Scholar Rock Holding Corporation (NASDAQ:SRRK) Readies For Near-Term Regulatory Catalyst After BLA Resubmission

Momentum has tilted positive around a clear near-term catalyst: a resubmitted biologics license application and related manufacturing updates, while technicals show bullish momentum tempered by an over-target momentum signal.

Recent News

On March 31, 2026 Scholar Rock resubmitted its Biologics License Application (BLA) for apitegromab to the U.S. FDA, expanding manufacturing plans to include a second U.S. fill–finish facility. On May 7, 2026 the company published first-quarter 2026 financial results that disclosed a $105.5 million net loss for the quarter and reiterated clinical progress across apitegromab and SRK-439; corporate materials published earlier in 2026 outlined strategic priorities including an IND clearance for apitegromab in FSHD and mid‑2026 initiation expectations for a Phase 2 FSHD study.

Technical Analysis

Directional indicators (ADX / DI+ / DI-): ADX registers 17.98, signaling no established trend; DI+ reads 25.95 and climbs while DI- reads 18.23 and decreases, producing a bullish directional signal that favors near-term upside potential despite the weak trend strength.

MACD: MACD sits at 0.08 with an increasing MACD_trend and the MACD above its signal line (-0.39), a bullish momentum crossover that aligns price momentum with the resubmission news and recent higher closes.

MRO (Momentum/Regression Oscillator): MRO at 21.13 (positive) indicates price trading above the internal target and therefore carries a bias toward mean reversion; the increasing MRO trend suggests the divergence from target has widened and raises the probability of a corrective move after any short-term advance.

RSI: RSI at 52.04 with an increasing trend places momentum in neutral-to-slightly-bullish territory, supporting additional upside without immediate overbought readings.

Price vs. moving averages and bands: Last close $51.27 trades above the 20‑day ($45.92), 50‑day ($47.54) and 200‑day ($42.29) averages, reflecting upward price bias; the close sits above the 1x Bollinger upper band ($48.31), signaling persistent upside momentum but also elevated reversion risk versus the internal target.

 


Fundamental Analysis

Profitability and cash flow: Quarterly net loss $-105,510,000 and operating cash flow $-106,260,000 reflect ongoing investment in development; EBIT $-103,208,000 and EBITDA $-102,873,000 remain negative. Free cash flow for the period totaled $-82,169,000, producing a free cash flow yield of approximately -1.50%.

Liquidity and capital structure: Cash $430,543,000 and cash and short‑term investments $479,944,000 provide substantial liquidity relative to total current liabilities $59,643,000; current ratio stands at 8.64 and cash ratio at 8.05, indicating ample near-term funding for operations. Total debt $205,674,000 produces debt-to-assets of 0.384 and debt-to-equity of 0.745, reflecting a modest leverage profile versus absolute cash resources.

Returns and growth: Return on assets registers -22.46% and return on equity -38.23%, reflecting loss-making operations. Reported earnings growth (QoQ) shows a -5.68% change; year-over-year earnings growth shows a larger decline (‑157.77%), consistent with continued investment and negative net income trends.

Valuation context: P/B ratio equals 19.89, which sits above the industry peer mean (7.48) and median (5.47) and approaches the industry peer high (20.61), indicating a premium to book value relative to peers. WMDST values the stock as under‑valued; the valuation judgment weighs the company’s significant liquidity and a near-term regulatory milestone against persistent operating losses and negative cash flow.

MOST-RECENT QUARTERLY REPORT
REPORT PERIOD ENDING: 2026-03-31
REPORT DATE: 2026-05-07
NEXT REPORT DATE: 2026-08-06
CASH FLOW  Begin Period Cash Flow $ 327.3 M
 Operating Cash Flow $ -106.26 M
 Capital Expenditures $ -68.00 K
 Change In Working Capital $ 84.0 K
 Dividends Paid —
 Cash Flow Delta $ 107.0 M
 End Period Cash Flow $ 434.4 M
 
INCOME STATEMENT REVENUE
 Total Revenue —
 Forward Revenue —
COSTS
 Cost Of Revenue —
 Depreciation $ 335.0 K
 Depreciation and Amortization $ 335.0 K
 Research and Development $ 51.8 M
 Total Operating Expenses $ 102.0 M
PROFITABILITY
 Gross Profit —
 EBITDA $ -102.87 M
 EBIT $ -103.21 M
 Operating Income $ -102.02 M
 Interest Income $ 2.9 M
 Interest Expense $ 2.3 M
 Net Interest Income $ 633.0 K
 Income Before Tax $ -105.51 M
 Tax Provision —
 Tax Rate —
 Net Income $ -105.51 M
 Net Income From Continuing Operations $ -105.51 M
EARNINGS
 EPS Estimate $ -0.78
 EPS Actual $ -0.83
 EPS Difference $ -0.05
 EPS Surprise -6.41 %
 Forward EPS $ -0.59
 
