Foghorn Therapeutics Inc (FHTX) Stock Analysis
Verdict: AVOID
Loss of Eli Lilly deal guts thesis and cash runway, making stock an uninvestable dilution trap despite remaining Merck collaboration.
Investment score: 19/100
Analysis as of
Is Foghorn Therapeutics Inc stock worth reviewing? The TradeMates thesis
The TradeMates model recommends AVOID on Foghorn Therapeutics following the termination of its Eli Lilly collaboration. The sudden loss of milestone funding exacerbates severe cash burn (-$86.15M FCF) against an $80.88M cash balance, leaving less than 12 months of runway and forcing restructuring.
7-factor investment score
- Valuation: 20/100 (weight 20%)
- Financial Health: 10/100 (weight 15%)
- Technical Momentum: 10/100 (weight 15%)
- Earnings Quality: 35/100 (weight 15%)
- Insider Sentiment: 25/100 (weight 10%)
- Analyst Consensus: 20/100 (weight 10%)
- Risk-Adjusted Return: 15/100 (weight 15%)
Foghorn Therapeutics Inc opportunities and risks
What speaks for FHTX
- Merck Collaboration Stability
What speaks against FHTX
- Severe Capital Dilution within 11 Months
Peers and competitors
| Ticker | P/E | P/S | EV/EBITDA | Gross margin | Net margin | FCF yield |
|---|---|---|---|---|---|---|
| FHTX | n/a | 3.2x | n/a | 42.7% | -175.8% | -72.0% |
| CRBU | n/a | 12.1x | n/a | -129.7% | -1030.4% | -79.1% |
| CBUS | n/a | 30.0x | n/a | 45.7% | -2258.9% | -35.5% |
| TNYA | n/a | 91.7x | n/a | 263.7% | -7724.0% | -58.7% |
| VTVT | n/a | 2.2x | 1.0x | 100.0% | -12.9% | -21.0% |
| HURA | n/a | 0.0x | n/a | 0.0% | 0.0% | -24.6% |
| Peer median | n/a | 12.1x | n/a | 45.7% | -1030.4% | -35.5% |
Frequently asked questions about Foghorn Therapeutics Inc (FHTX)
Is FHTX stock a good investment?
The TradeMates model rates Foghorn Therapeutics Inc as AVOID with an investment score of 19/100. The TradeMates model recommends AVOID on Foghorn Therapeutics following the termination of its Eli Lilly collaboration. The sudden loss of milestone funding exacerbates severe cash burn (-$86.15M FCF) against an $80.88M cash balance, leaving less than 12 months of runway and forcing restructuring. This is algorithmic model output, not personal investment advice.
Is FHTX stock a buy?
The TradeMates model verdict for FHTX is AVOID with an investment score of 19/100. Treat this as a model signal to review, not a personal buy recommendation.