Last Updated: 08 Nov 2024
Executive Summary
Ensysce Biosciences Inc. (ENSC) is a clinical-stage biotechnology company focused on developing prescription drugs. The company has a market capitalization of $10.38 million and is currently trading at $0.73 per share. Analysts have a Buy rating on the stock with an average target price of $8.30.
Company Overview
Ensysce Biosciences is headquartered in La Jolla, California and is dedicated to the development of various prescription drugs. The company's lead product candidate is ENS-202, a novel drug for the treatment of chronic pain. ENS-202 is currently in Phase 2 clinical trials.
Fundamental Analysis
Ensysce Biosciences reported revenue of $1.44 million for the fiscal year ended December 2023. The company's gross profit was negative $1.16 million and its net loss was $24.22 million. Ensysce Biosciences has a book value of $0.22 per share and an EPS of -$2.70.
The company's financial performance has been weak in recent quarters. Revenue declined by 0.63% year-over-year in the most recent quarter. The company's net loss also widened in the most recent quarter.
Technical Analysis
The technical analysis of Ensysce Biosciences' stock price shows that the stock is currently in a downtrend. The stock price has been trading below its 50-day and 200-day moving averages for the past several months. The stock's relative strength index (RSI) is also below 50, which indicates that the stock is oversold.
Short Term Outlook
The short-term outlook for Ensysce Biosciences is negative. The stock price is in a downtrend and the company's financial performance has been weak in recent quarters. Investors should be cautious about buying the stock in the short term.
Long Term Outlook
The long-term outlook for Ensysce Biosciences is more positive. The company's lead product candidate, ENS-202, has the potential to be a blockbuster drug. If ENS-202 is successful in clinical trials, it could significantly boost the company's revenue and earnings. Investors should consider buying the stock in the long term if they believe that ENS-202 will be successful.
Analyst Recommendations
Analysts have a Buy rating on Ensysce Biosciences' stock. The average target price is $8.30, which represents a potential upside of over 1,000% from the current price. Investors should consider buying the stock if they believe that the company's lead product candidate, ENS-202, will be successful.
