Entrada Therapeutics, Inc. (TRDA) AI Stock Analysis
TRDA AI stock analysis summary
AI ResearchEntrada Therapeutics, Inc. (TRDA) is a biotechnology company developing treatments for neuromuscular diseases using its endosomal escape vehicle platform. After generating revenue of $210.8M in FY2024, revenue fell 87.9% to $25.4M in FY2025, resulting in a net income of -$143.8M. The company maintains a strong liquidity position with $223.0M in cash and short-term investments as of June 30, 2026.
- Market cap
- $170.2M
- Revenue (TTM)
- $4.7M
- P/E
- —
- 1Y return
- -29.3% S&P 500 16.8%
- Avg. target
- $19.00 334.8% vs last close
Bull case
- The balance sheet remains well capitalized with $223.0M in cash and short-term investments and a strong current ratio of 10.89 as of June 30, 2026.
- Analyst sentiment is positive with 7 Strong Buy ratings and an average price target of $19.00.
- Forecasts project revenue growth of 87.9% to reach $22.9M in the next fiscal year.
Bear case
- Revenue fell 87.9% in FY2025 to $25.4M, resulting in a net income of -$143.8M.
- The company generated negative free cash flow of -$129.6M in FY2025 amid elevated R&D spending of $142.3M.
- The stock has dropped 57.5% year-to-date and sits 51.7% below its 200-day average.
What Entrada Therapeutics does
Entrada Therapeutics, Inc. is a biotechnology company dedicated to advancing therapies for neuromuscular diseases. Utilizing its endosomal escape vehicle (EEV) platform, the company creates therapeutic programs based on oligonucleotides, antibodies, and enzymes. Its lead product candidate, ENTR-601-44, is currently in preclinical trials targeting Duchenne muscular dystrophy and myotonic dystrophy type 1. Entrada Therapeutics also develops EEV-PMO-CAG for myotonic dystrophy type 1. Originally named CycloPorters, Inc., the company rebranded in October 2017. Established in 2016 and based in Boston, Massachusetts, the firm employs 152 people.
Growth and profitability
Entrada Therapeutics has experienced sharp revenue variability over recent fiscal periods. Revenue expanded from $25.3M in FY2022 to $129.0M in FY2023, before climbing to $210.8M in FY2024. However, FY2025 revenue fell 87.9% to $25.4M, resulting in a 3-year revenue CAGR of 0.2%. Profitability mirrored this pattern, posting net income of $65.6M in FY2024 with an operating margin of 22.3%, but dropping to a net income of -$143.8M and an operating margin of -613.7% in FY2025 as R&D expenses climbed to $142.3M. Over the trailing twelve months, revenue was $4.7M with an operating margin of -5007.0%, while the quarter ended June 30, 2026, saw revenue fall 53.9% year-over-year.
Balance sheet and cash flow
As of June 30, 2026, Entrada Therapeutics held $223.0M in cash and short-term investments against total debt of $48.5M, yielding net cash of $174.5M. The company maintains a current ratio of 10.89 and a debt-to-equity ratio of 0.21 on shareholders' equity of $233.4M. Operating cash flow in FY2025 was -$128.5M, while free cash flow stood at -$129.6M. Capital expenditures were $1.0M for FY2025, alongside $462,000 raised through share issuance, with the company's share count increasing 103.2% over 5 years.
Valuation and performance
Entrada Therapeutics trades at a price-to-sales multiple of 36.3x, significantly above the 4.1x median of its US-listed Healthcare peers. Its EV-to-EBITDA ratio is 1.6x compared to the peer group median of 12.0x, while its enterprise value sits at $78.6M against a market capitalization of $170.2M. Over the past year, TRDA shares fell 29.3%, lagging the S&P 500 benchmark return of 16.8%. The stock traded at $4.37 as of October 16, 2026, which is 51.7% below its 200-day average.
What analysts expect
Wall Street coverage includes 7 Strong Buy ratings and 1 Hold rating, with no Buy, Sell, or Strong Sell recommendations. The mean price target is $19.00, representing a 334.8% premium over the last close of $4.37. For the fiscal year ending December 31, 2026, analysts expect revenue of $12.2M and an EPS of -$3.79. For the next fiscal year, 6 analysts project revenue to increase 87.9% to $22.9M with an EPS of -$3.01. Entrada Therapeutics has beaten EPS estimates in 3 of the last 4 quarters, and its next earnings date is November 5, 2026.
Key risks and what to watch
- Trailing twelve-month operating margin stands at -5007.0%, reflecting ongoing operational losses.
- Dilution has been significant, evidenced by a 103.2% increase in share count over 5 years.
- The business displays high top-line volatility, with quarterly revenue dropping 53.9% year-over-year in the period ended June 30, 2026.
- Short interest represents 11.9% of float, indicating notable market skepticism.
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 TRDA AI stock analysis
This page is an AI-written research summary of Entrada Therapeutics, Inc. (TRDA). 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: TRDA income statement, TRDA balance sheet, TRDA key metrics, TRDA analyst forecast, TRDA chart. See the TRDA stock overview for the latest quote and news.
TRDA AI stock analysis FAQ
What is Entrada Therapeutics' lead product candidate?
Entrada Therapeutics is developing ENTR-601-44, which is in preclinical trials for Duchenne muscular dystrophy and myotonic dystrophy type 1.
Does Entrada Therapeutics pay a dividend?
No, Entrada Therapeutics does not pay a dividend.
What is the cash position of Entrada Therapeutics?
As of June 30, 2026, the company held $223.0M in cash and short-term investments, resulting in net cash of $174.5M after accounting for $48.5M in total debt.
When is Entrada Therapeutics' next earnings report?
The company's next earnings date is scheduled for November 5, 2026.