Keros Therapeutics, Inc (NASDAQ:KROS) Poised For Near-Term Upside On Clinical Progress And Strong Cash

Keros shows signs of short-term bullish momentum driven by clinical updates and a cash position that exceeds market capitalization; valuation still classifies the company as over-valued by WMDST.

Recent News

Aug 3, 2026 — Keros reported second-quarter 2026 financial results and a business update, noting initiation of a Phase 2 trial for rinvatercept in Duchenne muscular dystrophy and clinical activity observed in earlier studies. Jun 25, 2026 — the company appointed Anne Prener to its board of directors. Jun 1, 2026 — Keros announced participation at the Goldman Sachs 47th Annual Global Healthcare Conference. Jul 30, 2026 — Keros announced it will receive a development milestone payment from a partner.

Technical Analysis

Directional indicators: ADX registers 22.87, indicating an emerging trend strength; DI+ registers 22.98 with a peak-and-reverse, which signals renewed bearish pressure; DI- registers 14.03 with a peak-and-reverse, which signals renewed bullish pressure. Those opposing DI signals, together with ADX at 22.87, suggest short-term directional swings rather than a clear long-term trend.

MACD and signal: MACD stands at 0.05 with the MACD line having dipped and reversed above the signal line at -0.02, which constitutes a bullish momentum signal that supports upward price bias in the near term.

MRO: Momentum/Regression Oscillator registers -16.1, indicating the price sits below the model target and therefore carries measurable potential to increase; the negative MRO implies upside potential toward target levels.

RSI: RSI at 49.43 with a dip-and-reversal indicates regained upward momentum without overbought conditions, supporting a constructive short-term price environment.

Price vs moving averages and cloud: The close at $11.03 sits above the 20-day average ($10.68), 50-day average ($10.67), and recent short EMAs (12-day EMA $10.73, 26-day EMA $10.65), while remaining below the 200-day average ($13.93). Ichimoku readings place Senkou A at $11.09 and Senkou B at $10.95, leaving price slightly below the cloud’s upper boundary and above its lower boundary; that configuration supports near-term upside but leaves longer-term resistance at the 200-day average.

Bollinger bands and support: Price sits inside the 1x standard deviation band (upper $11.11 / lower $10.25) and above the SuperTrend lower at $9.82, indicating constrained intraday volatility but defined support near $9.82–$10.25.

Volume and volatility: Intraday volume at 153,223 falls below the 10-day average (200,932), 50-day average (259,012), and 200-day average (472,577), which lowers conviction behind recent directional moves. 42-day volatility and 52-week volatility both register 0.03, consistent with a low-to-moderate realized volatility environment.

 


Fundamental Analysis

Earnings and cash-flow: Keros reported EPS of -$1.45 versus an estimate of -$1.24, a negative surprise of -$0.21 or -16.94%. EBIT registered -$30,937,000 and EBITDA registered -$30,535,000 for the period. Operating cash flow registered -$27,985,000, free cash flow reached -$20,576,000, and free cash flow represented 71.67% of net loss, indicating a substantial but partially cash-based cash-burn profile.

Cash, capitalization, and enterprise value: Cash and short-term investments total $257,606,000 against a market capitalization of $218,394,097; enterprise value registers negative at -$23,487,903, reflecting cash in excess of market cap and implying that the market values net cash alongside pipeline risk.

Balance-sheet ratios and leverage: Current ratio stands at 21.96 and cash ratio at 21.20, reflecting ample near-term liquidity; total debt measures $15,724,000 with debt-to-assets at 5.47% and debt-to-equity at 5.99%, indicating minimal leverage relative to capital structure.

Revenue, R&D, and growth metrics: YoY revenue growth registers -94.89% while quarter-to-quarter revenue change effectively shows no growth; research and development expense reached $22,331,000, consistent with a development-stage operating model focused on advancing clinical programs. Earnings growth shows YoY decline, while QoQ metrics register mixed movement.

Market multiples and peer comparisons: Price-to-book at 0.83 falls well below the industry peer mean of 8.39 and industry peer median of 6.33 within an industry peer range from -9.25 to 18.33. Price-to-earnings and forward P/E remain negative, reflecting continued operating losses. Enterprise multiple registers 0.77, which contrasts with the industry peer mean of 19.86, driven largely by the company’s net cash position rather than earnings performance.

Valuation view: The current valuation as determined by WMDST: over-valued. That valuation reflects the gap between robust cash resources and continued operating losses plus compressed near-term revenue trends.

MOST-RECENT QUARTERLY REPORT
REPORT PERIOD ENDING: 2026-06-30
REPORT DATE: 2026-08-03
NEXT REPORT DATE: 2026-11-02
CASH FLOW  Begin Period Cash Flow $ 282.9 M
 Operating Cash Flow $ -27.98 M
 Capital Expenditures $ -155.00 K
 Change In Working Capital $ 1.9 M
 Dividends Paid —
 Cash Flow Delta $ -23.89 M
 End Period Cash Flow $ 259.1 M
 
INCOME STATEMENT REVENUE
 Total Revenue —
 Forward Revenue —
COSTS
 Cost Of Revenue —
 Depreciation $ 402.0 K
 Depreciation and Amortization $ 402.0 K
 Research and Development $ 22.3 M
 Total Operating Expenses $ 30.9 M
PROFITABILITY
 Gross Profit —
 EBITDA $ -30.54 M
 EBIT $ -30.94 M
 Operating Income $ -30.94 M
 Interest Income —
 Interest Expense —
 Net Interest Income —
 Income Before Tax $ -28.71 M
 Tax Provision —
 Tax Rate —
 Net Income $ -28.71 M
 Net Income From Continuing Operations $ -28.71 M
EARNINGS
 EPS Estimate $ -1.24
 EPS Actual $ -1.45
 EPS Difference $ -0.21
 EPS Surprise -16.935 %
 Forward EPS $ -1.65
 
BALANCE SHEET ASSETS
 Total Assets $ 287.6 M
 Intangible Assets —
 Net Tangible Assets $ 262.3 M
 Total Current Assets $ 266.9 M
 Cash and Short-Term Investments $ 257.6 M
 Cash $ 257.6 M
 Net Receivables —
 Inventory —
 Long-Term Investments $ 1.4 M
LIABILITIES
 Accounts Payable $ 1.8 M
 Short-Term Debt —
 Total Current Liabilities $ 12.2 M
 Net Debt —
 Total Debt $ 15.7 M
 Total Liabilities $ 25.3 M
EQUITY
 Total Equity $ 262.3 M
 Retained Earnings $ -534.18 M
VALUATION & PER-SHARE METRICS EQUITY & PER-SHARE METRICS
 Book Value Per-Share $ 13.23
 Shares Outstanding 19.827 M
 Revenue Per-Share —
VALUATION
 Market Capitalization $ 218.4 M
 Enterprise Value $ -23.49 M
 Enterprise Multiple 0.769
Enterprise Multiple QoQ 40.16 %
Enterprise Multiple YoY -65.49 %
Enterprise Multiple IPRWA high: 148.972
median: 38.141
mean: 19.86
KROS: 0.769
low: -178.99
 EV/R —
CAPITAL STRUCTURE
 Asset To Equity 1.096
 Asset To Liability 11.377
 Debt To Capital 0.057
 Debt To Assets 0.055
Debt To Assets QoQ 4.672 %
Debt To Assets YoY 130.578 %
Debt To Assets IPRWA high: 0.833
mean: 0.281
median: 0.223
KROS: 0.055
low: 0.0
 Debt To Equity 0.06
Debt To Equity QoQ 4.955 %
Debt To Equity YoY 135.984 %
Debt To Equity IPRWA high: 1.719
mean: 0.307
median: 0.098
KROS: 0.06
low: -0.777
PRICE-BASED VALUATION
 Price To Book (P/B) 0.833
Price To Book QoQ -5.336 %
Price To Book YoY 0.694 %
Price To Book IPRWA high: 18.326
mean: 8.386
median: 6.334
KROS: 0.833
low: -9.25
 Price To Earnings (P/E) -7.596
Price To Earnings QoQ -27.797 %
Price To Earnings YoY -59.273 %
Price To Earnings IPRWA high: 160.554
median: 40.973
mean: 20.569
KROS: -7.596
low: -176.575
 PE/G Ratio -0.383
 Price To Sales (P/S) —
Price To Sales QoQ —
Price To Sales YoY —
Price To Sales IPRWA —
FORWARD MULTIPLES
Forward P/E -7.153
Forward PE/G -0.361
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: 564.313
median: 244.94
mean: 168.335
KROS: 0
low: -329.732
CAPITAL DEPLOYMENT
 Cash Conversion Ratio —
 CapEx To Revenue —
 CapEx To Depreciation -0.386
 
