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AGIO Agios Pharmaceuticals, Inc. - Fundamental Analysis

BEARISH
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AGIO Stock | Fundamental Analysis & Investment Insights
NASDAQ Healthcare Biotechnology
Current Price Live
$29.25
Analyst Target
$38.88
+32.9% Upside
52W High
$46.0
52W Low
$22.24

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Confidence Score
85%
Analysis Accuracy
AGIO's Advanced Deterministic Scorecard reveals severe financial distress, with a Piotroski F-Score of 1/9 indicating extreme weakness in operational and financial health. The absence of an Altman Z-Score and the company's negative profitability metrics—such as a -608.89% operating margin and -30.20% ROE—highlight deep operational inefficiencies. Despite strong revenue growth (86.1% YoY), the company remains unprofitable and generates no earnings, undermining long-term sustainability. Insider selling activity totaling $1.17M over six months further signals lack of confidence among leadership. The stock trades at a premium valuation (Price/Sales of 31.72) with no intrinsic value support, making it vulnerable to downside pressure.

Key Strengths

Strong revenue growth of 86.1% YoY indicates market traction and product demand
High current and quick ratios (11.46 and 10.53) suggest exceptional short-term liquidity
Low debt-to-equity ratio (0.03) reflects minimal financial leverage and low solvency risk
Analyst consensus recommends 'buy' with a target price of $38.88, implying upside potential
Recent quarter beat rate of 50% (2/4) shows some earnings consistency despite losses

Key Risks

Piotroski F-Score of 1/9 signals severe financial deterioration and operational failure
Negative operating margin (-608.89%) and zero profit margin indicate unsustainable business model
Insider selling by key executives (CEO, CFO, officers) reflects bearish sentiment
No dividend, no free cash flow, and no earnings growth undermine investor confidence
Stock trades at a high Price/Sales of 31.72, far above industry average, suggesting overvaluation

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