SGMO SANGAMO THERAPEUTICS, INC

Nasdaq Biological Products, (No Diagnostic Substances) DE CIK: 0001001233
AI RATING
STRONG_SELL
88% Confidence

Investment Thesis

Sangamo faces imminent solvency and liquidity crises with negative stockholders' equity of -$19.0M, current ratio of 0.70x, and annual operating cash burn of $19.3M against only $27.6M in cash reserves, providing approximately 17 months of runway. Revenue has collapsed 31.6% YoY to just $1.4M while net losses remain massive at -$31.0M, indicating a development-stage company unable to generate meaningful commercial traction and facing existential funding pressure.

Strengths

  • + Remaining cash buffer of $27.6M provides near-term runway
  • + Net losses improving YoY (-25.5% improvement in net income), suggesting cost management progress
  • + 12 Form 4 insider filings in 90 days indicates ongoing executive engagement

Risks

  • ! Negative stockholders' equity of -$19.0M indicates technical insolvency and negative book value
  • ! Current ratio of 0.70x signals acute liquidity stress with current liabilities exceeding liquid assets
  • ! Operating cash burn of -$19.3M annually with only ~17 months of cash runway before depletion
  • ! Revenue collapsing 31.6% YoY to $1.4M shows commercial failure and lack of market traction
  • ! Operating margin of -2215% and net margin of -2149% indicate unsustainable unit economics
  • ! No visible path to profitability; company dependent on capital raises or strategic transactions for survival

Key Metrics to Watch

Financial Metrics

Revenue
1.4M
Net Income
-31.0M
EPS (Diluted)
$-0.08
Free Cash Flow
-19.3M
Total Assets
60.0M
Cash
27.6M

Profitability Ratios

Gross Margin N/A
Operating Margin -2,215.4%
Net Margin -2,149.4%
ROE N/A
ROA -51.7%
FCF Margin -1,338.1%

Balance Sheet & Liquidity

Current Ratio
0.70x
Quick Ratio
0.70x
Debt/Equity
N/A
Debt/Assets
131.6%
Interest Coverage
N/A
Long-term Debt
N/A
Disclaimer: This analysis is generated by AI based on publicly available SEC EDGAR filings. It does not include stock price data and should not be considered financial advice. All fundamental data is sourced from SEC public domain filings. Always conduct your own research before making investment decisions.
Data Source: SEC EDGAR | Analysis Date: 2026-05-15T07:52:25.408931 | Data as of: 2026-03-31 | Powered by Claude AI