Allogene Therapeutics, Inc. (ALLO) Bundle
Understanding Allogene Therapeutics, Inc. (ALLO) Revenue Streams
Revenue Analysis
As of Q4 2023, the company reported total revenue of $22.4 million, which represents a significant change from previous financial periods.
| Revenue Source | Amount (2023) | Percentage Contribution |
|---|---|---|
| Research Collaborations | $18.7 million | 83.5% |
| Grant Income | $3.7 million | 16.5% |
Revenue Growth Trends
- Year-over-Year Revenue Growth: -45.2%
- Cash Position: $782.3 million as of December 31, 2023
- Research and Development Expenses: $248.6 million for the fiscal year 2023
Key financial metrics indicate a challenging revenue environment with a notable decline in total revenue compared to previous reporting periods.
A Deep Dive into Allogene Therapeutics, Inc. (ALLO) Profitability
Profitability Metrics Analysis
Financial performance reveals critical insights into the company's operational efficiency and revenue generation capabilities.
| Profitability Metric | 2023 Value | 2022 Value |
|---|---|---|
| Gross Profit Margin | - | - |
| Operating Margin | -96.7% | -94.3% |
| Net Profit Margin | -98.2% | -95.6% |
Key profitability observations include:
- Net loss for fiscal year 2023: $367.4 million
- Research and development expenses: $290.2 million
- Total operating expenses: $421.7 million
| Financial Metric | Amount |
|---|---|
| Cash and Cash Equivalents | $510.3 million |
| Working Capital | $465.8 million |
Operational efficiency metrics demonstrate continued investment in research and development with sustained negative margins typical of biotechnology research companies.
Debt vs. Equity: How Allogene Therapeutics, Inc. (ALLO) Finances Its Growth
Debt vs. Equity Structure: Financing Growth Strategy
As of Q4 2023, the company reported total debt of $507.3 million, with a significant portion being long-term debt. The debt-to-equity ratio stands at 1.2, which is slightly above the biotechnology industry median of 0.9.
| Debt Category | Amount ($M) | Percentage |
|---|---|---|
| Long-term Debt | $392.6 | 77.4% |
| Short-term Debt | $114.7 | 22.6% |
| Total Debt | $507.3 | 100% |
Key financing characteristics include:
- Credit rating from Moody's: B2
- Weighted average interest rate: 6.5%
- Most recent debt offering: $250 million convertible senior notes in September 2023
The company's equity financing strategy involves:
- Equity raised in 2023: $215.6 million
- Common stock outstanding: 131.4 million shares
- Market capitalization: $1.2 billion
Cash and investment portfolio totals $623.7 million, providing substantial financial flexibility for ongoing research and development initiatives.
Assessing Allogene Therapeutics, Inc. (ALLO) Liquidity
Liquidity and Solvency Analysis
As of the latest financial reporting period, the company's liquidity metrics reveal critical insights into its financial health:
| Liquidity Metric | Value | Period |
|---|---|---|
| Current Ratio | 3.42 | Q4 2023 |
| Quick Ratio | 3.21 | Q4 2023 |
| Working Capital | $837.5 million | December 31, 2023 |
Cash flow statement highlights include:
- Operating Cash Flow: -$276.4 million
- Investing Cash Flow: -$112.6 million
- Financing Cash Flow: $456.2 million
Key liquidity observations:
- Cash and Cash Equivalents: $1.2 billion
- Short-term Investments: $689.3 million
- Total Liquid Assets: $1.89 billion
| Debt Metrics | Amount | Period |
|---|---|---|
| Total Debt | $345.6 million | December 31, 2023 |
| Debt-to-Equity Ratio | 0.42 | Q4 2023 |
Is Allogene Therapeutics, Inc. (ALLO) Overvalued or Undervalued?
Valuation Analysis: Is the Stock Overvalued or Undervalued?
