Precision BioSciences (DTIL) AI Stock Analysis

• Market Cap: $54.28M
• Dividend Yield: N/A
• Average Volume (3M): 169.18K
• Price to Earnings (P/E): 2.6
• Beta (1Y): 1.28
• Revenue Growth: 40.98%
• EPS Growth: N/A
• Country: US
• Employees: 108
• Sector: Healthcare
• Sector Strength: 39
• Industry: Biotechnology
• EPS (TTM): -2.21
• Shares Outstanding: 10,550,053
• 10 Day Avg. Volume: 90,144
• 30 Day Avg. Volume: 169,180
• PEG Ratio: <0.01
• Price to Book (P/B): 0.73
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -0.92
• Enterprise Value/Market Cap: -0.03
• Enterprise Value/Revenue: >-0.01
• Enterprise Value/Gross Profit: -0.03
• Enterprise Value/Ebitda: -0.04
• 1Y Price Target: $41.33
• Price Target Upside: 734.95% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 3

Precision BioSciences shows promising revenue growth and low debt levels, contributing to a stable financial position. However, profitability and cash flow challenges weigh on its financial performance. The technical analysis suggests potential short-term upward momentum, but the stock remains below its 200-day moving average, indicating caution for long-term trends. The valuation is attractive with a low P/E ratio, suggesting the stock might be undervalued. The corporate event of accelerating the PBGENE-DMD program adds positive future potential. Overall, while there are promising indicators, significant focus on improving cash flow and profitability is needed for a more favorable outlook.

Positive Factors

Efficacy and Outcomes

Preclinical in vivo data demonstrated positive tolerability and superior efficacy with repeated doses of PBGENE-HBV.

Market Potential

The trial is enrolling HBV patients who are hepatitis B e antigen-negative, which represents more than 80% of the chronic HBV population.

Safety Profile

The safety profile of PBGENE-HBV seems promising.

Negative Factors

Adverse Events

Transaminase (AST/ALT) levels spiked acutely post-treatments, increasing more after the second dose but normalized over time.

Liver Toxicity

Trial design includes patients receiving up to 3 doses administered after 8-week periods to increase cumulative editing efficiency, but may result in increase liver toxicity.

Potential Toxicity

It is expected that future updates at higher doses with 2-3 administrations will have a greater degree of toxicity.

Precision BioSciences Business Overview & Revenue Model

Company Description

Precision BioSciences (DTIL) is a biotechnology company specializing in genome editing technologies. The company focuses on developing therapeutic products using its proprietary ARCUS genome editing platform, which is designed to precisely target and edit DNA. Precision BioSciences operates primarily in the healthcare and biotechnology sectors, working to address unmet medical needs in areas such as oncology and genetic diseases.

How the Company Makes Money

Precision BioSciences generates revenue through various channels, including partnerships and collaborations with other biotechnology and pharmaceutical companies. These partnerships often involve licensing agreements for the use of its ARCUS technology, leading to milestone payments and royalties. Additionally, the company aims to commercialize its own therapeutic products, which could provide revenue from product sales. Significant factors contributing to its earnings include successful development and commercialization of therapies, as well as strategic alliances that leverage its genome editing expertise.

Precision BioSciences Financial Statement Overview

Summary

Precision BioSciences is showing promising revenue growth and improved operating performance, but profitability and cash flow management remain key challenges. The low debt levels provide financial stability, but the company needs to enhance its cash generation capabilities to sustain long-term growth. While the financial position is strengthening, strategic focus on cost control and cash efficiency is crucial for future success.

Income Statement

Precision BioSciences has shown a significant improvement in revenue, with a year-over-year growth rate of approximately 41% from 2023 to 2024. However, profitability is a concern as the net profit margin remains low due to high operating expenses relative to revenue, resulting in a net income of only $7.1 million in 2024 from a loss of $61.3 million in 2023. The gross profit margin is relatively stable at 100%, indicating that the company is retaining its revenue at the gross level efficiently. EBIT and EBITDA margins are positive, reflecting improved operating performance.

Balance Sheet

The company has a strong equity base with a debt-to-equity ratio of approximately 0.02 in 2024, indicating low financial leverage. However, the return on equity is modest at about 12.7%, suggesting moderate profitability relative to shareholder investment. The equity ratio is approximately 41.4%, reflecting a balanced asset structure. Overall, the balance sheet presents a stable financial position with low debt.

