Recent News
October 2025: The FDA awarded Disc Medicine a Commissioner’s National Priority Voucher for bitopertin, accelerating its regulatory review and lifting near-term approval expectations. Early October 2025 filings reported preliminary cash, cash equivalents, and marketable securities of $615.9 million as of September 30, 2025, and outlined milestone payments tied to partnered programs. Board changes occurred in October 2025 with one director resignation. Company commentary in October also listed Phase 3 initiation and clinic-ready program acquisitions and milestone payments related to the hematology portfolio.
Technical Analysis
ADX registers 42.65, indicating a very strong trend; that strength supports continuation of the current directional move but also signals a condition that can become overextended. This trend strength ties directly to the near-term price bias.
DI+ stands at 29.72 with a dip-and-reversal trend, a bullish directional signal that underpins upward pressure on price. DI- sits at 14.84 with a peak-and-reversal trend, which also favors continued upside pressure.
MACD reads 3.59 while the signal line sits at 3.76; the MACD trend shows a dip-and-reversal, indicating returning bullish momentum, but MACD remains below its signal line and has not crossed above it, so bullish momentum shows improvement without a confirmed crossover signal.
MRO sits at 35.75 and shows a dip-and-reversal trend; the positive MRO indicates price currently sits above its regression target and suggests potential for near-term mean reversion despite momentum strength.
RSI at 65.0 and increasing reflects persistent buying pressure approaching commonly watched overbought territory, reinforcing the upward bias while implying elevated short-term pullback risk.
Price sits well above key moving averages: last close $92.60 versus the 200-day average $58.84, the 50-day average $77.26, and the 20-day average $87.80; the 12-day EMA at $88.69 trends upward. Price also trades at or slightly above the 1x Bollinger upper band ($90.74), indicating an extended move relative to recent volatility. SuperTrend lower support appears near $83.78.
Fundamental Analysis
Earnings per share registered $-1.77 versus an estimate of $-1.46, producing an EPS surprise of -21.23%. Net loss totaled $-62,321,000 while operating cash flow recorded $-61,316,000 and free cash flow $-47,825,000, reflecting ongoing burn tied to R&D investment of $50,334,000. EBIT and EBITDA stood at $-61,302,000 and $-61,215,000, respectively.
Liquidity remains a major strength: cash and short-term investments total $615,920,000 and the current ratio reads 23.45 with a cash ratio of 23.03, providing a sizable runway relative to current liabilities of $26,744,000. Total debt measures $30,977,000, representing roughly 4.91% of assets and about 5.40% of equity, indicating a low leverage profile.
Profitability metrics show negative returns: return on assets at -9.62% and return on equity at -10.87%, consistent with a clinical-stage biotech still investing ahead of commercialization. Asset growth quarter-over-quarter declined about 5.20% while certain valuation multiples shifted materially: price-to-book rose about 36.43% QoQ and about 36.52% YoY; price-to-earnings shows a QoQ change near 16.75% with a YoY change near -28.52% (negative absolute PE reflects losses). PEG ratio stands at -3.35 versus an industry peer mean near 0.07 and industry peer median near -0.03; P/B sits at 4.36, below the industry peer mean of 7.01 and below the industry peer median of 5.80.
Market capitalization registers $2,499,140,197 while enterprise value reads $1,914,197,197, a gap that reflects significant cash holdings. Free cash flow yield stands negative at -1.91% despite a year-over-year improvement. The company shows positive earnings growth over the last period at 12.03% in aggregate, but quarterly dynamics show sharp QoQ swings.
WMDST values the stock as under-valued given the combination of deep liquidity, early regulatory acceleration for the lead program, and a pipeline concentrated in hematology where clinical milestones materially affect valuation.
