ADAG
BULLISH
$4.13
Live
Adagene Inc. · NASDAQ
Target $8.0
(+93.7%)
$1.3
52W Range
$4.58
At a glance
Key valuation, profitability, growth, and risk metrics.
Updated Mar 14, 2026
Market cap
$194.65M
P/E
N/A
ROE
-63.3%
Profit margin
N/A
Debt/Equity
0.18
Dividend yield
N/A
AI Analysis
AI-powered fundamental assessment
Confidence
85%
ADAG's Piotroski F-Score of 4/9 indicates weak financial health, with negative profitability and high operating losses, but the company shows strong earnings surprise momentum and improving Q/Q EPS growth. Despite a lack of Altman Z-Score and Graham Number, the stock trades at a premium valuation (Price/Sales: 1886.09) due to high growth expectations in a sector with elevated average revenue growth. Insider sentiment is neutral, and analyst target price suggests significant upside potential. The recent 1-year return of +109.6% and strong quarterly beat rate support a bullish technical and earnings narrative.
Key Strengths
Strong earnings surprise history with 3 out of last 4 quarters beating estimates by an average of 39.09%
Improving Q/Q EPS growth of +58.3% and year-over-year EPS growth of +40.0%
High gross margin of 100.0% indicating strong product-level pricing power or low cost structure
Positive technical trend (10/100) and strong recent price momentum (1M: +33.2%, 1W: +45.4%)
Analyst target price of $8.00 implies ~92% upside from current price of $4.13
Key Risks
Piotroski F-Score of 4/9 signals weak financial health, with negative ROE (-63.26%), ROA (-24.89%), and operating margin (-32,283.60%)
No positive operating cash flow or free cash flow; high reliance on external financing
Price/Sales ratio of 1886.09 is extremely elevated, indicating extreme growth premium
No dividend and zero payout ratio; no income generation for investors
Lack of Altman Z-Score and insufficient financial health metrics raise long-term solvency concerns
AI Fair Value Estimate
Based on comprehensive analysis
$6.25
+51.3% above current price
Performance Snowflake
Multi-dimensional analysis across 5 key categories
Overall
44
Moderate
35
85
68
30
0
AI Verdict
cautiously optimistic
Key drivers: Strong earnings beat rate and improving EPS growth, High sector-wide growth expectations, Significant price momentum and technical strength
Confidence
85%
Value
35/100
Ref P/E, PEG, Graham Number
Positives
- High gross margin suggests potential for future profitability
- Analyst target price implies strong upside
Watchpoints
- Price/Sales of 1886.09 is unsustainable without massive revenue growth
- No Graham Number or intrinsic value due to negative earnings and no dividends
- Extremely high valuation relative to peers and sector average
Future
85/100
Ref Growth rates
Positives
- Consistent earnings surprises (avg +39.09%)
- Improving Q/Q EPS growth (+58.3%)
- High revenue growth expectations in biotech sector
Watchpoints
- No forward P/E or PEG available; growth not validated by earnings
- Negative operating margin indicates ongoing losses
Past
68/100
Ref Historical trends
Positives
- Three of last four quarters beat earnings estimates
- Most recent quarter showed +58.3% EPS beat
- Positive 1-year return (+109.6%) and 6-month return (+84.4%)
Watchpoints
- Historical losses with negative ROE and ROA
- Two quarters with significant negative surprises (e.g., -88.2%)
Health
30/100
Ref Altman Z-Score, Piotroski F-Score
Positives
- Current ratio of 2.29 and quick ratio of 2.20 indicate strong short-term liquidity
- Debt/Equity of 0.18 is low, suggesting conservative leverage
Watchpoints
- Piotroski F-Score of 4/9 is below threshold for financial stability
- Negative ROE, ROA, and operating margin signal deep profitability issues
- No Altman Z-Score available; potential distress risk due to negative earnings
Dividend
0/100
Ref Yield, Payout
Positives
No standout positives identified.
Watchpoints
- No dividend yield or payout ratio
- Dividend strength score of 0/100
Stock Price & Analyst Targets
Real-time price movements and analyst price targets
Current Price
$4.13
Analyst Target
$8.0
Upside/Downside
+93.7%
Multi-Horizon Performance vs Peers
Price momentum across 5Y → 1W horizons for ADAG and closest competitors.
Updated 2026-03-13
| Company | 5Y | 3Y | 1Y | 6M | 1M | 1W |
|---|---|---|---|---|---|---|
|
ADAG
Adagene Inc.
Primary
|
-81.2% | +188.8% | +109.6% | +84.4% | +33.2% | +45.4% |
|
ACB
Aurora Cannabis Inc.
Peer
|
-96.9% | -52.9% | -20.2% | -29.6% | -0.3% | -2.3% |
|
KRMD
KORU Medical Systems, Inc.
Peer
|
+27.2% | +4.2% | +84.7% | -1.9% | -6.7% | -2.5% |
|
ARCT
Arcturus Therapeutics Holdings Inc.
