Xoma (XOMA) AI Stock Analysis

• Market Cap: $441.08M
• Dividend Yield: N/A
• Average Volume (3M): 53.03K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.10
• Revenue Growth: 194.98%
• EPS Growth: 38.01%
• Country: US
• Employees: 13
• Sector: Healthcare
• Sector Strength: 45
• Industry: Biotechnology
• EPS (TTM): 0.44
• Shares Outstanding: 12,087,719
• 10 Day Avg. Volume: 49,175
• 30 Day Avg. Volume: 53,026
• PEG Ratio: 0.38
• Price to Book (P/B): 3.75
• Price to Sales (P/S): 10.79
• P/FCF Ratio: -22.33
• Enterprise Value/Market Cap: 1.13
• Enterprise Value/Revenue: 12.92
• Enterprise Value/Gross Profit: 13.33
• Enterprise Value/Ebitda: -1.63K
• 1Y Price Target: $69.67
• Price Target Upside: 100.84% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 4

• Rating: 51 Neutral
• Price Target: $35.00 ▲(0.89% Upside)

Xoma's overall stock score reflects a mixed financial performance with significant reliance on debt and challenges in profitability. Technical analysis provides a slightly positive outlook, but valuation concerns due to negative earnings weigh heavily. Improvement in financial stability and profitability is essential for a better score.

Positive Factors

Revenue Growth

Xoma's significant revenue growth indicates strong market demand for its products and successful commercialization strategies, enhancing its competitive position in the biotechnology sector.

Strategic Partnerships

Strategic partnerships provide Xoma with essential funding for R&D, expand market reach, and enhance its ability to innovate, crucial for long-term growth and sustainability.

Acquisition Strategy

The acquisition of HilleVax strengthens Xoma's portfolio, potentially increasing revenue streams and market presence, which is vital for sustained growth in the competitive biotech industry.

Negative Factors

Profitability Challenges

Ongoing profitability challenges with negative margins indicate operational inefficiencies, which could hinder Xoma's ability to reinvest in growth and innovation without strategic cost management.

High Debt Levels

High reliance on debt financing increases financial risk and could limit Xoma's flexibility to invest in new opportunities, potentially impacting long-term financial stability.

Cash Flow Issues

Negative free cash flow indicates cash outflows exceed inflows, which could strain Xoma's ability to fund operations and growth initiatives, necessitating improved cash management strategies.

Xoma Business Overview & Revenue Model

Company Description

Xoma (XOMA) is a biotechnology company focused on the development and commercialization of innovative therapies for rare and autoimmune diseases. The company operates primarily in the biopharmaceutical sector and specializes in harnessing its proprietary technology platforms to discover and develop monoclonal antibodies and other biologics. Xoma's core products include novel therapeutic agents targeting specific disease pathways, aimed at improving patient outcomes and addressing unmet medical needs.

How the Company Makes Money

Xoma generates revenue through a combination of product sales, licensing agreements, and collaboration partnerships. Its primary revenue stream comes from the commercialization of its proprietary therapeutic products, which may include royalties from sales of treatments developed in collaboration with other pharmaceutical companies. Additionally, Xoma engages in strategic partnerships and collaborations with larger biotech and pharmaceutical firms, which often involve upfront payments, milestone payments tied to developmental successes, and royalties on future sales. These partnerships are crucial as they provide funding for research and development efforts while expanding the company's reach in the market.

Xoma Financial Statement Overview

Summary

Xoma's financial performance is mixed. The income statement shows revenue growth but significant profitability challenges with negative margins. The balance sheet indicates moderate health with high debt reliance, and cash flow analysis reveals negative free cash flow, though there's slight improvement potential.

Income Statement

Xoma's income statement reflects significant volatility and challenges in profitability. The TTM (Trailing-Twelve-Months) shows a negative EBIT and EBITDA margin, indicating operational inefficiencies. However, there is a marked revenue growth from the previous year, suggesting potential for recovery if costs are managed. The negative net profit margin underscores ongoing profitability issues.

Balance Sheet

Xoma's balance sheet shows moderate financial health. The debt-to-equity ratio is relatively high, suggesting a significant reliance on debt financing. However, the equity ratio remains solid, indicating that a substantial portion of assets is financed by equity. The return on equity is negative, reflecting the company's current unprofitability.

Cash Flow

Cash flow analysis indicates ongoing challenges with negative free cash flow. The operating cash flow to net income ratio suggests that cash outflows are greater than net losses. Nonetheless, there is a slight improvement in free cash flow growth rate, which could be a positive sign if sustained over time.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	38.58M	28.49M	4.76M	6.03M	38.16M	29.39M
Gross Profit	37.38M	28.28M	4.62M	5.75M	37.99M	29.21M
EBITDA	-305.00K	-5.42M	-39.36M	-16.84M	16.52M	13.81M
Net Income	-11.95M	-13.82M	-40.83M	-17.10M	15.80M	13.30M
Balance Sheet
Total Assets	223.46M	221.28M	234.30M	140.38M	166.56M	125.28M
Cash, Cash Equivalents and Short-Term Investments	83.94M	105.18M	153.45M	58.16M	94.10M	84.22M
Total Debt	114.58M	119.20M	124.45M	34.00K	229.00K	21.26M
Total Liabilities	131.00M	139.36M	145.58M	16.37M	24.69M	38.86M
Stockholders Equity	92.45M	81.92M	88.72M	124.01M	141.88M	86.42M
Cash Flow
Free Cash Flow	-2.86M	-13.77M	-18.18M	-36.13M	-3.82M	8.88M
Operating Cash Flow	-2.86M	-13.75M	-18.16M	-12.88M	22.68M	10.09M
Investing Cash Flow	-53.58M	-28.26M	-711.00K	-20.22M	-26.50M	-209.00K
Financing Cash Flow	-14.99M	-11.13M	120.59M	-4.45M	12.84M	19.79M

Xoma Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 34.69
• 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 XOMA, the sentiment is Negative. The current price of 34.69 is below the 20-day moving average (MA) of 37.26, below the 50-day MA of 35.23, and above the 200-day MA of 27.15, indicating a neutral trend. The MACD of 0.23 indicates Positive momentum. The RSI at 43.05 is Neutral, neither overbought nor oversold. The STOCH value of 33.03 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for XOMA.

Xoma Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
INBX	58 Neutral	$530.09M	0.20	-113.71%	―	―	―
GLUE	52 Neutral	$636.74M	29.29	9.81%	―	2990.57%	―
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
XOMA	51 Neutral	$441.08M	―	-12.42%	―	194.98%	38.01%
OCGN	50 Neutral	$502.81M	―	-569.99%	―	33.39%	-7.11%
CRVS	41 Neutral	$570.03M	―	-68.67%	―	―	-50.83%
RAPT	39 Underperform	$478.44M	―	-77.83%	―	―	43.16%

Xoma Corporate Events

Xoma Completes Merger with Turnstone Biologics Corp

On August 11, 2025, XOMA Royalty Corporation completed its merger with Turnstone Biologics Corp., following a successful tender offer for Turnstone’s outstanding shares. This merger, executed without requiring a stockholder vote, positions XOMA as the sole owner of Turnstone, potentially enhancing its market position and operational capabilities in the biotechnology sector.