MOST-RECENT QUARTERLY REPORT
| REPORT PERIOD ENDING: | 2025-09-30 |
| REPORT DATE: | 2025-11-06 |
| NEXT REPORT DATE: | 2026-02-05 |
| CASH FLOW | Begin Period Cash Flow | $ 127.6 M |
| Operating Cash Flow | $ -61.32 M | |
| Capital Expenditures | $ -26.00 K | |
| Change In Working Capital | $ 6.3 M | |
| Dividends Paid | — | |
| Cash Flow Delta | $ 13.3 M | |
| End Period Cash Flow | $ 140.9 M | |
| INCOME STATEMENT | REVENUE | |
| Total Revenue | — | |
| Forward Revenue | — | |
| COSTS | ||
| Cost Of Revenue | — | |
| Depreciation | $ 87.0 K | |
| Depreciation and Amortization | $ 87.0 K | |
| Research and Development | $ 50.3 M | |
| Total Operating Expenses | $ 67.7 M | |
| PROFITABILITY | ||
| Gross Profit | — | |
| EBITDA | $ -61.22 M | |
| EBIT | $ -61.30 M | |
| Operating Income | $ -67.70 M | |
| Interest Income | $ 6.4 M | |
| Interest Expense | $ 917.0 K | |
| Net Interest Income | $ 5.5 M | |
| Income Before Tax | $ -62.22 M | |
| Tax Provision | $ 102.0 K | |
| Tax Rate | 21.0 % | |
| Net Income | $ -62.32 M | |
| Net Income From Continuing Operations | $ -62.32 M | |
| EARNINGS | ||
| EPS Estimate | $ -1.46 | |
| EPS Actual | $ -1.77 | |
| EPS Difference | $ -0.31 | |
| EPS Surprise | -21.233 % | |
| Forward EPS | $ -1.31 | |
| BALANCE SHEET | ASSETS | |
| Total Assets | $ 630.5 M | |
| Intangible Assets | — | |
| Net Tangible Assets | $ 573.4 M | |
| Total Current Assets | $ 627.2 M | |
| Cash and Short-Term Investments | $ 615.9 M | |
| Cash | $ 140.7 M | |
| Net Receivables | — | |
| Inventory | — | |
| Long-Term Investments | $ 840.0 K | |
| LIABILITIES | ||
| Accounts Payable | $ 7.3 M | |
| Short-Term Debt | — | |
| Total Current Liabilities | $ 26.7 M | |
| Net Debt | — | |
| Total Debt | $ 31.0 M | |
| Total Liabilities | $ 57.1 M | |
| EQUITY | ||
| Total Equity | $ 573.4 M | |
| Retained Earnings | $ -449.65 M | |
| VALUATION & PER-SHARE METRICS | EQUITY & PER-SHARE METRICS | |
| Book Value Per-Share | $ 16.38 | |
| Shares Outstanding | 35.007 M | |
| Revenue Per-Share | — | |
| VALUATION | Market Capitalization | $ 2.5 B |
| Enterprise Value | $ 1.9 B | |
| Enterprise Multiple | -31.27 | |
| Enterprise Multiple QoQ | 26.197 % | |
| Enterprise Multiple YoY | 2.02 % | |
| Enterprise Multiple IPRWA | high: 52.77 median: 26.559 mean: 3.846 IRON: -31.27 low: -80.476 |
|
| EV/R | — | |
| CAPITAL STRUCTURE | ||
| Asset To Equity | 1.1 | |
| Asset To Liability | 11.048 | |
| Debt To Capital | 0.051 | |
| Debt To Assets | 0.049 | |
| Debt To Assets QoQ | 5.679 % | |
| Debt To Assets YoY | 32653.333 % | |
| Debt To Assets IPRWA | high: 1.045 mean: 0.214 median: 0.075 IRON: 0.049 low: 0.0 |
|
| Debt To Equity | 0.054 | |
| Debt To Equity QoQ | 7.289 % | |
| Debt To Equity YoY | 33662.5 % | |
| Debt To Equity IPRWA | high: 1.395 mean: 0.194 median: 0.09 IRON: 0.054 low: -0.869 |
|
| PRICE-BASED VALUATION | ||
| Price To Book (P/B) | 4.359 | |
| Price To Book QoQ | 36.431 % | |
| Price To Book YoY | 36.519 % | |
| Price To Book IPRWA | high: 18.42 mean: 7.006 median: 5.8 IRON: 4.359 low: -8.555 |
|
| Price To Earnings (P/E) | -40.334 | |
| Price To Earnings QoQ | 16.747 % | |
| Price To Earnings YoY | -28.524 % | |
| Price To Earnings IPRWA | high: 56.753 mean: -3.596 median: -11.636 IRON: -40.334 low: -93.179 |
|
| PE/G Ratio | -3.354 | |
| Price To Sales (P/S) | — | |
| Price To Sales QoQ | — | |
