Pliant Therapeutics (PLRX) AI Stock Analysis

• Market Cap: $94.30M
• Dividend Yield: N/A
• Average Volume (3M): 4.23M
• Price to Earnings (P/E): ―
• Beta (1Y): 1.44
• Revenue Growth: -100.00%
• EPS Growth: -26.44%
• Country: US
• Employees: 158
• Sector: Healthcare
• Sector Strength: 77
• Industry: Biotechnology
• EPS (TTM): -3.47
• Shares Outstanding: 61,236,290
• 10 Day Avg. Volume: 4,693,454
• 30 Day Avg. Volume: 4,229,951
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): 52.32
• Price to Cash Flow (P/CF): -0.50
• 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: $4.79
• Price Target Upside: 211.04% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 13

Pliant Therapeutics is currently facing significant financial and technical challenges. Declining revenues and persistent losses weigh heavily on its financial performance. Negative technical momentum and a lack of valuation appeal further compound these issues. The company requires strategic improvements to revitalize its financial health and investor confidence.

Positive Factors

Financial Stability

Pliant had cash, cash equivalents, and short-term investments of $357M, which management expects can fund operations for at least the next 12 months.

Potential Future Development

Bexotegrast could re-enter the clinic for IPF or other diseases, as Pliant plans to analyze the collected data from BEACON-IPF to guide bexotegrast’s future development.

Negative Factors

Clinical Trial Discontinuation

The discontinuation of the IPF clinical program for bexotegrast was due to a higher rate of adverse events in the treatment group compared to the placebo group.

Reduced Sales Forecast

The analyst has zeroed out the IPF indication from the model, significantly reducing expected future sales.

Uncertainty in Stock Value

The discontinuation of the BEACON-IPF study creates uncertainty and makes it challenging to have conviction in the stock without more clarity.

Pliant Therapeutics Business Overview & Revenue Model

Company Description

Pliant Therapeutics (PLRX) is a clinical-stage biopharmaceutical company focused on discovering and developing novel therapies for the treatment of fibrotic diseases. The company operates in the biotechnology and pharmaceuticals sector, leveraging its proprietary platform to identify and advance small molecule therapeutics targeting key pathways in fibrosis, a process implicated in a wide array of serious diseases. Pliant's core products are centered on treating diseases like idiopathic pulmonary fibrosis and primary sclerosing cholangitis.

How the Company Makes Money

Pliant Therapeutics makes money primarily through the development and potential commercialization of its drug candidates. The company generates revenue through strategic partnerships and collaborations with larger pharmaceutical companies. These partnerships may involve upfront payments, milestone payments based on the achievement of specific development goals, and royalties on future product sales. As a clinical-stage company, Pliant's revenue is also influenced by research grants or subsidies, but the majority of its future earnings potential lies in the successful approval and market introduction of its drug candidates.

Pliant Therapeutics Financial Statement Overview

Summary

Pliant Therapeutics is facing significant financial challenges with declining revenues and persistent losses. The balance sheet remains relatively stable with low leverage, but cash flows are under pressure, necessitating external funding to support operations. The company needs to improve revenue generation and cost management to achieve financial stability.

Income Statement

Pliant Therapeutics has shown a declining revenue trend from 2019 to 2024 with revenue dropping to zero in 2024. The company is experiencing persistent net losses, evident from the negative net profit margins, indicating challenges in achieving profitability. EBIT and EBITDA margins are also negative, reflecting high operating expenses relative to revenue.

Balance Sheet

The company's balance sheet shows a stable equity base despite consistent losses. The debt-to-equity ratio remains low due to minimal debt, signaling low leverage which reduces financial risk. However, the company's stockholders' equity has decreased over time, indicating financial pressure.

Cash Flow

Pliant Therapeutics has negative operating and free cash flows, indicating cash outflows from operations. The free cash flow has worsened over time, showing increasing capital strain. The cash flow from financing activities has been positive, suggesting reliance on external funding.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
0.00	1.58M	9.69M	7.57M	41.82M
	Gross Profit
0.00	1.58M	6.00M	4.37M	41.82M
	EBIT
-228.37M	-184.15M	-127.20M	-19.99M	-41.65M
	EBITDA
-228.37M	-158.23M	-118.85M	-95.73M	-40.34M
	Net Income Common Stockholders
-210.30M	-161.34M	-121.50M	-17.91M	-39.74M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
355.72M	494.25M	331.19M	200.60M	276.89M
	Total Assets
396.95M	512.15M	350.61M	221.22M	295.53M
	Total Debt
29.98M	11.37M	15.81M	7.19M	283.00K
	Net Debt
-41.21M	-51.86M	-17.87M	-44.47M	-50.60M
	Total Liabilities
92.87M	38.58M	37.27M	22.16M	12.46M
	Stockholders Equity
304.08M	473.58M	313.34M	199.06M	283.06M
Cash Flow		Free Cash Flow
-159.35M	-117.28M	-96.39M	-77.40M	-38.80M
	Operating Cash Flow
-155.50M	-116.36M	-94.63M	-75.44M	-37.27M
	Investing Cash Flow
140.34M	-127.01M	-150.20M	73.70M	-210.87M
	Financing Cash Flow
23.12M	274.40M	226.85M	2.53M	213.21M

Pliant Therapeutics Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1.54
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Positive
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For PLRX, the sentiment is Negative. The current price of 1.54 is below the 20-day moving average (MA) of 2.31, below the 50-day MA of 7.21, and below the 200-day MA of 11.43, indicating a bearish trend. The MACD of -1.61 indicates Negative momentum. The RSI at 24.70 is Positive, neither overbought nor oversold. The STOCH value of 31.42 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for PLRX.

Pliant Therapeutics Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
VRTX	64 Neutral	$129.62B	―	-3.15%	―	11.64%	-114.72%
GLPG	52 Neutral	$1.72B	21.73	7.21%	―	―	―
BPMC	52 Neutral	$5.72B	―	-31.26%	―	104.04%	87.80%
NKTR	50 Neutral	$165.42M	―	-124.10%	―	9.22%	60.01%
Sector *	49 Neutral	$6.87B	0.03	-54.93%	2.50%	24.65%	-2.90%
ARWR	47 Neutral	$2.11B	―	-600.68%	―	-98.62%	-86.21%
PLRX	25 Underperform	$94.30M	―	-54.09%	―	-100.00%	-26.44%

Pliant Therapeutics Corporate Events

Pliant Therapeutics Adopts Stockholder Rights Agreement

On March 12, 2025, Pliant Therapeutics’ board of directors adopted a stockholder rights agreement to protect against hostile takeovers by issuing a dividend of one preferred share purchase right for each outstanding share of common stock. This move aims to prevent any entity from gaining control of the company without paying a control premium, ensuring that the board has the opportunity to act in the best interests of all stockholders. The rights become exercisable if a person or group acquires 10% or more of the company’s common stock without board approval, allowing existing stockholders to purchase additional shares at a discount, thus diluting the acquiring party’s stake.