BALANCE SHEET ASSETS
 Total Assets $ 535.3 M
 Intangible Assets —
 Net Tangible Assets $ 276.0 M
 Total Current Assets $ 515.3 M
 Cash and Short-Term Investments $ 479.9 M
 Cash $ 430.5 M
 Net Receivables —
 Inventory —
 Long-Term Investments $ 3.8 M
LIABILITIES
 Accounts Payable $ 9.2 M
 Short-Term Debt —
 Total Current Liabilities $ 59.6 M
 Net Debt —
 Total Debt $ 205.7 M
 Total Liabilities $ 259.2 M
EQUITY
 Total Equity $ 276.0 M
 Retained Earnings $ -1.41 B
VALUATION & PER-SHARE METRICS EQUITY & PER-SHARE METRICS
 Book Value Per-Share $ 2.32
 Shares Outstanding 119.104 M
 Revenue Per-Share —
VALUATION
 Market Capitalization $ 5.5 B
 Enterprise Value $ 5.2 B
 Enterprise Multiple -50.71
Enterprise Multiple QoQ -1.084 %
Enterprise Multiple YoY 38.292 %
Enterprise Multiple IPRWA high: 75.51
median: 27.492
mean: 9.614
SRRK: -50.71
low: -126.596
 EV/R —
CAPITAL STRUCTURE
 Asset To Equity 1.939
 Asset To Liability 2.065
 Debt To Capital 0.427
 Debt To Assets 0.384
Debt To Assets QoQ 42.626 %
Debt To Assets YoY 148.015 %
Debt To Assets IPRWA high: 1.112
SRRK: 0.384
mean: 0.167
median: 0.031
low: 0.0
 Debt To Equity 0.745
Debt To Equity QoQ 67.954 %
Debt To Equity YoY 268.581 %
Debt To Equity IPRWA high: 1.864
SRRK: 0.745
mean: 0.192
median: 0.051
low: -1.172
PRICE-BASED VALUATION
 Price To Book (P/B) 19.894
Price To Book QoQ 2.377 %
Price To Book YoY 99.558 %
Price To Book IPRWA high: 20.609
SRRK: 19.894
mean: 7.477
median: 5.469
low: -11.267
 Price To Earnings (P/E) -55.545
Price To Earnings QoQ 11.136 %
Price To Earnings YoY 13.396 %
Price To Earnings IPRWA high: 74.242
mean: -1.842
median: -14.301
SRRK: -55.545
low: -121.28
 PE/G Ratio 9.776
 Price To Sales (P/S) —
Price To Sales QoQ —
Price To Sales YoY —
Price To Sales IPRWA —
FORWARD MULTIPLES
Forward P/E -72.663
Forward PE/G 12.788
Forward P/S —
EFFICIENCY OPERATIONAL
 Operating Leverage —
ASSET & SALES
 Asset Turnover Ratio —
Asset Turnover Ratio QoQ —
Asset Turnover Ratio YoY —
Asset Turnover Ratio IPRWA —
 Receivables Turnover —
Receivables Turnover Ratio QoQ —
Receivables Turnover Ratio YoY —
Receivables Turnover Ratio IPRWA —
 Inventory Turnover —
Inventory Turnover Ratio QoQ —
Inventory Turnover Ratio YoY —
Inventory Turnover Ratio IPRWA —
 Days Sales Outstanding (DSO) —
CASH CYCLE
 Cash Conversion Cycle Days (CCC) —
Cash Conversion Cycle Days QoQ —
Cash Conversion Cycle Days YoY —
Cash Conversion Cycle Days IPRWA high: 499.798
mean: 219.741
median: 208.031
SRRK: 0
low: -303.652
CAPITAL DEPLOYMENT
 Cash Conversion Ratio —
 CapEx To Revenue —
 CapEx To Depreciation -0.203
 
