Rein Therapeutics (RNTX) AI Stock Analysis

• Market Cap: $27.79M
• Dividend Yield: N/A
• Average Volume (3M): 192.09K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.95
• Revenue Growth: N/A
• EPS Growth: 17.02%
• Country: US
• Employees: 11
• Sector: Healthcare
• Sector Strength: 45
• Industry: Medical - Pharmaceuticals
• EPS (TTM): -0.28
• Shares Outstanding: 23,547,428
• 10 Day Avg. Volume: 321,650
• 30 Day Avg. Volume: 192,087
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 2.63
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: -73.15K
• Enterprise Value/Ebitda: -5.86
• 1Y Price Target: $10.00
• Price Target Upside: 747.46% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2

• Rating: 38 Underperform
• Price Target: ―

Rein Therapeutics is experiencing severe financial difficulties, with persistent negative net income and cash flows. The technical analysis suggests bearish momentum with potential near-term volatility. The negative P/E ratio and lack of dividends further highlight the company's weak financial position. The overall outlook for the stock is challenging, with significant risks outweighing potential rewards.

Positive Factors

Regulatory Approval

The MHRA approval for the Phase 2 trial of LTI-03 indicates progress in drug development, potentially leading to new revenue streams and strengthening the company's market position in the long term.

No Leverage Risk

The absence of debt reduces financial risk, providing Rein Therapeutics with greater flexibility to invest in growth opportunities and withstand economic fluctuations.

New Financial Agreements

Securing new financing agreements enhances liquidity, enabling Rein Therapeutics to fund ongoing operations and support strategic initiatives, potentially improving long-term financial stability.

Negative Factors

Persistent Negative Cash Flow

Ongoing negative cash flows indicate operational inefficiencies and a lack of sustainable cash generation, which could hinder Rein Therapeutics' ability to finance future growth and innovation.

Declining Equity

The significant decline in equity reflects financial instability, limiting Rein Therapeutics' ability to absorb losses and invest in long-term growth, potentially affecting its competitive position.

Lack of Revenue

The absence of revenue-generating activities raises concerns about Rein Therapeutics' business model viability and its ability to achieve profitability, impacting its long-term sustainability.

Rein Therapeutics Business Overview & Revenue Model

Company Description

Rein Therapeutics, Inc. is a clinical stage biopharmaceutical company, which engages in the development and commercialization of a novel class of therapeutics for the treatment of cancer and other diseases. It focuses on its lead product candidate, ALRN-6924, which is a cell-permeating peptide that disrupts the interaction of p53 suppressors MDM2 and MDMX with tumor suppressor p53 to reactivate tumor suppression in non-mutant, or wild-type, p53 cancers. The company was founded by Gregory L. Verdine, Rosana Kapeller, Huw M. Nash, Joseph A. Yanchik III, and Loren David Walensky on August 6, 2001 and is headquartered in Austin, TX.

How the Company Makes Money

Aileron Therapeutics makes money primarily through the development and potential commercialization of its proprietary drug candidates. The company's revenue model is expected to include income from product sales upon successful regulatory approval and market launch of its therapeutics. Additionally, Aileron may engage in partnerships or licensing agreements with other pharmaceutical companies, which could provide upfront payments, milestone payments, and royalties based on sales. Currently, as a clinical-stage company, Aileron primarily relies on funding from investors, grants, or collaborations to support its research and development efforts.

Rein Therapeutics Financial Statement Overview

Summary

Rein Therapeutics faces significant challenges in achieving revenue generation and profitability, as evidenced by the persistent negative net income and cash flows. Despite the absence of debt, the declining equity and negative cash flows suggest financial strain. The company needs to focus on developing revenue-generating operations to improve its financial health and sustainability.

Income Statement

Rein Therapeutics has consistently reported zero total revenue over the years, indicating the absence of revenue-generating activities. Additionally, the company has experienced significant net losses, with increasing net losses from $21.8 million in 2020 to $62.9 million in 2024. The EBITDA margin has also been negative, reflecting operational inefficiencies. The lack of revenue growth and persistent losses are concerning for the company's income statement.

Balance Sheet

The company's balance sheet shows a relatively low level of total debt, with zero debt reported in 2024, indicating no leverage risk. However, the stockholders' equity has been fluctuating, with a significant decrease from $43.9 million in 2021 to $9.4 million in 2024. The equity ratio has also declined, reflecting a reduction in financial stability. Despite the absence of debt, the diminishing equity base raises concerns about the company's long-term solvency.

Cash Flow

Rein Therapeutics has consistently reported negative operating and free cash flows, indicating cash outflows exceeding cash inflows from operations. Although there was a noticeable inflow from financing activities in recent years, operating cash flow to net income ratios are negative due to ongoing operational losses. The lack of free cash flow growth highlights challenges in generating sustainable cash flows.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	0.00	0.00	0.00	0.00	0.00	0.00
Gross Profit	-1.00K	-63.00K	0.00	0.00	0.00	0.00
EBITDA	-12.49M	-28.05M	-15.23K	-27.48K	-26.48K	-20.33K
Net Income	-53.31M	-62.88M	-15.73K	-27.33K	-26.16K	-21.16K
Balance Sheet
Total Assets	57.48M	62.19M	106.01M	22.01M	48.48M	16.34M
Cash, Cash Equivalents and Short-Term Investments	5.72M	12.87M	17.31M	21.24M	45.93M	13.80M
Total Debt	0.00	0.00	48.00K	33.00K	162.00K	387.00K
Total Liabilities	54.47M	7.80M	99.12M	3.38M	4.58M	4.18M
Stockholders Equity	3.01M	54.39M	6.89M	18.62M	43.90M	12.16M
Cash Flow
Free Cash Flow	-21.22M	-22.29M	-19.81M	-24.86M	-23.91M	-20.48M
Operating Cash Flow	-21.22M	-22.29M	-19.81M	-24.86M	-23.75M	-20.48M
Investing Cash Flow	0.00	0.00	16.20M	26.46M	-35.92M	6.41M
Financing Cash Flow	5.00M	17.82M	15.79M	0.00	55.66M	15.80M

Rein Therapeutics Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1.18
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For RNTX, the sentiment is Negative. The current price of 1.18 is below the 20-day moving average (MA) of 1.22, below the 50-day MA of 1.22, and below the 200-day MA of 1.75, indicating a bearish trend. The MACD of -0.02 indicates Negative momentum. The RSI at 48.22 is Neutral, neither overbought nor oversold. The STOCH value of 42.64 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for RNTX.

Rein Therapeutics Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ATHE	56 Neutral	$67.72M	-5.30	―	―	―	63.85%
CNTB	49 Neutral	―	-5.58	―	―	―	―
KZR	42 Neutral	$26.73M	-0.38	―	―	-100.00%	28.44%
RBOT	39 Underperform	$32.50M	-0.54	―	―	―	6.48%
RNTX	38 Underperform	$27.79M	―	-79.38%	―	―	17.02%
KALA	31 Underperform	$133.75M	-2.80	―	―	―	51.27%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%