Alumis (ALMS) is back in focus after releasing new Phase 3 ONWARD1 and ONWARD2 data on envudeucitinib for moderate to severe plaque psoriasis, alongside plans for a U.S. FDA New Drug Application.
See our latest analysis for Alumis.
The latest Phase 3 psoriasis data arrives after a sharp run up in Alumis’s 90 day share price return of 181.23%, while the year to date share price return of 160.97% and 1 year total shareholder return of 132.54% point to strong momentum even with a 13.12% 30 day share price pullback.
If this kind of clinical milestone has your attention, it can be useful to broaden your watchlist with other emerging healthcare names using the Simply Wall St screener for 36 healthcare AI stocks
With Alumis now valued at about US$3.0b after a very strong 12 month run, and the last close at US$23.37 sitting well below a US$38.40 analyst target, you have to ask: is this a fresh opening, or is the market already baking in future growth?
Preferred Price to Book Multiple of 9.9x: Is it justified?
At a P/B of 9.9x and a market value of about $3.0b, Alumis is priced well above the broader US pharmaceuticals industry, which sits at 2.3x, although it is below the 23.5x peer average flagged in the data.
The P/B multiple compares the company’s market value to its book value. For a clinical stage biopharma group, this is often a proxy for how the market is valuing its pipeline and future potential rather than current profits. With Alumis currently unprofitable, a P/B framework is one of the clearer ways to see what investors are willing to pay for its assets and balance sheet today.
Relative to the wider US pharmaceuticals industry, Alumis trades at a much higher P/B, which suggests investors are assigning a richer value to its autoimmune and TYK2 focused pipeline than the average company in the space. However, compared with a more focused peer set at 23.5x, its 9.9x level looks far less stretched. This underlines how concentrated enthusiasm can be around similar clinical stage stories.
See what the numbers say about this price — find out in our valuation breakdown.
Result: Price to Book ratio of 9.9x (ABOUT RIGHT)
However, that story can change quickly if key envudeucitinib or A-005 trials disappoint, or if Alumis needs heavier than expected funding to support its US$3.0b ambitions.
Find out about the key risks to this Alumis narrative.
Next Steps
The mix of excitement and caution around Alumis is clear. If you are interested, move quickly to review the full picture for yourself with 1 key reward and 3 important warning signs.
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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
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