Peer
|
-87.2% | -57.7% | -51.9% | -61.4% | -9.7% | -6.0% |
|
ANIK
Anika Therapeutics, Inc.
Peer
|
-62.2% | -47.2% | -6.6% | +63.8% | +38.5% | +0.6% |
ADA
Adagene Inc.
Primary
5Y
-81.2%
3Y
+188.8%
1Y
+109.6%
6M
+84.4%
1M
+33.2%
1W
+45.4%
ACB
Aurora Cannabis Inc.
Peer
5Y
-96.9%
3Y
-52.9%
1Y
-20.2%
6M
-29.6%
1M
-0.3%
1W
-2.3%
KRM
KORU Medical Systems, Inc.
Peer
5Y
+27.2%
3Y
+4.2%
1Y
+84.7%
6M
-1.9%
1M
-6.7%
1W
-2.5%
ARC
Arcturus Therapeutics Holdings Inc.
Peer
5Y
-87.2%
3Y
-57.7%
1Y
-51.9%
6M
-61.4%
1M
-9.7%
1W
-6.0%
ANI
Anika Therapeutics, Inc.
Peer
5Y
-62.2%
3Y
-47.2%
1Y
-6.6%
6M
+63.8%
1M
+38.5%
1W
+0.6%
Positive values indicate cumulative gains over the specified period. Comparables pulled from the same sector to highlight whether momentum is stock-specific or industry-wide.
Historical Performance Trends
Long-term financial metrics and growth patterns
Revenue & Net Income
Profit & Operating Margins
Return on Equity (ROE)
Quarterly Revenue Growth
Historical data shows last 12 quarters (3 years)
Valuation Metrics
Key valuation ratios and pricing indicators
P/E Ratio
N/A
Forward P/E
-5.74
PEG Ratio
N/A
P/B Ratio
5.14
P/S Ratio
1886.09
EV/Revenue
1815.21
EV/EBITDA
-5.72
Market Cap
$194.65M
Profitability
Profit margins and return metrics
Profit Margin
N/A
Operating Margin
-32283.6%
Gross Margin
100.0%
ROE
-63.26%
ROA
-24.89%
Growth
Revenue and earnings growth rates
Revenue Growth
N/A
Earnings Growth
N/A
Q/Q Revenue Growth
N/A
Q/Q Earnings Growth
N/A
Financial Health
Balance sheet strength and liquidity metrics
Debt/Equity
0.18
Low debt
Current Ratio
2.29
Strong
Quick Ratio
2.2
Excellent
Cash/Share
$1.07
Financial Statement Flow
Interactive flow visualization showing how money moves through the company Q2 2025
Total Assets
$0.1B
Liabilities
$0.0B
Equity
$0.0B
Debt/Equity
0.75x
Quarterly Earnings History
EPS performance vs analyst estimates
2023-04-28
$-0.15
+58.3% surprise
2022-11-03
$-0.36
2022-08-30
$-0.34
+35.9% surprise
2022-04-25
$-0.25
+23.1% surprise
Healthcare Sector Comparison
Comparing ADAG against 393 companies in the Healthcare sector
(24 bullish, 129 neutral, 240 bearish)
Return on Equity (ROE)
-63.26%
This Stock
vs
-101.52%
Sector Avg
-37.7%
(Below Avg)
Debt to Equity
0.18
This Stock
vs
3.4
Sector Avg
-94.7%
(Less Debt)
Current Ratio
2.29
This Stock
vs
4.56
Sector Avg
-49.7%
(Weaker)
Similar Companies
Peer comparison within the same industry
| Company | AI Rating | Market Cap | P/E | ROE | Profit Margin | Price | |
|---|---|---|---|---|---|---|---|
|
ADAG
Adagene Inc.
|
BULLISH | $194.65M | - | -63.3% | -% | $4.13 | |
|
ACB
Aurora Cannabis Inc.
|
BEARISH | $194.51M | - | -15.5% | -22.5% | $3.43 | Compare |
|
KRMD
KORU Medical Systems, Inc.
|
NEUTRAL | $195.82M | - | -15.6% | -6.4% | $4.21 | Compare |
|
ARCT
Arcturus Therapeutics Holdings Inc.
|
BEARISH | $189.87M | - | -28.9% | -80.2% | $6.68 | Compare |
|
ANIK
Anika Therapeutics, Inc.
|
BEARISH | $204.78M | - | -6.7% | -9.6% | $14.2 | Compare |
ADAG
Adagene Inc.
BULLISH
Mkt Cap
$195M
P/E
-
ROE
-63.3%
Price
$4.13
Wall Street Analysts
Professional analyst ratings and price targets
Consensus
NONE
5 analysts
Guggenheim
2025-11-24
Buy
LUCID CAPITAL MARKETS
2025-09-18
Buy
Past News Coverage
Recent headlines mentioning ADAG from our newsroom.
Newest → oldest
No matching news yet.