Rapport Therapeutics Inc. Common Stock (RAPP)

FairStock Score: 26/100 — RISKY

Key Financials

AI Analysis

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

As a Buffett/Graham investor, I start with earnings. Rapport has none. In fiscal 2025, the year ended 2025-12-31, net loss was $111.5 million, or -$2.86 per diluted share; fiscal 2024, the year ended 2024-12-31, lost $78.3 million, and fiscal 2023, the year ended 2023-12-31, lost $34.8 million. In fiscal Q2 2026, the quarter ended 2026-06-30, the loss was $56.6 million, or -$1.19 per share, and no revenue was reported. Fiscal Q1 2026, the quarter ended 2026-03-31, did show $20.0 million revenue but still a $19.9 million net loss. At the 2026-10-13 close, FairStock's P/E is -9.57, P/B 3.29, ROE -39.96%, and ROCE -25.78%. Free cash flow is -$97.1 million trailing twelve months, a -7.0% FCF yield. The balance sheet has low debt (D/E 0.02) and FairStock's Altman Z is 23.16, but its Piotroski F-score is 0/9 and FairStock score is 26/100. The computed Lynch category is none, because it lost money in each of the last three years. There is no moat: no approved product, no durable revenue, no profits. The main asset is pipeline hope. The $28.99 price and $1.4 billion market cap already discount RAP-219 success. Graham would call this speculation, not investment, unless one can underwrite clinical odds and cash needs. I need evidence of tolerable safety and efficacy, a financing runway, and eventually revenue. Until then, I see a weak business with a hopeful price, not a bargain.

In plain English: Rapport Therapeutics is a small biotech developing medicines for brain disorders, mainly focal epilepsy. It has no steady profits, and losses have grown while it spends cash, so the business looks weak on today's numbers despite very low debt. At $28.99 on 2026-10-13, the price looks expensive compared with its losses and accounting value; it mostly reflects hope for future drug approval.

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