Data last refreshed 58 days ago — analysis may not reflect the latest market data

KROSKROS

US

NEUTRAL

$10.70

P/E

2.45

PEG

FCF Yield

Rev Growth YoY

-84.5% YoY

Gross Margin

Health Score

5/10

D/E Ratio

Confidence

LOW


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Business Snapshot

Keros Therapeutics is a clinical-stage biotechnology company focused on developing novel therapeutics targeting the TGF-beta (transforming growth factor-beta) superfamily of proteins to treat disorders including myelodysplastic syndromes (MDS), myelofibrosis, and pulmonary arterial hypertension. Its primary focus is on developing its lead product candidate, KER-050 (elritercept), a modified activin receptor type IIA fusion protein designed to treat ineffective erythropoiesis in blood disorders. The company operates in the competitive biotech space, where it is a pre-commercial entity with no approved products, positioning it as a development-stage challenger in a high-risk, high-reward market. Financially, Keros is a small-cap company with no meaningful revenue from product sales, as its current revenue reflects a one-time event or grant and is not derived from ongoing commercial operations.

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Financial Health

The net margin of -256.6% — note this figure may be distorted due to a one-time item or data anomaly — indicates the company is significantly unprofitable on a trailing twelve-month basis, which is typical for a pre-revenue clinical-stage biotech. The debt/equity ratio of 0.0x reflects a clean, conservative balance sheet with no long-term debt, reducing financial distress risk from leverage...

Risk Assessment

  • EARNINGS QUALITY — The reported net margin of -256.6% — note this figure may be distorted due to a one-time item or data anomaly — is outside the normal range for a pre-revenue biotech and raises questions about the reliability of reported profitability.
  • REVENUE DECELERATION — Revenue collapsed by -84.5% year-over-year, a severe decline that removes the limited recurring revenue base the company previously reported.
  • VALUATION DIVERGENCE — The P/E ratio of 2.45x is a misleading proxy for valuation, as it is mechanically depressed by a net income figure that includes non-operating distortions rather than sustainable earnings power.
  • TECHNICALS — RSI, MACD, and moving average data unavailable for this period; momentum cannot be independently confirmed.
  • 52-WEEK POSITION — The 52-week high/low range is not available, making it impossible to assess whether the current price is near its cycle top or bottom from a technical perspective....

The net margin of -256.6% — note this figure may be distorted due to a one-time item or data anomaly — indicates the company is significantly unprofitable on a trailing twelve-month basis, which is typical for a pre-revenue clinical-stage biotech. The debt/equity ratio of 0.0x reflects a clean, conservative balance sheet with no long-term debt, reducing financial distress risk from leverage. The current ratio of 15.45x indicates very strong short-term liquidity, suggesting Keros has ample cash to fund near-term operations and clinical trials. However, free cash flow is not available for analysis, making it impossible to assess the company's cash burn rate or operational cash efficiency. Overall, the financial health is conflictual — the balance sheet and liquidity are strong, but the core drug development model is cash-intensive and unprofitable, meaning the company will require ongoing access to capital markets or a partnership to sustain its pipeline.

- EARNINGS QUALITY — The reported net margin of -256.6% — note this figure may be distorted due to a one-time item or data anomaly — is outside the normal range for a pre-revenue biotech and raises questions about the reliability of reported profitability. - REVENUE DECELERATION — Revenue collapsed by -84.5% year-over-year, a severe decline that removes the limited recurring revenue base the company previously reported. - VALUATION DIVERGENCE — The P/E ratio of 2.45x is a misleading proxy for valuation, as it is mechanically depressed by a net income figure that includes non-operating distortions rather than sustainable earnings power. - TECHNICALS — RSI, MACD, and moving average data unavailable for this period; momentum cannot be independently confirmed. - 52-WEEK POSITION — The 52-week high/low range is not available, making it impossible to assess whether the current price is near its cycle top or bottom from a technical perspective.

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Full 8-section analysis includes:

Financial Health
Growth Momentum
Valuation Snapshot
Risk Flags
Sentiment & News
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Full Verdict with Confidence Rating
Last updated 1394 hours ago · Data sourced from FMP & Finnhub · Not financial advice