Cash Flow

The cash flow statement indicates challenges in cash management, with a negative operating cash flow of $58.4 million in 2024. Despite an improvement in free cash flow from the previous year, the free cash flow to net income ratio is negative, highlighting inefficiencies in converting net income into free cash flow. The operating cash flow to net income ratio is also negative, indicating that cash outflows from operations exceed net income.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
68.70M	48.73M	25.10M	115.53M	24.29M
	Gross Profit
64.12M	40.47M	16.09M	115.53M	24.29M
	EBIT
-26.16M	-43.74M	-100.37M	-39.40M	-109.83M
	EBITDA
13.53M	-32.04M	-62.79M	-20.27M	-99.19M
	Net Income Common Stockholders
7.17M	-61.32M	-122.91M	-30.92M	-109.01M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
86.31M	116.68M	189.58M	143.66M	89.80M
	Total Assets
136.39M	159.78M	238.17M	211.50M	150.16M
	Total Debt
30.05M	31.27M	27.04M	9.11M	10.52M
	Net Debt
-55.85M	-85.41M	-162.54M	-134.55M	-79.28M
	Total Liabilities
80.00M	140.92M	177.74M	120.33M	105.73M
	Stockholders Equity
56.39M	18.86M	60.43M	91.17M	44.42M
Cash Flow		Free Cash Flow
-58.70M	-86.39M	-49.07M	-16.66M	-92.42M
	Operating Cash Flow
-58.45M	-84.11M	-45.75M	-10.85M	-87.39M
	Investing Cash Flow
-215.00K	5.83M	-3.32M	-5.80M	-5.03M
	Financing Cash Flow
50.45M	5.39M	94.98M	70.52M	1.33M

Precision BioSciences Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 4.95
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For DTIL, the sentiment is Negative. The current price of 4.95 is below the 20-day moving average (MA) of 5.30, below the 50-day MA of 5.05, and below the 200-day MA of 6.79, indicating a bearish trend. The MACD of 0.03 indicates Positive momentum. The RSI at 45.14 is Neutral, neither overbought nor oversold. The STOCH value of 12.37 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for DTIL.

Precision BioSciences Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CTMX	68 Neutral	$201.55M	4.80	-58.97%	―	23.81%	146.45%
DTIL	62 Neutral	$54.28M	2.61	19.05%	―	40.98%	―
Sector *	52 Neutral	$5.14B	3.39	-43.55%	2.83%	16.49%	-0.19%
IKNA	41 Neutral	$48.59M	―	-30.49%	―	-100.00%	37.59%
BLUE	37 Underperform	$32.41M	―	-295.35%	―	184.12%	31.92%
ACRV	36 Underperform	$35.43M	―	-54.07%	―	―	10.84%
ACET	27 Underperform	$55.25M	―	-55.83%	―	―	59.75%

Precision BioSciences Corporate Events

Precision BioSciences Accelerates PBGENE-DMD Program for DMD

On May 14, 2025, Precision BioSciences announced the acceleration of its PBGENE-DMD program, a first-in-class in vivo gene editing approach for Duchenne Muscular Dystrophy (DMD), highlighting preclinical evidence at the ASGCT Annual Meeting. The program aims to address the significant unmet need for DMD treatments by restoring the body’s production of functional dystrophin protein, potentially offering a durable intervention for most patients. Precision plans to submit an IND and/or CTA in 2025, with clinical data expected in 2026, while pausing development of PBGENE-3243 to focus on advancing PBGENE-DMD and PBGENE-HBV through Phase 1 clinical results.

The most recent analyst rating on (DTIL) stock is a Buy with a $60.00 price target. To see the full list of analyst forecasts on Precision BioSciences stock, see the DTIL Stock Forecast page.

Spark’s Take on DTIL Stock

According to Spark, TipRanks’ AI Analyst, DTIL is a Neutral.

Precision BioSciences shows strong revenue growth and low debt levels, contributing to a stable financial position. However, profitability and cash flow challenges weigh on its financial performance. The technical analysis suggests potential short-term upward momentum, but the stock remains below its 200-day moving average, indicating caution for long-term trends. The valuation is attractive with a low P/E ratio, suggesting the stock might be undervalued. Overall, while there are promising indicators, significant focus on improving cash flow and profitability is needed for a more favorable outlook.

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