CAPITAL, LIQUIDITY & COVERAGE CAPITAL STRUCTURE
 Total Capital $ 472.6 M
 Net Invested Capital $ 472.6 M
 Invested Capital $ 472.6 M
 Net Tangible Assets $ 276.0 M
 Net Working Capital $ 455.6 M
LIQUIDITY
 Cash Ratio 8.047
 Current Ratio 8.639
Current Ratio QoQ 24.314 %
Current Ratio YoY -15.737 %
Current Ratio IPRWA high: 32.587
SRRK: 8.639
mean: 3.935
median: 2.409
low: 0.016
 Quick Ratio —
Quick Ratio QoQ —
Quick Ratio YoY —
Quick Ratio IPRWA —
COVERAGE & LEVERAGE
 Debt To EBITDA -1.999
 Cost Of Debt 1.463 %
 Interest Coverage Ratio -44.834
Interest Coverage Ratio QoQ 28.472 %
Interest Coverage Ratio YoY -34.281 %
Interest Coverage Ratio IPRWA high: 604.866
median: -14.753
SRRK: -44.834
mean: -77.299
low: -1643.72
 Operating Cash Flow Ratio -1.782
TIMING / LIQUIDITY
 Days Payables Outstanding (DPO) —
DIVIDENDS
 Dividend Coverage Ratio —
 Dividend Payout Ratio —
 Dividend Rate —
 Dividend Yield —
PERFORMANCE GROWTH
 Asset Growth Rate 32.399 %
 Revenue Growth —
Revenue Growth QoQ —
Revenue Growth YoY —
Revenue Growth IPRWA —
 Earnings Growth -5.682 %
Earnings Growth QoQ 155.716 %
Earnings Growth YoY -157.767 %
Earnings Growth IPRWA high: 200.0 %
median: -5.479 %
SRRK: -5.682 %
mean: -13.761 %
low: -250.0 %
MARGINS
 Gross Margin —
Gross Margin QoQ —
Gross Margin YoY —
Gross Margin IPRWA —
 EBIT Margin —
EBIT Margin QoQ —
EBIT Margin YoY —
EBIT Margin IPRWA —
 Return On Sales (ROS) —
Return On Sales QoQ —
Return On Sales YoY —
Return On Sales IPRWA —
CASH FLOW
 Free Cash Flow (FCF) $ -82.17 M
 Free Cash Flow Yield -1.496 %
Free Cash Flow Yield QoQ -5.496 %
Free Cash Flow Yield YoY -41.009 %
Free Cash Flow Yield IPRWA high: 11.709 %
median: 0.11 %
mean: -0.513 %
SRRK: -1.496 %
low: -45.34 %
 Free Cash Growth 8.793 %
Free Cash Growth QoQ -6.952 %
Free Cash Growth YoY -85.19 %
Free Cash Growth IPRWA high: 253.163 %
SRRK: 8.793 %
mean: 4.255 %
median: -16.897 %
low: -249.577 %
 Free Cash To Net Income 0.779
 Cash Flow Margin —
 Cash Flow To Earnings 1.007
VALUE & RETURNS
 Economic Value Added —
 Return On Assets (ROA) -22.46 %
Return On Assets QoQ 0.736 %
Return On Assets YoY 32.625 %
Return On Assets IPRWA high: 38.074 %
median: -8.157 %
mean: -13.724 %
SRRK: -22.46 %
low: -67.817 %
 Return On Capital Employed (ROCE) -21.7 %
 Return On Equity (ROE) -0.382
Return On Equity QoQ 3.16 %
Return On Equity YoY 59.781 %
Return On Equity IPRWA high: 0.797
median: -0.11
mean: -0.344
SRRK: -0.382
low: -1.265
 DuPont ROE —
 Return On Invested Capital (ROIC) —
Return On Invested Capital QoQ —
Return On Invested Capital YoY —
Return On Invested Capital IPRWA —

Six-Week Outlook

Technical momentum and the March 31 BLA resubmission create a near-term directional bias toward higher prices, supported by price above major moving averages and a bullish MACD crossover. Countervailing forces include a positive MRO (price above internal target) that raises reversion risk and fundamental cash burn that keeps downside vulnerability if the regulatory path stalls. Traders focused on short swing horizons should monitor volume trends (recent volume 2.19M vs. 10‑day avg 1.49M) and any FDA or manufacturing updates; absence of further positive news could permit a corrective pullback toward the 20‑day average, while confirmation of manufacturing readiness or regulatory acceptance should sustain upward momentum.

About Scholar Rock Holding Corporation

Scholar Rock Holding Corporation (NASDAQ:SRRK) develops innovative biopharmaceutical solutions targeting serious diseases influenced by protein growth factor signaling. The company advances Apitegromab, a myostatin activation inhibitor, currently undergoing Phase 3 clinical trials aimed at treating spinal muscular atrophy. Scholar Rock also progresses SRK-181, which has completed Phase 1 trials, targeting cancers resistant to checkpoint inhibitor therapies, including anti-PD-1 and anti-PD-L1 antibody therapies. Their pipeline includes potential treatments for neuromuscular disorders, cardiometabolic disorders, cancer, fibrosis, and iron-restricted anemia. Founded in 2012, Scholar Rock operates from its headquarters in Cambridge, Massachusetts, driving forward the development of novel therapeutic candidates to address unmet medical needs.



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