Design Therapeutics, Inc. (DSGN) has disclosed a new risk, in the Debt & Financing category.
Design Therapeutics, Inc. faces a potential liquidity risk as its cash reserves are concentrated in a few FDIC-insured bank accounts that exceed the federal insurance limits. With the recent failures and FDIC takeovers of several banks in 2023, the company’s ability to access its deposits may be jeopardized in the event of similar financial institution crises. Such an occurrence could significantly impact Design Therapeutics, Inc.’s financial stability, posing a threat to its operational cash flow and potentially affecting its ability to meet financial obligations.
Overall, Wall Street has a Hold consensus rating on DSGN stock based on 3 Holds.
To learn more about Design Therapeutics, Inc.’s risk factors, click here.
