Pasithea Therapeutics Corp. (KTTA) AI Stock Analysis
KTTA AI stock analysis summary
AI ResearchPasithea Therapeutics Corp. (KTTA) is a clinical-stage biotechnology company focused on psychiatric and neurological disorders. It operates with a strong cash cushion of $45.7M against a market cap of $14.0M, but reported trailing twelve months revenue of only $486,559 and an eps_ttm of -$1.59. The stock has dropped 42.5% over the past year and trades at $0.42.
- Market cap
- $14.0M
- Revenue (TTM)
- $486,559
- P/E
- —
- 1Y return
- -42.5% S&P 500 16.8%
- Avg. target
- $3.00 614.3% vs last close
Bull case
- Pasithea holds $45.7M in cash and short-term investments with a current ratio of 26.25, giving it an enterprise value of -$28.7M relative to its $14.0M market cap.
- Quarterly revenue grew 1498.1% year-over-year for the latest quarter ended June 30, 2026.
- The lone analyst price target of $3.00 implies a 614.3% premium over the last close of $0.42.
Bear case
- The company generated only $486,559 in trailing twelve months revenue while incurring an FY2023 net loss of -$16.0M.
- Share count has expanded by 511.2% over the last 5 years, resulting in substantial shareholder dilution.
- Shares have fallen 99.3% over the past 5 years and sit 36.6% below their 200-day moving average.
What Pasithea Therapeutics does
Pasithea Therapeutics Corp. is a biotechnology firm specializing in pioneering treatments for psychiatric and neurological disorders through advanced research and discovery initiatives. Founded in 2020 and based in Miami Beach, Florida, the company also plans to establish and manage anti-depression clinics, offering specialized support services that include intravenous infusions of ketamine administered by trained pharmacists. The company seeks to accelerate the development and delivery of transformative therapies through partnerships and collaborations within the healthcare community.
Growth and profitability
Revenue grew from $15,062 in FY2021 to $486,559 in FY2022 and remained flat at $486,559 in FY2023, representing a 2-year revenue CAGR of 468.4%. Operating losses have persisted, with net income worsening from -$2.2M in FY2021 to -$13.9M in FY2022 and -$16.0M in FY2023. Gross margin was -133.3% and net margin was -3280.5% in FY2023. In the latest quarter ended June 30, 2026, quarterly revenue growth was 1498.1% year-over-year, while TTM revenue stood at $486,559 with an eps_ttm of -$1.59.
Balance sheet and cash flow
As of June 30, 2026, Pasithea held $45.7M in cash and short-term investments, with total assets of $51.7M and shareholders' equity of $49.8M. Its current ratio stood at a liquid 26.25. The company's enterprise value is -$28.7M due to its cash balance exceeding its market cap. Cash burn remained significant, with free cash flow at -$13.5M in FY2023 following -$13.8M in FY2022. Additionally, the share count grew 511.2% over a 5-year period.
Valuation and performance
Pasithea carries a market cap of $14.0M and trades at a price-to-sales multiple of 42.2x, significantly higher than the 4.1x median of its US-listed Healthcare peers. Its price-to-book ratio is 0.3x, and EV-to-revenue is 277.4x. The stock has underperformed broader markets, declining 42.5% over the past year and 67.4% year-to-date, compared to a 16.8% 1-year gain for the S&P 500 (SPY). Over a 5-year period, the stock fell 99.3% versus an 83.0% gain for the S&P 500.
What analysts expect
Wall Street coverage includes 1 analyst rating KTTA as a StrongBuy, with 0 Buy, Hold, Sell, or StrongSell ratings. The mean price target is $3.00, representing 614.3% upside compared to the last close of $0.42. For the current fiscal year ending December 31, 2026, consensus estimates an EPS of -$0.76 and revenue of $0. For the next fiscal year, analysts forecast EPS of -$0.46 on revenue of $0. The next earnings date is November 12, 2026.
Key risks and what to watch
- High ongoing cash burn is evidenced by negative free cash flow of -$13.5M in FY2023.
- Analyst revenue estimates project $0 in revenue for both FY2026 and the next fiscal year.
- Heavy reliance on equity financing has driven a 511.2% 5-year increase in share count.
- Return on equity remains negative at -65.5% over the trailing twelve months.
AI-generated research summary. Written with AI from Quotelinks data as of October 16, 2026 and checked so every figure matches that data. For information only, not investment advice. Disclaimer
About this KTTA AI stock analysis
This page is an AI-written research summary of Pasithea Therapeutics Corp. (KTTA). The text was generated on October 30, 2026 from Quotelinks data as of October 16, 2026 (company profile, annual results, latest balance sheet, valuation, price performance and analyst estimates). An automatic check rejects any draft that contains a figure not found in that data. It is not investment advice; verify figures on the linked tabs before making decisions.
Related: KTTA income statement, KTTA balance sheet, KTTA key metrics, KTTA analyst forecast, KTTA chart. See the KTTA stock overview for the latest quote and news.
KTTA AI stock analysis FAQ
What does Pasithea Therapeutics do?
Pasithea Therapeutics Corp. is a biotechnology company developing treatments for psychiatric and neurological disorders. It also plans to establish and operate anti-depression clinics offering intravenous ketamine infusions.
Does KTTA pay a dividend?
No, KTTA does not pay a dividend. The company directs its capital toward research and clinical development.
How much cash does Pasithea Therapeutics have?
As of June 30, 2026, the company reported $45.7M in cash and short-term investments, supporting a current ratio of 26.25.
What are analysts' price targets for KTTA?
Wall Street analysts have an average price target of $3.00 for KTTA, which is 614.3% above its last closing price of $0.42.