operating and free cash flows. The free cash flow to net income ratio is slightly above 1, indicating that cash flow is closely aligned with net income, albeit both are negative. The company faces liquidity issues, as evidenced by the negative free cash flow growth rate.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	109.23M	108.30M	113.31M	3.65M	40.96M	20.08M
Gross Profit	104.87M	108.30M	113.31M	3.65M	40.96M	-110.87M
EBITDA	-124.70M	-101.74M	-58.79M	-152.61M	-117.18M	-145.26M
Net Income	-121.95M	-97.01M	-57.51M	-161.82M	-122.25M	-149.91M
Balance Sheet
Total Assets	241.38M	352.21M	274.95M	146.39M	207.01M	279.24M
Cash, Cash Equivalents and Short-Term Investments	196.22M	302.08M	200.35M	88.50M	150.56M	184.50M
Total Debt	19.77M	25.40M	32.12M	37.61M	29.92M	29.30M
Total Liabilities	116.83M	142.69M	235.32M	191.48M	174.51M	188.59M
Stockholders Equity	124.55M	209.51M	39.63M	-45.09M	32.50M	90.65M
Cash Flow
Free Cash Flow	-198.17M	-151.96M	-20.55M	-129.14M	-89.55M	-117.32M
Operating Cash Flow	-197.37M	-151.03M	-19.43M	-127.78M	-88.99M	-115.98M
Investing Cash Flow	-805.00K	-938.00K	-1.11M	-1.25M	-560.00K	-1.34M
Financing Cash Flow	83.52M	253.89M	132.53M	67.19M	55.83M	154.54M

Wave Life Sciences Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 13.01
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For WVE, the sentiment is Neutral. The current price of 13.01 is below the 20-day moving average (MA) of 14.25, below the 50-day MA of 13.34, and above the 200-day MA of 8.94, indicating a neutral trend. The MACD of -0.34 indicates Positive momentum. The RSI at 41.92 is Neutral, neither overbought nor oversold. The STOCH value of 13.42 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for WVE.

Wave Life Sciences Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
STOK	61 Neutral	$1.68B	47.08	15.02%	―	1128.17%	―
PGEN	59 Neutral	$1.58B	―	-507.72%	―	59.20%	-155.65%
NUVB	59 Neutral	$1.82B	-8.34	-52.49%	―	1137.19%	70.51%
RAPP	56 Neutral	$1.26B	-9.94	-23.41%	―	―	-37.07%
ORIC	54 Neutral	$1.07B	-6.22	-39.73%	―	―	4.29%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
WVE	50 Neutral	$2.33B	-17.41	-86.51%	―	103.75%	33.84%

Wave Life Sciences Corporate Events

Wave Life Sciences sets 2026 strategy, highlights obesity program

On January 12, 2026, Wave Life Sciences outlined its 2026 strategic priorities, centered on accelerating development of its investigational INHBE-targeting siRNA WVE-007 for obesity and advancing its RNA editing pipeline, while presenting at the 44th Annual J.P. Morgan Healthcare Conference. The company reported that 2025 single-dose data from the INLIGHT trial showed WVE-007 produced three-month fat loss comparable to GLP-1 therapies with preserved muscle and potential once- or twice-yearly dosing, and it plans to deliver additional higher-dose and longer follow-up data throughout 2026, initiate a Phase 2a multidose study in higher-BMI patients with comorbidities in the first half of 2026, and start new trials of WVE-007 as both an add-on to incretin drugs and as post-incretin maintenance. Wave highlighted continued progress in RNA editing with WVE-006 for alpha-1 antitrypsin deficiency, with further RestorAATion-2 data from higher-dose cohorts expected in 2026, and said it plans to file a clinical trial application in 2026 for WVE-008 targeting an estimated nine million individuals with homozygous PNPLA3 I148M liver disease in the U.S. and Europe. The company is also developing a bifunctional oligonucleotide modality that combines RNAi and RNA editing in a single construct, expects additional updates on this platform in 2026, and is advancing WVE-N531 toward a planned 2026 new drug application for Duchenne muscular dystrophy and preparing a potentially registrational Phase 2/3 program for Huntington’s disease candidate WVE-003, contingent on partnering. Wave reported preliminary, unaudited cash and cash equivalents of approximately $602 million as of December 31, 2025, supporting an expected cash runway into the third quarter of 2028, a level of funding that underpins its expanded clinical agenda and positions the company as an increasingly prominent player in competitive obesity and genetic liver and neuromuscular disease markets.

The most recent analyst rating on (WVE) stock is a Buy with a $30.00 price target. To see the full list of analyst forecasts on Wave Life Sciences stock, see the WVE Stock Forecast page.

Wave Life Sciences Announces Public Offering for $402.5 Million

On December 9, 2025, Wave Life Sciences announced an underwritten public offering of 15,789,475 ordinary shares at $19.00 per share and pre-funded warrants for 2,631,578 shares at $18.9999 each, expecting gross proceeds of approximately $402.5 million. The offering, which includes an option for underwriters to purchase additional shares, is anticipated to close on December 11, 2025, and will support the company’s operations into the third quarter of 2028, enhancing its market positioning and financial stability.

The most recent analyst rating on (WVE) stock is a Hold with a $22.00 price target. To see the full list of analyst forecasts on Wave Life Sciences stock, see the WVE Stock Forecast page.

Wave Life Sciences Announces Positive Phase 1 Trial Results

On December 8, 2025, Wave Life Sciences announced positive interim data from its Phase 1 INLIGHT trial for WVE-007, a treatment for obesity. The trial showed significant improvements in body composition, including reductions in visceral and total body fat and an increase in lean mass, with a favorable safety profile. These results suggest the potential for WVE-007 to be a transformative obesity treatment with once or twice-yearly dosing, addressing the limitations of current GLP-1 therapies. The company is planning Phase 2 trials and expects further data updates in 2026.

The most recent analyst rating on (WVE) stock is a Hold with a $7.50 price target. To see the full list of analyst forecasts on Wave Life Sciences stock, see the WVE Stock Forecast page.

Wave Life Sciences Highlights RNA Platform Advancements

On November 17, 2025, Wave Life Sciences updated its corporate presentation, emphasizing advancements in its RNA medicines platform. The company highlighted its robust pipeline, including the WVE-007 program for obesity, which aims to offer a novel treatment approach with potential benefits over current therapies. This update underscores Wave Life Sciences’ strategic positioning in the RNA medicines market, potentially impacting its competitive stance and offering new opportunities for stakeholders.

The most recent analyst rating on (WVE) stock is a Hold with a $7.00 price target. To see the full list of analyst forecasts on Wave Life Sciences stock, see the WVE Stock Forecast page.

Wave Life Sciences Reports Positive INLIGHT Trial Results

On October 29, 2025, Wave Life Sciences announced positive results from its INLIGHT clinical trial of WVE-007 for obesity, showing significant dose-dependent reductions in Activin E levels, which are linked to fat loss. The company also introduced WVE-008, a new RNA editing candidate for liver disease, and highlighted its advancements in RNA editing and silencing technologies, positioning itself as a leader in RNA medicines.

The most recent analyst rating on (WVE) stock is a Buy with a $18.00 price target. To see the full list of analyst forecasts on Wave Life Sciences stock, see the WVE Stock Forecast page.