Company Overview
Cocrystal Pharma, Inc. operates as a biotechnology entity dedicated to the discovery and development of antiviral therapeutic treatments designed for serious and chronic viral diseases within the United States. The company utilizes structure-based technologies to engineer antiviral drugs targeting specific pathogens, including influenza viruses and coronaviruses, to address significant health challenges. As of the latest available data, the organization maintains a market capitalization of $14.20M and employs 11 individuals to execute its research and development initiatives. With a market cap of $14.20M and no reported annual revenue, the company represents a micro-cap biotechnology firm with a very small operational footprint, indicating it is in a pre-revenue or early-stage development phase where capital allocation is focused entirely on product discovery rather than commercial scaling.
Financial Health
The financial statements for Cocrystal Pharma, Inc. reflect a pre-commercialization status, reporting N/A for revenue (TTM), a net income of $-9,671,000, and an EBITDA of $-9,681,000. The substantial gap between the N/A revenue and the significant negative net income of $-9,671,000 reveals a cost structure composed entirely of operating expenses incurred during the drug development phase, with no revenue stream to offset these costs. The company reports a free cash flow of $-6,009,000, which indicates that cash burn is occurring rapidly as the firm invests in R&D without the inflow of cash from sales, limiting its financial flexibility to the duration of its remaining cash reserves. The company's margins are all reported at 0.0%, specifically for gross margin, operating margin, and profit margin, which indicates that the company has not yet generated sufficient revenue to establish a profit structure or calculate meaningful margins. In terms of liquidity and leverage, the company holds $7.73M in cash against $1.58M in debt, resulting in a debt-to-equity ratio of 20.64, suggesting a balance sheet that is currently funded by equity rather than debt despite the negative leverage ratio metric. The current ratio stands at 5.78, indicating a high level of short-term liquidity where current assets significantly exceed current liabilities, providing a buffer against immediate obligations. Return metrics further highlight the developmental stage, with a return on equity of -94.9% and a return on assets of -45.8%, revealing that management is deploying capital into loss-making activities typical of early-stage biotechnology firms rather than generating positive returns.
Valuation Assessment
Valuation metrics for Cocrystal Pharma, Inc. reflect the speculative nature of the asset, showing a P/E Ratio (TTM) of N/A and a forward P/E of -1.25. The presence of a negative forward P/E alongside a trailing P/E that cannot be calculated implies that the market is pricing the stock based on future expectations rather than current profitability, as the company is currently unprofitable. The price-to-book ratio is 1.75, indicating that the market values the company at 1.75 times its book value, which suggests a premium over the net asset value often seen in biotech firms with valuable intellectual property portfolios. Alternative valuation metrics include a price-to-sales ratio of N/A due to lack of revenue and an EV/EBITDA of -0.83, which suggests the enterprise value is being calculated based on negative earnings rather than a multiple of positive cash flows. The stock has traded between a 52-week low of $0.86 and a 52-week high of $2.67, meaning the current trading price fluctuates within a range of approximately 210% relative to the low and 67% below the high. The beta value of 1.22 indicates that the stock is expected to be 22% more volatile than the broader market, reflecting the high risk associated with investing in small-cap biotechnology companies that lack consistent earnings.
Growth & Income
Growth metrics for the company are reported as N/A for both revenue growth (YoY) and earnings growth (YoY), as the company has not yet generated positive revenue or earnings to calculate year-over-year rates. The absence of revenue growth data implies that the company is not yet in a commercial growth phase where sales expansion is the primary driver of value creation. Regarding income, the dividend yield is N/A and the payout ratio is 0.0%, indicating that the company does not distribute dividends to shareholders. This non-dividend status is consistent with the company's strategy of reinvesting all available earnings and cash reserves into research and development to advance its antiviral therapeutic pipeline rather than providing current income. Consequently, the overall growth and income profile is characterized by zero dividend payouts and undefined growth rates, reflecting an investment thesis based on potential future commercialization of drug candidates rather than current financial performance or income generation.