TenQ

The ImmunityBio story

ImmunityBio develops cancer immunotherapies centered on ANKTIVA, with expansion into more patients and countries testing whether product revenue can catch up with clinical and commercial spending.

ImmunityBio stock reportTenQ Score 10/36 · every chart and check from its filings
  • $9.18share price, last close
  • $9.7Bmarket value
  • 10/36TenQ Score checks passed

The story in brief

  • Adoption keeps growing. Net product revenue reached $50.7 million in the quarter to June 2026, up 92% from a year earlier and 15% sequentially.
  • Expansion needs execution. ANKTIVA’s authorization footprint reached 34 countries after the July 2026 UAE decision, but regulatory access still needs to translate into commercial revenue.
  • Funding remains central. ImmunityBio reported $357.4 million in cash, cash equivalents, and marketable securities at June 30, 2026, against free cash flow of -$288 million over the last twelve months.

What drives the business

  • ImmunityBio’s strategy centers on ANKTIVA, an immunotherapy designed to activate natural killer and T cells, with commercial expansion in bladder cancer supporting a broader development pipeline across cancer types.
  • Its exclusive development and supply agreement with Japan BCG Laboratory gives it U.S. rights to develop, import, and commercialize Tokyo-172 BCG, a potential source of the treatment used alongside ANKTIVA in bladder cancer.
  • The partnership with Serum Institute of India also makes recombinant BCG available to eligible patients through an FDA Expanded Access Program.
  • Continued adoption among U.S. urologists and strong market access drove net product revenue to $94.8 million in the first half of 2026, up 121% from the first half of 2025.
  • The July 2026 UAE authorization covers ANKTIVA combinations for BCG-unresponsive non-muscle invasive bladder cancer and metastatic non-small cell lung cancer, extending the business beyond its initial U.S. bladder cancer market.

What the price assumes

At $9.77 per share and a $10.3 billion market value, the reverse DCF cannot measure an implied growth rate because free cash flow and operating earnings are both negative, leaving the valuation dependent on future profits.

Revenue grew 192.9% over the last twelve months to $166 million, but the operating margin was -151.9%.

The price-to-sales ratio of 62.4x exceeds TenQ’s under 2.5x sales check, while the free cash flow yield of -2.8% falls short of its above 3% check.

What could change the story

  • Research and development expense of $60.8 million and selling, general and administrative expense of $51.8 million each exceeded net product revenue in the quarter to June 2026, leaving substantial spending for revenue growth to absorb.
  • The quarter’s $230.4 million net loss was driven partly by noncash valuation changes in financing liabilities, but the non-GAAP adjusted net loss of $81.0 million also showed that losses extended beyond those accounting effects.
  • Negative equity and cash sufficient for 1.24 years at the measured burn rate leave ImmunityBio failing TenQ’s self-funding check despite passing its near-term liquidity check.
  • March 2026 financing added $75 million under the Oberland Capital agreement with an increased royalty payback rate, while Nant Capital converted $25 million of debt into 4.6 million shares, illustrating the obligations and dilution associated with funding expansion.
  • Broader use depends on regulatory decisions and reliable supply, since Tokyo-172 BCG remains investigational in the United States, while FDA concerns about promotional communications prompted enhanced compliance measures in April 2026.

What to watch next

  • The FDA’s January 6, 2027 action date for ANKTIVA plus BCG in papillary bladder cancer without carcinoma in situ is a key milestone for expanding the U.S. patient population.
  • ImmunityBio plans a 2026 supplemental application based on QUILT-2.005 in patients with bladder carcinoma in situ who have not received BCG, with or without papillary disease.
  • Future releases can show whether product revenue growth is narrowing adjusted losses and cash burn, and whether the $357.4 million liquidity balance reported at June 30, 2026 supports management’s stated commercial and clinical priorities.

Sources

Back to the IBRX report