Immunovant (IMVT) AI Stock Analysis

• Market Cap: $2.53B
• Dividend Yield: N/A
• Average Volume (3M): 2.15M
• Price to Earnings (P/E): ―
• Beta (1Y): 0.98
• Revenue Growth: N/A
• EPS Growth: -43.10%
• Country: US
• Employees: 207
• Sector: Healthcare
• Sector Strength: 74
• Industry: Biotechnology
• EPS (TTM): -2.62
• Shares Outstanding: 169,860,690
• 10 Day Avg. Volume: 2,699,092
• 30 Day Avg. Volume: 2,149,138
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• Price to Cash Flow (P/CF): -8.30
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: $47.50
• Price Target Upside: 221.16% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 12

Immunovant's overall stock score reflects significant financial challenges and a bearish technical outlook, offset by positive corporate developments. The company's strong equity position and successful fundraising efforts are promising, but persistent losses and negative cash flows are major concerns.

Positive Factors

Clinical improvement

Greater IgG reduction with batoclimab leads to greater clinical improvement, supporting the value proposition for the next-gen FcRn IMVT-1402.

Clinical profile

Batoclimab shows a competitive clinical profile compared to other FcRn therapies.

Efficacy

Batoclimab demonstrates impressive efficacy in MG and CIDP, with advanced development in IMVT-1402.

Negative Factors

Data comparison

Some pushback has been received regarding the lack of time course data, making comparisons with other trials challenging.

Placebo response

The stock has been bouncing up and down based on some confusion/debate on how to think about the high placebo response on the primary efficacy endpoint of MG-ADL in the MG study.

Sales expectations

The price objective for Immunovant, Inc. was lowered due to reduced peak sales expectations for the company's FcRn program in the MG indication.

Immunovant Business Overview & Revenue Model

Company Description

Immunovant, Inc., a clinical-stage biopharmaceutical company, develops monoclonal antibodies for the treatment of autoimmune diseases. It develops batoclimab, a novel fully human monoclonal antibody that selectively binds to and inhibits the neonatal fragment crystallizable receptor, which is in Phase IIa clinical trials for the treatment of myasthenia gravis and thyroid eye disease, as well as completed initiation of Phase II clinical trials for the treatment of warm autoimmune hemolytic anemia. The company was incorporated in 2018 is headquartered in New York, New York. Immunovant, Inc. is a subsidiary of Roivant Sciences Ltd.

How the Company Makes Money

Immunovant generates potential revenue primarily through the development and commercialization of its drug candidates. The company's revenue model hinges on the successful clinical development, regulatory approval, and eventual marketing of its lead product candidate, batoclimab. Immunovant may earn revenue through partnerships, collaborations, or licensing agreements with other pharmaceutical companies, which can provide upfront payments, milestone payments, and royalties based on product sales. Additionally, funding from investors and strategic partnerships plays a crucial role in supporting its research and development activities until the drugs reach the market.

Immunovant Financial Statement Overview

Summary

Immunovant is facing substantial financial challenges, characterized by persistent losses and negative cash flows. While the company maintains a solid equity position and low leverage, the lack of revenue and profitability raises questions about its long-term viability. Investors should be cautious and consider the company's strategy for achieving sustainable growth and profitability.

Income Statement

Immunovant shows significant financial challenges, with negative EBIT, EBITDA, and net income margins in the TTM period. The gross profit margin is positive, but revenue growth is non-existent due to the lack of revenue in previous periods. This indicates an ongoing reliance on funding rather than operational success.

Balance Sheet

The balance sheet reflects a strong equity position with a low debt-to-equity ratio, indicating minimal leverage risk. However, the return on equity is negative due to substantial net losses, which is a concern for investors looking for profitability.

Cash Flow

Cash flow from operations is negative, which raises concerns about the company's ability to sustain operations without external financing. Despite this, the company has managed to maintain a positive cash balance, likely due to financing activities. The free cash flow to net income ratio is not favorable, reflecting cash burn issues.

Breakdown
TTM	Mar 2024	Mar 2023	Mar 2022	Mar 2021	Mar 2020
Income Statement		Total Revenue
1.50M	0.00	0.00	0.00	0.00	0.00
	Gross Profit
1.36M	-231.00K	-1.32M	-1.23M	-998.00K	-21.00K
	EBIT
-405.20M	-282.71M	-198.47M	-156.16M	-107.79M	-65.67M
	EBITDA
-404.87M	-269.98M	-209.63M	-155.58M	-106.79M	-65.64M
	Net Income Common Stockholders
-382.71M	-259.34M	-210.96M	-156.73M	-107.43M	-66.39M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
374.69M	635.37M	376.53M	493.82M	400.15M	100.57M
	Total Assets
420.93M	666.37M	405.84M	515.56M	412.49M	109.39M
	Total Debt
23.00K	138.00K	1.22M	2.36M	3.42M	3.19M
	Net Debt
-374.66M	-635.23M	-375.31M	-491.45M	-396.73M	-97.38M
	Total Liabilities
68.31M	48.61M	43.34M	45.74M	21.01M	15.32M
	Stockholders Equity
352.62M	617.76M	362.49M	469.82M	391.48M	94.07M
Cash Flow		Free Cash Flow
-325.64M	-214.59M	-188.39M	-106.37M	-83.54M	-53.39M
	Operating Cash Flow
-324.94M	-214.23M	-188.19M	-106.11M	-83.33M	-53.36M
	Investing Cash Flow
-708.00K	-360.00K	-197.00K	-254.00K	-210.00K	-31.00K
	Financing Cash Flow
5.42M	472.43M	70.89M	200.13M	383.11M	146.97M

Immunovant Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 14.79
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Positive
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IMVT, the sentiment is Negative. The current price of 14.79 is below the 20-day moving average (MA) of 17.28, below the 50-day MA of 19.02, and below the 200-day MA of 25.92, indicating a bearish trend. The MACD of -0.89 indicates Positive momentum. The RSI at 28.92 is Positive, neither overbought nor oversold. The STOCH value of 17.78 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IMVT.

Immunovant Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
PTGX	61 Neutral	$2.61B	10.12	54.39%	―	624.05%	―
APLS	50 Neutral	$2.46B	―	-93.55%	―	97.02%	64.32%
Sector *	48 Neutral	$6.36B	1.28	-45.04%	2.64%	19.24%	1.69%
CRSP	46 Neutral	$3.01B	―	-19.20%	―	-89.95%	-123.71%
SRRK	45 Neutral	$2.56B	―	-82.95%	―	―	-22.34%
CRNX	45 Neutral	$2.57B	―	-32.02%	―	―	-0.12%
IMVT	37 Underperform	$2.53B	―	-74.17%	―	―	-43.10%

Immunovant Corporate Events

Immunovant Announces Positive Phase 3 Study Results

On March 19, 2025, Immunovant announced positive results from its Phase 3 study of batoclimab for myasthenia gravis (MG) and initial results from its Phase 2b study for chronic inflammatory demyelinating polyneuropathy (CIDP). The MG study met its primary endpoint with significant improvements in the MG-ADL score, while the CIDP study showed promising improvements in disability scores. These results suggest deeper IgG reductions correlate with better clinical outcomes, supporting the potential of Immunovant’s therapies to address unmet needs in autoimmune conditions. Immunovant plans to focus on its lead asset IMVT-1402 for future studies, rather than seeking immediate regulatory approval for batoclimab.

Immunovant Progresses in Autoimmune Therapy Development

Immunovant, Inc. announced its participation in the 43rd Annual J.P. Morgan Healthcare Conference on January 14, 2025, where it will present a corporate overview. The company is making significant progress in its clinical trials, particularly with IMVT-1402, across multiple autoimmune conditions. With a strengthened financial position and a strategic focus on anti-FcRn therapies, Immunovant is poised to enhance its market position and offer potentially transformative treatments for autoimmune patients. Key trials and milestones are expected to yield significant data by March 2025, reflecting the company’s rapid advancement in drug development and commercialization efforts.

Immunovant Raises $450 Million Through Share Purchase Agreement

Immunovant, Inc. has entered into a share purchase agreement with several institutional accredited investors to sell 22,500,000 shares at $20.00 each, raising approximately $450 million in a private placement expected to close by January 15, 2025. The funds will be used for advancing its development pipeline and other corporate purposes, with the shares to be registered for resale with the SEC.