Day One Biopharmaceuticals Inc. Common Stock (DAWN)

FairStock Score: 45/100 — MIXED

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

As a value investor, I look for a durable business bought at a sensible price. Day One is a commercial-stage biopharmaceutical company focused on childhood and adult diseases, with tovorafenib as its lead product. In the fourth quarter of 2025, it recorded revenue of $53.7 million but a net loss of $21.3 million, a -39.61% net margin. That tells me the product is selling, but the company is not yet self-sustaining. The moat is not visible in these numbers. Biotech moats come from patents, clinical data, regulatory exclusivity, and commercial execution; the snapshot gives no proof of durable pricing power. Financial health is mixed: debt is negligible at a D/E of 0.01 and the Altman Z-Score is 19.13, yet trailing free cash flow is -$107.6 million, an FCF yield of -4.8%. ROE is -22.74% and ROCE is -14.64%. The Piotroski F-Score is 3/9, which is weak. Valuation is not Graham cheap. At the close on 2026-04-24, the price was $21.53, the top of its 52-week range of $6.90-$21.53, with a $2.2 billion market cap. The P/E is -20.70 and P/B is 5.03. FairStock scores it 45/100. The Lynch category is none because only 0 years of filed results are available and three are needed. The provided beta is -1.75, which is unusual but not a margin of safety. Growth is promising but speculative. I would want evidence that revenue ramps and cash burn ends before calling this a bargain.

In plain English: Day One Biopharmaceuticals is a drug company that makes medicines for children and adults, including a treatment for a childhood brain tumor. The business is selling more medicine but still loses money and spends more cash than it takes in, though it has almost no debt. At $21.53, the price looks expensive compared with current profits because there are no profits yet.

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Data as of 2026-04-24 close · note generated 2026-10-15 · model deepseek-flash

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer