Syros Pharmaceuticals (SYRS) AI Stock Analysis

• Market Cap: $1.04M
• Dividend Yield: N/A
• Average Volume (3M): 407.73K
• Price to Earnings (P/E): ―
• Beta (1Y): 2.24
• Revenue Growth: -95.61%
• EPS Growth: 19.37%
• Country: US
• Employees: 68
• Sector: Healthcare
• Sector Strength: 54
• Industry: Biotechnology
• EPS (TTM): N/A
• Shares Outstanding: 26,832,457
• 10 Day Avg. Volume: 193,053
• 30 Day Avg. Volume: 407,731
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): 0.00
• Price to Cash Flow (P/CF): 0.00
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: 83.11
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: 11.26
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: $1.00
• Price Target Upside: 2400.00% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 0

Syros Pharmaceuticals faces significant financial challenges, with declining revenues and negative profit margins. The technical analysis indicates bearish trends, compounded by a negative P/E ratio and the absence of dividends. While the earnings call provided some optimism through strategic developments, recent corporate events have exacerbated financial struggles, leading to a low overall score.

Positive Factors

Market Opportunity

Management highlighted the large commercial opportunity for tamibarotene in RARA-positive HR-MDS, with a market opportunity of ~$1.6Bn, >$800MM in RARA positive patients.

Safety Profile

The potential for tamibarotene is compelling both in terms of potential efficacy but also the candidate’s well tolerated safety profile.

Therapeutic Potential

Tamibarotene would be the first targeted therapy for the patient population, addressing the ~50% of patients with RARA over expression.

Negative Factors

Clinical Trial Failure

The Phase 3 SELECT-MDS-1 trial did not achieve its primary endpoint of complete response rate, leading to the decision to remove tamibarotene from valuation.

Financial Impact

The failure to meet the primary endpoint in the SELECT-MDS-1 trial triggers an event of default under the secured loan agreement with Oxford Finance LLC.

Stock Performance

The stock traded down about 86% in the aftermarket, reflecting a significant decline in valuation.

Syros Pharmaceuticals Business Overview & Revenue Model

Company Description

Syros Pharmaceuticals, Inc., a biopharmaceutical company, focuses on the development of treatments for cancer and monogenic diseases, and building a pipeline of gene control medicines. The company's lead product candidates are Tamibarotene, a selective retinoic acid receptor alpha agonist, which is in Phase III clinical trial for genomically defined subset of patients with myelodysplastic syndrome and Phase II clinical trial for patients with acute myeloid leukemia; SY-2101, a novel oral form of arsenic trioxide for treating patients with acute promyelocytic leukemia; and SY-5609, a cyclin-dependent kinase 7 inhibitor, which is in a Phase I clinical trial in patients with select advanced solid tumors. It has target discovery, research collaboration, and option agreement with Incyte Corporation to identify therapeutic targets with a focus on myeloproliferative neoplasms; and a license agreement with TMRC Co. Ltd. for the development and commercialization of tamibarotene. The company was formerly known as LS22, Inc. and changed its name to Syros Pharmaceuticals, Inc. in August 2012. Syros Pharmaceuticals, Inc. was incorporated in 2011 and is headquartered in Cambridge, Massachusetts.

How the Company Makes Money

Syros Pharmaceuticals generates revenue primarily through collaborations and strategic alliances with other pharmaceutical companies, which may include upfront payments, milestone payments, and royalties based on product sales. The company may also receive research and development funding from its partners to advance its drug candidates. Additionally, Syros seeks to commercialize its own proprietary therapies, which, if successfully approved, would provide revenue through direct sales. However, as an emerging biopharmaceutical company, Syros is heavily reliant on investment and financing activities to fund its operations and research initiatives.

Syros Pharmaceuticals Financial Statement Overview

Summary

Syros Pharmaceuticals is facing significant financial challenges with declining revenues, negative profitability margins, and a weak balance sheet. The company's high leverage and inability to generate positive cash flows present substantial risks.

Income Statement

Syros Pharmaceuticals has shown a significant decline in revenue with a negative revenue growth rate of -96.12% from the previous year. The company also reports negative gross and net profit margins, indicating operational inefficiencies and challenges in achieving profitability. The EBIT and EBITDA margins are also negative, reflecting ongoing losses in core operations.

Balance Sheet

The company's balance sheet is concerning with a negative stockholders' equity, suggesting liabilities exceed assets. The debt-to-equity ratio cannot be calculated due to negative equity, highlighting financial instability. The equity ratio is negative, indicating a highly leveraged position with potential solvency risks.

Cash Flow

Syros Pharmaceuticals has experienced negative free cash flow growth, and the operating cash flow to net income ratio is negative, reflecting cash outflows from operations without corresponding income. The free cash flow to net income ratio also indicates an inability to generate cash from operations.

Breakdown
Dec 2023	Dec 2022	Dec 2021	Dec 2020	Dec 2019
Income Statement		Total Revenue
9.94M	14.88M	23.49M	15.09M	1.98M
	Gross Profit
7.68M	11.91M	23.49M	15.09M	1.98M
	EBIT
-128.99M	-135.87M	-99.42M	-82.30M	-77.74M
	EBITDA
-157.19M	-87.55M	-79.63M	-79.21M	-72.72M
	Net Income Common Stockholders
-164.57M	-49.30M	-90.47M	-85.83M	-75.44M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
139.53M	202.30M	130.37M	173.98M	91.42M
	Total Assets
168.17M	244.49M	182.94M	213.25M	149.98M
	Total Debt
62.08M	63.57M	65.19M	66.21M	25.92M
	Net Debt
-77.45M	-103.90M	-27.11M	-107.77M	-15.52M
	Total Liabilities
151.51M	116.75M	97.72M	122.70M	70.79M
	Stockholders Equity
16.66M	127.74M	85.22M	90.55M	79.18M
Cash Flow		Free Cash Flow
-109.98M	-124.31M	-100.78M	-60.70M	-72.89M
	Operating Cash Flow
-109.71M	-123.06M	-99.54M	-57.36M	-60.25M
	Investing Cash Flow
37.34M	67.19M	-52.65M	46.66M	-11.73M
	Financing Cash Flow
43.46M	131.04M	70.51M	142.95M	65.99M

Syros Pharmaceuticals Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 0.04
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SYRS, the sentiment is Neutral. The current price of 0.04 is above the 20-day moving average (MA) of 0.03, below the 50-day MA of 0.05, and below the 200-day MA of 1.15, indicating a neutral trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 50.50 is Neutral, neither overbought nor oversold. The STOCH value of 90.14 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for SYRS.

Syros Pharmaceuticals Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	52 Neutral	$5.21B	3.55	-41.91%	2.83%	15.12%	0.42%
BDRX	45 Neutral	$922.66K	―	-89.21%	―	-83.72%	99.56%
SYRS	33 Underperform	$1.04M	―	-776.96%	―	-95.61%	19.37%
WINT	28 Underperform	$3.29M	―	-21.57%	―	―	97.84%
SCPX	23 Underperform	$556.21K	―	-174.06%	―	-10.75%	82.25%

Syros Pharmaceuticals Corporate Events

Syros Pharmaceuticals Faces Financial Struggles Amid Key Challenges

Syros Pharmaceuticals faces significant challenges as it terminates its collaboration with QIAGEN, following the failure of its SELECT-MDS-1 Phase 3 trial to meet key endpoints. This resulted in a default under its Loan Agreement with Oxford Finance, demanding nearly $43.7 million repayment. In response, Syros has initiated a drastic workforce reduction of 94% to curb costs and maximize stakeholder value, highlighting its ongoing financial struggles.