Disc Medicine Inc. Common Stock (IRON)

FairStock Score: 30/100 — RISKY

Key Financials

AI Analysis

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

I start with the numbers, not the story. Disc Medicine is a clinical-stage biotech with no revenue in the periods filed. In fiscal 2025, the year ended 2025-12-31, it lost $212.2 million, or $6.01 per diluted share. That was worse than the $109.4 million loss in fiscal 2024 and the $76.4 million loss in fiscal 2023. The most recent filed quarter, fiscal Q2 2026 ended 2026-06-30, showed a net loss of $59.5 million, or $1.54 per diluted share; fiscal Q1 2026 had a $63.5 million loss. So the company is not yet earning profits, and annual losses have been widening. Trailing free cash flow was negative $197.6 million, a FairStock-calculated FCF yield of -9.1% on the $2.2 billion market cap. Debt is low, with D/E 0.09, and the FairStock Altman Z-score of 14.28 suggests the balance sheet is not near bankruptcy on these inputs. But a low debt ratio does not create a moat. The business has no approved product, no revenue, and its value depends on unproven hematology candidates. At the 2026-10-13 close of $56.60, the FairStock P/E is negative and P/B is 3.37, so there is no earnings anchor for a Graham-style valuation. The FairStock score is 30/100, and Piotroski is 1/9, both weak. The Lynch category is none because it has lost money in each of the last four years. Growth is currently in losses and cash use, not revenue. For a value investor, this is speculation on science, not a bargain on proven earnings. A prudent approach would require clinical validation and a path to revenue before treating the price as supported by business fundamentals.

In plain English: Disc Medicine is a small drug company that is trying to develop treatments for blood diseases. It has no product sales yet and has lost money every year, with losses getting bigger. At $56.60, the stock looks expensive compared with its current finances because there are no profits and the company is spending a lot of cash; its value depends on future drug tests.

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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