Spero Therapeutics, Inc. (SPRO) AI Stock Analysis
SPRO AI stock analysis summary
AI ResearchSpero Therapeutics, Inc. is a clinical-stage biopharmaceutical company focused on treatments for multi-drug resistant bacterial infections and rare diseases. Over the trailing twelve months, the company generated $47.0M in revenue with a net profit margin of 15.7%. However, quarterly revenue for the period ending June 30, 2026, declined 95.6% year-over-year, and the stock has fallen 52.8% year-to-date.
- Market cap
- $64.1M
- Revenue (TTM)
- $47.0M
- P/E
- 7.9x
- 1Y return
- -53.2% S&P 500 16.8%
- Avg. target
- $5.00 354.5% vs last close
Bull case
- The company's enterprise value of $24.9M is lower than its net cash balance of $48.7M as of June 30, 2026.
- The consensus analyst mean price target of $5.00 sits 354.5% above the last closing price of $1.10.
- Trailing twelve-month operating margin reached 14.1%, exceeding the 14.0% median for US-listed Healthcare peers.
Bear case
- Revenue for the quarter ended June 30, 2026, dropped 95.6% year-over-year, and analysts forecast FY2026 revenue of just $258,000.
- Free cash flow has been negative across all reported years, including -$12.6M in FY2025 and -$23.4M in FY2024.
- Shareholder dilution has been substantial, with total share count increasing by 80.4% over a 5-year period.
What Spero Therapeutics does
Spero Therapeutics, Inc. is a clinical-stage biopharmaceutical company dedicated to discovering, developing, and commercializing treatments targeting multi-drug resistant bacterial infections and rare diseases in the United States. Its pipeline includes tebipenem pivoxil hydrobromide (HBr), an oral carbapenem antibiotic for complicated urinary tract infections such as pyelonephritis in adults. It is also developing SPR206, an intravenous agent for hospital-treated Gram-negative infections, and SPR720, an oral therapy for non-tuberculous mycobacterial pulmonary disease. The company collaborates with Meiji Seika Pharma Co., Ltd. for tebipenem HBr, Everest Medicines for SPR206 across parts of Asia, and both the Bill & Melinda Gates Medical Research Institute and Vertex Pharmaceuticals Incorporated for SPR720 and SPR719.
Growth and profitability
Spero Therapeutics achieved a 5-year revenue compound annual growth rate of 44.9% from FY2020 to FY2025. Annual revenue has experienced wide swings, rising from $3.1M in FY2021 to $103.8M in FY2023, before falling to $48.0M in FY2024 and rebounding to $59.6M in FY2025. Net income was positive in FY2023 at $22.8M and in FY2025 at $8.6M, which came with a 14.4% net margin. Over the trailing twelve months, revenue was $47.0M with diluted EPS of $0.14 and an operating margin of 14.1%. In the latest quarter ended June 30, 2026, revenue dropped 95.6% year-over-year, while quarterly earnings grew 75.3%.
Balance sheet and cash flow
As of June 30, 2026, Spero Therapeutics held $50.8M in cash and short-term investments against $2.0M in total debt, resulting in net cash of $48.7M. Total assets stood at $52.8M alongside shareholders' equity of $44.2M. The company maintains strong liquidity with a current ratio of 6.12 and a debt-to-equity ratio of 0.05. Operating cash flow and free cash flow were both -$12.6M in FY2025, and operating cash flow has remained negative in each fiscal year since FY2021. Over the trailing 5-year period, the company's share count increased by 80.4%.
Valuation and performance
At a last close of $1.10 on October 16, 2026, Spero Therapeutics had a market capitalization of $64.1M and an enterprise value of $24.9M. The stock traded at a trailing P/E ratio of 7.9x, an EV-to-EBITDA of 3.8x, and a price-to-sales multiple of 1.4x. These figures compare with median metrics of 24.6x trailing P/E, 12.0x EV-to-EBITDA, and 4.1x price-to-sales across its peer group of 1056 US-listed Healthcare peers. Over the trailing year, SPRO fell 53.2%, trailing the S&P 500 (SPY) gain of 16.8%, and its 5-year return of -93.5% lagged SPY's 83.0% return.
What analysts expect
Wall Street coverage consists of 1 Strong Buy and 1 Hold rating. The mean price target is $5.00, representing a 354.5% premium over the last close of $1.10. For the fiscal year ending December 31, 2026, analysts estimate an EPS of -$0.58 and revenue of $258,000. For the next fiscal year, two analysts project EPS of -$0.10 and revenue of $0, reflecting a 100.0% decline. Spero Therapeutics beat EPS estimates in each of its last 4 quarters, with its next earnings announcement scheduled for November 12, 2026.
Key risks and what to watch
- The stock has declined 52.8% year-to-date and trades at $1.10, near its 52-week low of $1.08.
- Analyst estimates indicate revenue falling to $0 in the fiscal year following FY2026.
- With a beta of 1.50, SPRO has exhibited higher market volatility than broader equity benchmarks.
- Annual operating performance is volatile, swinging from a net income of $22.8M in FY2023 to a net loss of -$68.6M in FY2024.
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 SPRO AI stock analysis
This page is an AI-written research summary of Spero Therapeutics, Inc. (SPRO). 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: SPRO income statement, SPRO balance sheet, SPRO key metrics, SPRO analyst forecast, SPRO chart. See the SPRO stock overview for the latest quote and news.
SPRO AI stock analysis FAQ
What is Spero Therapeutics' main clinical candidate?
Central to Spero's portfolio is tebipenem pivoxil hydrobromide (HBr), an oral carbapenem-class antibiotic being evaluated for complicated urinary tract infections, including pyelonephritis in adults.
Does Spero Therapeutics pay a dividend?
No, Spero Therapeutics does not pay a dividend, as it remains a clinical-stage biotechnology company that reinvests its resources into research and development.
How much cash and debt does Spero Therapeutics have?
As of June 30, 2026, Spero Therapeutics held $50.8M in cash and short-term investments with total debt of $2.0M, resulting in a net cash position of $48.7M.
Who are Spero Therapeutics' key strategic partners?
The company has collaboration and license agreements with Meiji Seika Pharma Co., Ltd., Everest Medicines, the Bill & Melinda Gates Medical Research Institute, and Vertex Pharmaceuticals Incorporated.
When is Spero Therapeutics' next earnings report?
Spero Therapeutics is scheduled to report its next financial results on November 12, 2026.