| Price To Sales YoY | — | |
| Price To Sales IPRWA | — | |
| FORWARD MULTIPLES | ||
| Forward P/E | -44.858 | |
| Forward PE/G | -3.73 | |
| 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: 520.898 median: 189.366 mean: 166.152 IRON: 0 low: -314.885 |
|
| CAPITAL DEPLOYMENT | ||
| Cash Conversion Ratio | — | |
| CapEx To Revenue | — | |
| CapEx To Depreciation | -0.299 | |
| CAPITAL, LIQUIDITY & COVERAGE | CAPITAL STRUCTURE | |
| Total Capital | $ 602.3 M | |
| Net Invested Capital | $ 602.3 M | |
| Invested Capital | $ 602.3 M | |
| Net Tangible Assets | $ 573.4 M | |
| Net Working Capital | $ 600.4 M | |
| LIQUIDITY | ||
| Cash Ratio | 23.03 | |
| Current Ratio | 23.451 | |
| Current Ratio QoQ | -26.96 % | |
| Current Ratio YoY | 21.131 % | |
| Current Ratio IPRWA | high: 24.687 IRON: 23.451 mean: 4.274 median: 3.195 low: 0.046 |
|
| Quick Ratio | — | |
| Quick Ratio QoQ | — | |
| Quick Ratio YoY | — | |
| Quick Ratio IPRWA | — | |
| COVERAGE & LEVERAGE | ||
| Debt To EBITDA | -0.506 | |
| Cost Of Debt | 2.341 % | |
| Interest Coverage Ratio | -66.851 | |
| Interest Coverage Ratio QoQ | 12.064 % | |
| Interest Coverage Ratio YoY | 386.689 % | |
| Interest Coverage Ratio IPRWA | high: 815.709 mean: 40.416 median: 4.326 IRON: -66.851 low: -1538.4 |
|
| Operating Cash Flow Ratio | -2.293 | |
| TIMING / LIQUIDITY | ||
| Days Payables Outstanding (DPO) | — | |
| DIVIDENDS | ||
| Dividend Coverage Ratio | — | |
| Dividend Payout Ratio | — | |
| Dividend Rate | — | |
| Dividend Yield | — | |
| PERFORMANCE | GROWTH | |
| Asset Growth Rate | -5.203 % | |
| Revenue Growth | — | |
| Revenue Growth QoQ | — | |
| Revenue Growth YoY | — | |
| Revenue Growth IPRWA | — | |
| Earnings Growth | 12.025 % | |
| Earnings Growth QoQ | -78.097 % | |
| Earnings Growth YoY | -188.471 % | |
| Earnings Growth IPRWA | high: 162.5 % IRON: 12.025 % median: -6.452 % mean: -13.185 % low: -198.545 % |
|
| 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) | $ -47.83 M | |
| Free Cash Flow Yield | -1.914 % | |
| Free Cash Flow Yield QoQ | -21.686 % | |
| Free Cash Flow Yield YoY | 64.858 % | |
| Free Cash Flow Yield IPRWA | high: 30.655 % median: 0.768 % mean: 0.318 % IRON: -1.914 % low: -53.991 % |
|
| Free Cash Growth | -0.269 % | |
| Free Cash Growth QoQ | -101.983 % | |
| Free Cash Growth YoY | -102.109 % | |
| Free Cash Growth IPRWA | high: 199.867 % mean: 28.224 % median: 21.696 % IRON: -0.269 % low: -198.468 % |
|
| Free Cash To Net Income | 0.767 | |
| Cash Flow Margin | — | |
| Cash Flow To Earnings | 0.984 | |
| VALUE & RETURNS | ||
| Economic Value Added | $ 0.04 | |
| Return On Assets (ROA) | -9.621 % | |
| Return On Assets QoQ | 19.664 % | |
| Return On Assets YoY | 81.837 % | |
| Return On Assets IPRWA | high: 30.5 % median: 0.176 % mean: -2.229 % IRON: -9.621 % low: -66.968 % |
|
| Return On Capital Employed (ROCE) | -10.154 % | |
| Return On Equity (ROE) | -0.109 | |
| Return On Equity QoQ | 20.834 % | |
| Return On Equity YoY | 91.221 % | |
| Return On Equity IPRWA | high: 0.948 median: -0.002 mean: -0.005 IRON: -0.109 low: -1.385 |
|
| DuPont ROE | — | |
| Return On Invested Capital (ROIC) | -8.04 % | |
| Return On Invested Capital QoQ | 20.522 % | |
| Return On Invested Capital YoY | -250.929 % | |
| Return On Invested Capital IPRWA | high: 26.519 % median: 4.232 % mean: -0.108 % IRON: -8.04 % low: -73.241 % |
|