Editas Medicine Inc. Common Stock (EDIT)
FairStock Score: 33/100 — RISKY
Key Financials
| Current Price | $2.4 |
| Market Cap | $369M |
| P/E Ratio | -3.64 |
| ROE | -118.82% |
| Dividend Yield | —% |
| Sector | Healthcare |
AI Analysis
AI-generated, general educational analysis — not personal investment advice.
As a Buffett/Graham investor, I start with durable earnings and a margin of safety. Editas has neither today. In fiscal Q2 2026, the quarter ended 2026-06-30, revenue was $11.9 million and net income was -$18.2 million, or -$0.15 per diluted share. For fiscal year 2025, the period ended 2025-12-31, revenue was $40.5 million and net loss was $160.1 million, or -$1.80 per diluted share. Revenue did improve from $3.6 million in fiscal Q2 2025, the quarter ended 2025-06-30, but the company remains deeply unprofitable. Trailing free cash flow was -$120.5 million, a -32.1% FCF yield against the $375.5 million market cap at the 2026-10-13 close. FairStock calculations show a -3.70 P/E, 3.54 P/B, -118.82% ROE, -23.29% ROCE, Piotroski 3/9, Altman Z -7.62, and no Peter Lynch category because it lost money in each of the last four years. FairStock scores it 33/100. Low debt, with D/E of 0.15, helps, but clinical pipelines consume cash. The CRISPR platform and lead EDIT-401 program could become valuable if approved, but I cannot quantify a moat or normalize earnings from today's statements. At $2.44, within a 52-week range of $1.66-$4.33, the market is paying for future optionality rather than present fundamentals. To me, this is speculation, not a Graham bargain.
In plain English: Editas Medicine is a small experimental biotech that uses gene editing to try to make one-time treatments, including for high cholesterol. It is not profitable and is spending more cash than it brings in, though its latest quarterly revenue was higher than a year earlier. At $2.44, the price looks expensive compared with today's sales and profits because the value depends on future treatments that may or may not work.
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Data as of 2026-10-13 close · note generated 2026-10-15 · model deepseek-flash
Sources (SEC EDGAR): fiscal Q2 2026 10-Q (period ended 2026-06-30) · fiscal Q1 2026 10-Q (period ended 2026-03-31) · fiscal Q3 2025 10-Q (period ended 2025-09-30) · fiscal Q2 2025 10-Q (period ended 2025-06-30) · FY2025 10-K (period ended 2025-12-31) · FY2024 10-K (period ended 2024-12-31) · FY2023 10-K (period ended 2023-12-31)
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