Larimar Therapeutics Inc. Common Stock (LRMR)

FairStock Score: 20/100 — RISKY

Key Financials

AI Analysis

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

I start with the business: Larimar is a clinical-stage biotech with no reported revenue in any filed period. Its lead asset, CTI-1601, is in a Phase 2 OLE trial for Friedreich's ataxia. That is a lottery-ticket profile, not a compounding business. The filed numbers show net losses in fiscal 2023, 2024, and 2025: -$36.9M, -$80.6M, and -$165.7M, respectively. The loss widened sharply, and trailing free cash flow was -$156.1M, a -69.6% FCF yield against the $224.4M market cap at the 2026-10-13 close. Quarterly losses remain heavy: in fiscal Q1 2026, the quarter ended 2026-03-31, net loss was -$29.6M, and in fiscal Q2 2026, the quarter ended 2026-06-30, net loss was -$32.8M. FairStock's P/E is -1.26 and P/B is 1.77; ROE is -139.63%. Debt is low, with D/E 0.04, but low debt does not offset a cash-burning pipeline. The Piotroski F-Score is 2/9 and Altman Z-Score 0.26, both signaling financial fragility. There is no computed Lynch category because Larimar has lost money in each of the last four years. A competitive moat is unproven; any durable advantage would have to come from clinical success, patents, and rare-disease exclusivity, none of which is reflected in current financials. The stock is down near the low end of its 52-week range of $2.13 to $6.42, and the FairStock score is 20/100. As a Graham-style value investor, I see no earnings, no margin of safety from profits, and a binary clinical outcome. This is speculation on science, not a value investment.

In plain English: Larimar Therapeutics is a small clinical-stage biotech working on a treatment for Friedreich's ataxia, a rare and fatal disease. It does not yet sell any product, and it has been losing money each year, with losses growing recently. At the 2026-10-13 close of $2.16, the stock sits near the low end of its 52-week range, but there are no profits or sales to anchor a normal value, so it looks speculative rather than cheap.

The full AI analysis, bull and bear case and key monitorables are in FairStock Pro.

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