CAPITAL, LIQUIDITY & COVERAGE CAPITAL STRUCTURE
 Total Capital $ 262.3 M
 Net Invested Capital $ 262.3 M
 Invested Capital $ 262.3 M
 Net Tangible Assets $ 262.3 M
 Net Working Capital $ 254.7 M
LIQUIDITY
 Cash Ratio 21.197
 Current Ratio 21.96
Current Ratio QoQ -2.897 %
Current Ratio YoY 4.007 %
Current Ratio IPRWA high: 31.351
KROS: 21.96
mean: 4.797
median: 3.163
low: 0.34
 Quick Ratio —
Quick Ratio QoQ —
Quick Ratio YoY —
Quick Ratio IPRWA —
COVERAGE & LEVERAGE
 Debt To EBITDA -0.515
 Cost Of Debt 0.059 %
 Interest Coverage Ratio -3093.7
Interest Coverage Ratio QoQ 19.554 %
Interest Coverage Ratio YoY -22.302 %
Interest Coverage Ratio IPRWA high: 533.0
mean: 42.178
median: 2.337
low: -1501.103
KROS: -3093.7
 Operating Cash Flow Ratio -2.303
TIMING / LIQUIDITY
 Days Payables Outstanding (DPO) —
DIVIDENDS
 Dividend Coverage Ratio —
 Dividend Payout Ratio —
 Dividend Rate —
 Dividend Yield —
PERFORMANCE GROWTH
 Asset Growth Rate -7.907 %
 Revenue Growth -4.675 %
Revenue Growth QoQ -0.0 %
Revenue Growth YoY -94.885 %
Revenue Growth IPRWA high: 278.717 %
mean: 15.344 %
median: 11.617 %
KROS: -4.675 %
low: -242.388 %
 Earnings Growth 19.835 %
Earnings Growth QoQ -51.263 %
Earnings Growth YoY -116.393 %
Earnings Growth IPRWA high: 185.714 %
KROS: 19.835 %
median: 13.636 %
mean: 10.746 %
low: -220.0 %
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) $ -20.58 M
 Free Cash Flow Yield -9.422 %
Free Cash Flow Yield QoQ 557.043 %
Free Cash Flow Yield YoY 81.437 %
Free Cash Flow Yield IPRWA high: 13.067 %
median: 0.852 %
mean: 0.546 %
KROS: -9.422 %
low: -26.527 %
 Free Cash Growth 471.238 %
Free Cash Growth QoQ -642.488 %
Free Cash Growth YoY -496.355 %
Free Cash Growth IPRWA KROS: 471.238 %
high: 175.34 %
mean: 20.27 %
median: 1.424 %
low: -249.171 %
 Free Cash To Net Income 0.717
 Cash Flow Margin —
 Cash Flow To Earnings 0.975
VALUE & RETURNS
 Economic Value Added —
 Return On Assets (ROA) -9.572 %
Return On Assets QoQ 31.285 %
Return On Assets YoY 140.382 %
Return On Assets IPRWA high: 20.575 %
median: 0.317 %
mean: -4.025 %
KROS: -9.572 %
low: -44.847 %
 Return On Capital Employed (ROCE) -11.232 %
 Return On Equity (ROE) -0.109
Return On Equity QoQ 31.867 %
Return On Equity YoY 152.015 %
Return On Equity IPRWA high: 0.462
median: 0.006
mean: -0.103
KROS: -0.109
low: -0.887
 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

Near-term technical bias favors upside: MACD crossed above its signal, RSI turned upward from a dip, and the close sits above short-term moving averages, collectively supporting a constructive short-term price bias. MRO’s negative reading further indicates upside potential as price sits below model target. Countervailing forces include price below the 200-day average, low volume relative to moving averages, and a valuation labeled over-valued by WMDST, which may cap sustained rallies without additional fundamental catalysts.

For swing horizons, monitor clinical-news flow and upcoming reports: positive clinical or partner-milestone headlines would likely amplify the current bullish technical signals, while absence of follow-through or materially weaker-than-expected operating metrics could reassert downward pressure toward structural support near $9.82–$10.25.

About Keros Therapeutics, Inc.

Keros Therapeutics, Inc. (NASDAQ:KROS) develops and commercializes innovative therapeutics targeting disorders associated with dysfunctional signaling of the transforming growth factor-beta family of proteins. Headquartered in Lexington, Massachusetts, this clinical-stage biopharmaceutical company advances its lead product candidate, KER-050, aimed at treating cytopenias, including anemia and thrombocytopenia, particularly in patients with myelodysplastic syndromes and myelofibrosis. Keros Therapeutics also progresses with KER-012, currently in Phase II clinical trials, designed to address pulmonary arterial hypertension and cardiovascular disorders. Additionally, KER-065 enters Phase I clinical trials targeting obesity and neuromuscular diseases. The company collaborates with Hansoh (Shanghai) Healthtech Co., Ltd., enhancing its capabilities to develop, manufacture, and commercialize KER-050 and related licensed products. Founded in 2015, Keros Therapeutics commits to advancing its pipeline and addressing unmet medical needs through targeted therapeutic development.



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