Last Updated: 19 Sep 2024
Executive Summary
C4 Therapeutics (CCCC) is a clinical-stage biopharmaceutical company developing novel therapeutics for cancer and neurodegenerative diseases. Despite strong revenue growth, the company remains unprofitable and has a high beta. Analysts are cautiously optimistic, with a consensus target price of $16.14 and a mix of Buy and Hold ratings.
Company Overview
C4 Therapeutics was founded in 2009 and is headquartered in Watertown, Massachusetts. The company's lead product candidate, CFT7455, is a targeted protein degrader that is currently in Phase 2 clinical trials for the treatment of advanced solid tumors. C4 Therapeutics also has a pipeline of preclinical assets targeting other disease areas.
Fundamental Analysis
Revenue: Revenue for the trailing twelve months (TTM) was $29.4 million, up 3.5% year-over-year.
Earnings: The company reported a net loss of $114.7 million for the TTM, resulting in a diluted EPS of -$1.90.
Profitability: C4 Therapeutics has negative profit margins and is yet to achieve profitability.
Valuation: The stock trades at a price-to-sales ratio of 15.06 and a price-to-book ratio of 1.813.
Technical Analysis
Trend: The stock has been in a downtrend since reaching a 52-week high of $11.88 in January 2023.
Moving Averages: The stock is trading below its 50-day and 200-day moving averages.
Support and Resistance: Support levels are at $5.00 and $4.00, while resistance levels are at $7.00 and $8.00.
Short Term Outlook
Analysts are cautious on C4 Therapeutics in the short term. The stock is trading below its moving averages and has limited support. The company's upcoming Phase 2 clinical data for CFT7455 will be a key catalyst to watch.
Long Term Outlook
Analysts are more optimistic on C4 Therapeutics in the long term. The company's pipeline of targeted protein degraders has the potential to address significant unmet medical needs. If CFT7455 and other pipeline candidates prove successful, C4 Therapeutics could become a major player in the oncology market.
Analyst Recommendations
Analysts have a mixed view on C4 Therapeutics. Of the 8 analysts covering the stock, 2 have a Strong Buy rating, 3 have a Buy rating, 3 have a Hold rating, and 0 have a Sell or Strong Sell rating. The consensus target price is $16.14, implying a potential upside of over 100% from the current price.
