Quince Therapeutics (QNCX) AI Stock Analysis

• Market Cap: $54.56M
• Dividend Yield: N/A
• Average Volume (3M): 114.25K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.21
• Revenue Growth: N/A
• EPS Growth: -55.81%
• Country: US
• Employees: 36
• Sector: Healthcare
• Sector Strength: 77
• Industry: Biotechnology
• EPS (TTM): -1.31
• Shares Outstanding: 44,001,644
• 10 Day Avg. Volume: 113,626
• 30 Day Avg. Volume: 114,249
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• Price to Cash Flow (P/CF): -2.10
• 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: $6.67
• Price Target Upside: 437.90% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 3

Quince Therapeutics is struggling with significant financial challenges, including the absence of revenue and consistent losses, which are the most significant factors weighing down its stock score. Despite a modest debt level, the technical analysis indicates bearish momentum, further affecting the stock's outlook. Valuation metrics are poor due to negative earnings, which also contributes to the low overall score.

Positive Factors

Financial Stability

Quince Therapeutics has sufficient cash to fund operations into early 2026, supporting its financial stability and ongoing research and development efforts.

Regulatory Milestone

FDA granted SPA for the P3 NEAT trial, which is a significant regulatory milestone for the program.

Negative Factors

Financial Performance

Quince reported 4Q24 and 2024 results with a net loss of ($12.5M) and ($56.8M), respectively, which included $25.4M in non-cash items.

Previous Trial Challenges

The EryDex P3 study stems from a prior miss in another P3 (ATTeST) while with EryDel, indicating previous challenges in achieving primary endpoints.

Quince Therapeutics Business Overview & Revenue Model

Company Description

Quince Therapeutics, Inc., a biopharmaceutical company, focuses on advancing precision therapeutics for debilitating and rare diseases. The company has discovered a broad bone-targeting drug platform to precisely deliver small molecules, peptides, or large molecules directly to the site of bone fracture and disease. Its lead compound is NOV004, an anabolic peptide engineered to precisely target and concentrate at the bone fracture site The company was formerly known as Cortexyme, Inc. and changed its name to Quince Therapeutics, Inc. in August 2022. Quince Therapeutics, Inc. was incorporated in 2012 and is headquartered in South San Francisco, California.

How the Company Makes Money

Quince Therapeutics makes money primarily through the development and commercialization of its pharmaceutical products. Revenue is generated from sales of approved drugs, milestone payments, and royalties from partnerships or licensing agreements with larger pharmaceutical companies. In addition, the company may receive funding through research grants and collaborations with academic institutions or other biotech firms. Quince Therapeutics' earnings are significantly influenced by the successful progression of its drug candidates through clinical trials and obtaining necessary regulatory approvals.

Quince Therapeutics Financial Statement Overview

Summary

Quince Therapeutics faces significant financial challenges with no revenue generation, consistent losses, and substantial cash outflows. The company's balance sheet shows a manageable debt level but decreasing equity, raising concerns about long-term financial health. Without significant changes in revenue generation or cost management, the company may continue facing financial difficulties.

Income Statement

Quince Therapeutics reported no revenue over the past years, resulting in negative gross and net profit margins. The continuous negative EBIT and EBITDA margins highlight ongoing operational challenges in generating profitability. The lack of revenue growth further stresses the company's struggle to achieve financial stability.

Balance Sheet

The company's debt-to-equity ratio remains relatively low, reflecting modest leverage. However, the declining equity over time indicates potential financial instability. The equity ratio has been decreasing, showing a reduction in the company's financial buffer. Despite these challenges, the company maintains a significant cash balance relative to its debt.

Cash Flow

Quince Therapeutics has consistently negative free cash flow, indicating cash outflows exceed cash inflows. The operating cash flow to net income ratio is affected by the negative operating cash flow, suggesting difficulties in converting earnings into cash. The substantial negative free cash flow to net income ratio further emphasizes cash management challenges.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
0.00	0.00	0.00	0.00	0.00
	Gross Profit
0.00	-322.00K	-175.00K	-344.00K	-332.00K
	EBIT
-57.28M	-34.62M	-52.02M	-90.32M	-78.89M
	EBITDA
-57.28M	-31.26M	-52.02M	-89.97M	-78.56M
	Net Income Common Stockholders
-56.83M	-31.39M	-51.66M	-89.33M	-76.85M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
40.78M	75.06M	90.18M	106.80M	133.82M
	Total Assets
114.48M	167.90M	103.91M	133.23M	189.47M
	Total Debt
14.81M	13.81M	453.00K	1.16M	208.00K
	Net Debt
8.60M	-6.94M	-44.13M	-68.56M	-66.63M
	Total Liabilities
84.33M	82.82M	3.32M	14.64M	17.20M
	Stockholders Equity
30.15M	85.08M	100.59M	118.59M	172.26M
Cash Flow		Free Cash Flow
-32.16M	-18.45M	-44.17M	-63.11M	-50.87M
	Operating Cash Flow
-31.90M	-18.29M	-44.04M	-62.93M	-50.82M
	Investing Cash Flow
21.91M	-5.76M	18.00M	58.95M	-52.43M
	Financing Cash Flow
-4.78M	143.00K	707.00K	6.81M	118.88M

Quince Therapeutics Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1.24
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For QNCX, the sentiment is Negative. The current price of 1.24 is below the 20-day moving average (MA) of 1.37, below the 50-day MA of 1.44, and above the 200-day MA of 1.22, indicating a neutral trend. The MACD of -0.04 indicates Positive momentum. The RSI at 36.92 is Neutral, neither overbought nor oversold. The STOCH value of 22.67 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for QNCX.

Quince Therapeutics Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	48 Neutral	$6.36B	1.14	-49.00%	2.63%	17.14%	1.39%
ADAP	46 Neutral	$66.06M	―	-273.36%	―	194.23%	45.50%
MCRB	44 Neutral	$111.59M	―	-3758.21%	―	-100.00%	-7.66%
CARA	44 Neutral	$21.95M	―	-270.01%	―	-65.96%	40.80%
IMVT	43 Neutral	$2.48B	―	-74.17%	―	―	-43.10%
FATE	42 Neutral	$86.28M	―	-54.21%	―	-78.55%	-0.92%
QNCX	33 Underperform	$54.56M	―	-98.63%	―	―	-55.81%