Arcus Biosciences, Inc. (RCUS) AI Stock Analysis

Arcus Biosciences, Inc. is a clinical-stage biopharmaceutical firm focused on pioneering cancer therapies within the United States. Founded in 2015, the company develops treatments addressing critical unmet needs in oncology. Its pipeline includes Etrumadenant, a Phase 1b/2 dual A2a/A2b adenosine receptor antagonist, and Zimberelimab, an anti-PD-1 antibody in Phase 1b testing. It is also developing Domvanalimab, an anti-TIGIT monoclonal antibody evaluated in combination with Zimberelimab for metastatic non-small cell lung cancer. Other candidates include Quemliclustat for metastatic pancreatic cancer and AB521 for von Hippel-Lindau disease. Arcus maintains collaborations with AstraZeneca and BVF Partners L.P. to evaluate Domvanalimab alongside Imfinzi in a Phase 3 trial.

Arcus Biosciences experienced significant revenue fluctuations over recent fiscal years, moving from $383.0M in FY2021 down to $112.0M in FY2022, before reaching $258.0M in FY2024 and $247.0M in FY2025. Over the 5-year period from FY2020 to FY2025, revenue grew at a CAGR of 25.9%. Operating margins remained negative in four of the last five fiscal years, posting -156.3% in FY2025 alongside a net income of -$353.0M and R&D expenses of $523.0M. For the trailing twelve months ended June 30, 2026, revenue stood at $117.0M with an EPS of -$3.91, while quarterly revenue fell 74.4% year-over-year.

As of June 30, 2026, Arcus Biosciences held $702.0M in cash and short-term investments against total debt of $114.0M, resulting in net cash of $588.0M. The company reported total assets of $924.0M and shareholders' equity of $464.0M, supported by a current ratio of 3.82 and a debt-to-equity ratio of 0.25. Operating cash flow in FY2025 was -$482.0M, and free cash flow was -$484.0M after capital expenditures of $2.0M. Over the past five years, the company's share count increased by 67.3%.

Arcus Biosciences trades at a market capitalization of $2.82B and an enterprise value of $2.77B. Its price-to-sales multiple is 23.8x and its EV-to-revenue is 23.7x, both higher than the median of its US-listed Healthcare peers, which carries a price-to-sales multiple of 4.1x. The company's EV-to-EBITDA stands at 4.0x compared to the sector peer median of 12.0x, with a price-to-book ratio of 7.2x. Over the past year, the stock returned 33.3%, outperforming the S&P 500 (SPY) return of 16.8%, but its 5-year return of -35.7% lagged the S&P 500 return of 83.0%.

Arcus Biosciences has 11 Strong Buy, 1 Buy, and 2 Hold ratings from analysts, with no Sell or Strong Sell recommendations. The mean price target is $40.77, representing an 84.3% upside compared to the last close of $22.12 on October 16, 2026. For the fiscal year ending December 31, 2026, consensus expectations project an EPS of -$3.52 on revenue of $74.3M. For the following fiscal year, 9 analysts project revenue of $60.9M and an EPS of -$3.12. The company beat EPS estimates in 3 of the last 4 quarters, with its next earnings date scheduled for October 27, 2026.

This page is an AI-written research summary of Arcus Biosciences, Inc. (RCUS). 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.

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