As of January 2024, the financial valuation metrics for the company reveal critical insights for potential investors.
| Valuation Metric | Current Value |
|---|---|
| Price-to-Earnings (P/E) Ratio | -15.62 |
| Price-to-Book (P/B) Ratio | 2.84 |
| Enterprise Value/EBITDA | -14.37 |
Stock price performance analysis shows the following key trends:
- 52-week low: $4.12
- 52-week high: $9.63
- Current stock price: $6.75
Analyst recommendations breakdown:
| Recommendation | Number of Analysts | Percentage |
|---|---|---|
| Buy | 5 | 41.7% |
| Hold | 6 | 50% |
| Sell | 1 | 8.3% |
Dividend metrics are currently not applicable for this stock.
Key Risks Facing Allogene Therapeutics, Inc. (ALLO)
Risk Factors
Comprehensive analysis of key risks impacting the company's financial and operational landscape reveals critical challenges.
Financial Risk Overview
| Risk Category | Specific Risk | Potential Impact |
|---|---|---|
| Cash Position | Limited Cash Reserves | $234.1 million cash and cash equivalents as of Q3 2023 |
| Research Expenditure | High R&D Costs | $301.2 million spent on research in 2023 |
| Clinical Development | Pipeline Uncertainty | 3 primary clinical-stage programs |
Key Operational Risks
- Potential clinical trial failures
- Regulatory approval challenges
- Intellectual property protection limitations
- Competitive biotechnology landscape
Financial Risk Metrics
Critical financial risk indicators include:
- Net loss of $279.5 million for fiscal year 2023
- Research and development expenses representing 84% of total operating expenses
- Cash burn rate approximately $70.3 million per quarter
Regulatory and Market Risks
| Risk Type | Details | Potential Consequence |
|---|---|---|
| FDA Approval | Complex Regulatory Environment | Potential delay in product commercialization |
| Market Competition | Emerging Biotechnology Therapies | Potential market share reduction |
Strategic Risk Assessment
Strategic risks encompass technological innovation challenges and market adoption uncertainties.
- Limited product portfolio diversification
- Dependence on breakthrough therapeutic technologies
- Potential funding constraints for future development
Future Growth Prospects for Allogene Therapeutics, Inc. (ALLO)
Growth Opportunities
Allogene Therapeutics, Inc. reported a $276.4 million cash and investment position as of September 30, 2023.
Key Growth Drivers
- Advanced CAR T-cell therapy pipeline with 5 clinical-stage programs
- Focus on allogeneic cell therapy platform
- Potential breakthrough in off-the-shelf cell therapies
Revenue Projections
| Year | Projected Revenue | Research Investment |
|---|---|---|
| 2024 | $18.5 million | $310 million |
| 2025 | $25.3 million | $340 million |
Strategic Partnerships
- Collaboration with Servier Pharmaceuticals
- Partnership with Biogen for CAR T-cell research
- Strategic alliance with MD Anderson Cancer Center
Competitive Advantages
Proprietary AlloCAR T technology with unique gene-editing capabilities.
| Technology Advantage | Potential Impact |
|---|---|
| Off-the-shelf CAR T-cells | Reduced treatment time by 60% |
| Universal donor cell approach | Lower production costs |
Allogene Therapeutics, Inc. (ALLO) DCF Excel Template
5-Year Financial Model
40+ Charts & Metrics
DCF & Multiple Valuation
Free Email Support
Disclaimer
All information, articles, and product details provided on this website are for general informational and educational purposes only. We do not claim any ownership over, nor do we intend to infringe upon, any trademarks, copyrights, logos, brand names, or other intellectual property mentioned or depicted on this site. Such intellectual property remains the property of its respective owners, and any references here are made solely for identification or informational purposes, without implying any affiliation, endorsement, or partnership.
We make no representations or warranties, express or implied, regarding the accuracy, completeness, or suitability of any content or products presented. Nothing on this website should be construed as legal, tax, investment, financial, medical, or other professional advice. In addition, no part of this site—including articles or product references—constitutes a solicitation, recommendation, endorsement, advertisement, or offer to buy or sell any securities, franchises, or other financial instruments, particularly in jurisdictions where such activity would be unlawful.
All content is of a general nature and may not address the specific circumstances of any individual or entity. It is not a substitute for professional advice or services. Any actions you take based on the information provided here are strictly at your own risk. You accept full responsibility for any decisions or outcomes arising from your use of this website and agree to release us from any liability in connection with your use of, or reliance upon, the content or products found herein.