Cartesian Therapeutics (RNAC) AI Stock Analysis

• Market Cap: $294.30M
• Dividend Yield: N/A
• Average Volume (3M): 106.33K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.83
• Revenue Growth: 38.82%
• EPS Growth: -645.78%
• Country: US
• Employees: 66
• Sector: Healthcare
• Sector Strength: 74
• Industry: Biotechnology
• EPS (TTM): -52.64
• Shares Outstanding: 25,907,100
• 10 Day Avg. Volume: 120,903
• 30 Day Avg. Volume: 106,331
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): 10.69
• Price to Cash Flow (P/CF): -14.90
• 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: $37.00
• Price Target Upside: 257.14% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 8

Cartesian Therapeutics is facing significant financial and technical challenges, with declining revenues, negative equity, and weak stock momentum. The valuation is unattractive, given the ongoing losses and risks. However, positive corporate events related to clinical trial advancements offer a glimmer of hope for future improvements. Overall, the stock remains under pressure due to predominant financial and technical weaknesses.

Positive Factors

Efficacy and Safety

Promising deep and durable responses support Descartes-08's potential in treating myasthenia gravis, offering patients freedom from chronic therapies.

Regulatory Progress

All important regulatory discussions were completed prior to personnel changes at the FDA, indicating a smooth path forward.

Trial Outcomes

Phase 2b results set up Descartes-08 for success in the planned Phase 3 AURORA trial, significantly outperforming placebo.

Negative Factors

Market Competition

Despite advancements, Descartes-08 faces competition in the rapidly evolving myasthenia gravis landscape.

Regulatory Challenges

The AURORA Phase 3 trial is the only registrational study needed for BLA submission, highlighting dependence on this single trial's success.

Cartesian Therapeutics Business Overview & Revenue Model

Company Description

Cartesian Therapeutics (RNAC) is a biotechnology company specializing in the development of RNA-based cell therapies for the treatment of autoimmune diseases, cancer, and respiratory disorders. The company operates in the life sciences sector, focusing on pioneering cellular immunotherapies that harness the power of RNA to modulate immune responses and treat complex diseases. Cartesian's core products are their proprietary cell therapies, which are designed to be safer and more effective by using RNA to precisely control therapeutic pathways.

How the Company Makes Money

Cartesian Therapeutics makes money primarily through the development and commercialization of its RNA-based cell therapy products. The company's revenue model includes partnerships and collaborations with pharmaceutical companies, government grants, and potentially licensing agreements for its proprietary technology and therapies. Cartesian may also earn revenue from clinical trial outcomes by advancing its therapies through development stages, attracting investment, and securing milestone payments. As the company progresses its therapies towards regulatory approval and market launch, sales of these therapies will become a significant revenue stream.

Cartesian Therapeutics Financial Statement Overview

Summary

Cartesian Therapeutics faces significant financial challenges with declining revenues, consistent net losses, and negative equity. The company is heavily reliant on external financing, as indicated by the negative free cash flow and high financing cash flows. While there are efforts to stabilize through capital raising, the persistent negative margins and equity suggest substantial financial risks.

Income Statement

Cartesian Therapeutics has shown volatility in its revenue with a significant decline in recent years. The revenue fell from $110.8 million in 2022 to $38.9 million in 2024. The company has consistently operated at a loss, with a net income of -$77.4 million in 2024. Margins are negative, indicating struggles in profitability.

Balance Sheet

The balance sheet highlights negative stockholders' equity, which stands at -$6.8 million in 2024, raising concerns about financial stability. The company's total liabilities exceed its assets, indicating high leverage and potential solvency issues. The debt-to-equity ratio is not meaningful due to negative equity, and this reflects potential financial risk.

Cash Flow

The cash flow statement shows a negative free cash flow of -$32.8 million in 2024, though it is an improvement compared to -$51.4 million in 2023. Operating cash flow remains negative, which indicates challenges in generating cash from operations. However, the significant financing cash flow suggests efforts in raising capital to support operations.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
38.91M	26.00M	110.78M	85.08M	16.60M
	Gross Profit
38.91M	24.45M	108.74M	85.08M	16.60M
	EBIT
-43.90M	-86.42M	14.54M	-4.60M	-56.82M
	EBITDA
-75.99M	-235.06M	39.84M	-5.16M	-65.59M
	Net Income Common Stockholders
-77.42M	-219.71M	35.38M	-25.69M	-68.88M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
212.61M	76.91M	134.60M	128.06M	138.69M
	Total Assets
435.02M	305.05M	165.89M	159.88M	165.44M
	Total Debt
13.98M	10.96M	37.92M	35.28M	35.35M
	Net Debt
-198.63M	-65.96M	-68.51M	-78.78M	-103.34M
	Total Liabilities
441.82M	745.23M	72.06M	137.36M	183.44M
	Stockholders Equity
-6.80M	-440.18M	93.83M	22.52M	-18.01M
Cash Flow		Free Cash Flow
-32.77M	-51.37M	-32.83M	-61.47M	34.07M
	Operating Cash Flow
-23.67M	-51.16M	-31.63M	-60.38M	34.88M
	Investing Cash Flow
-8.74M	34.61M	-15.00M	-17.14M	-741.00K
	Financing Cash Flow
168.43M	-13.14M	39.22M	52.90M	14.43M

Cartesian Therapeutics Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 10.36
• 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 RNAC, the sentiment is Negative. The current price of 10.36 is below the 20-day moving average (MA) of 13.51, below the 50-day MA of 16.58, and below the 200-day MA of 17.81, indicating a bearish trend. The MACD of -1.22 indicates Positive momentum. The RSI at 24.73 is Positive, neither overbought nor oversold. The STOCH value of 12.65 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for RNAC.

Cartesian Therapeutics Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	48 Neutral	$6.36B	1.28	-45.04%	2.64%	19.24%	1.69%
ADAP	46 Neutral	$59.71M	―	-273.36%	―	194.23%	45.50%
CRSP	46 Neutral	$3.01B	―	-19.20%	―	-89.95%	-123.71%
FATE	42 Neutral	$105.39M	―	-54.21%	―	-78.55%	-0.92%
IBRX	39 Underperform	$2.32B	―	78.99%	―	2270.58%	46.82%
RNAC	36 Underperform	$294.30M	―	-938.38%	―	38.82%	-645.78%
CABA	28 Underperform	$58.10M	―	-59.64%	―	―	-40.59%

Cartesian Therapeutics Corporate Events

Cartesian Therapeutics Unveils Promising Phase 2b Trial Results

On April 8, 2025, Cartesian Therapeutics announced 12-month efficacy and safety data from its Phase 2b trial of Descartes-08 for generalized myasthenia gravis (MG). The trial demonstrated sustained symptom improvement and a favorable safety profile, supporting outpatient administration. Notably, participants without prior biologic therapies showed the most compelling responses, with significant reductions in MG-ADL scores. The results reinforce Descartes-08’s potential to transform MG treatment, and the company plans to commence a Phase 3 trial in the second quarter of 2025.

Spark’s Take on RNAC Stock

According to Spark, TipRanks’ AI Analyst, RNAC is a Underperform.

Cartesian Therapeutics exhibits significant financial risks with declining revenues and negative equity. Technically, the stock is oversold with weak momentum, and valuation metrics are not favorable. However, positive corporate developments, including advancements in clinical trials and strategic initiatives, offer potential upside. Overall, caution is advised due to predominant financial and technical weaknesses.

To see Spark’s full report on RNAC stock, click here.

Cartesian Therapeutics Advances Descartes-08 in Clinical Trials

Cartesian Therapeutics announced significant progress in its clinical trials for Descartes-08, an investigational mRNA CAR T-cell therapy, which has shown deep and durable responses in patients with myasthenia gravis during a Phase 2b trial. The company plans to commence a Phase 3 AURORA study in the first half of 2025, aiming to further evaluate the therapy’s efficacy and safety, with the potential to address significant unmet medical needs in autoimmune diseases.

Cartesian Therapeutics Sets 2025 Strategy for Descartes-08

Cartesian Therapeutics recently announced its strategic priorities for 2025, including the advancement of its mRNA CAR-T cell therapy, Descartes-08, which is under clinical evaluation for myasthenia gravis and other autoimmune diseases. With a strong balance sheet, the company plans to commence a Phase 3 trial for Descartes-08 in the first half of 2025, highlighting its commitment to addressing significant unmet medical needs in the autoimmune space.