Latest Ratios: P/E Ratio -6.9x · EV/EBITDA N/A · ROE -45.7%. (2015–2025 historical series)
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $3.2B | $2.9B | $3.4B | $2.9B | $3.5B | $5.4B | $9.4B | $1.7B | $1.9B | $234M | — |
| Enterprise Value | $3.1B | $2.7B | $3.2B | $2.9B | $3.3B | $5.2B | $9.0B | $1.7B | $1.8B | $16M | — |
| P/E Ratio → | -6.89 | — | — | — | — | — | 132.95 | — | — | — | — |
| P/S Ratio | — | — | — | 8.92 | 32.19 | 111.38 | 28.12 | 62.43 | 14.82 | — | — |
| P/B Ratio | 3.54 | 2.86 | 2.73 | 2.86 | 3.35 | 5.63 | 8.20 | 4.22 | 3.50 | 0.50 | — |
| P/FCF | — | — | — | — | — | — | 22.85 | — | 40.96 | — | — |
| P/OCF | — | — | — | — | — | — | 22.68 | — | 38.18 | — | — |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | — | — | 8.69 | 30.73 | 106.67 | 26.82 | 62.17 | 14.22 | — | — |
| EV / EBITDA | — | — | — | — | — | — | 126.34 | — | — | — | — |
| EV / EBIT | — | — | — | — | — | — | 143.53 | — | — | — | — |
| EV / FCF | — | — | — | — | — | — | 21.79 | — | 39.30 | — | — |
Margins and return-on-capital ratios measuring operating efficiency
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | — | — | — | 100.0% | 100.0% | 100.0% | 100.0% | 100.0% | 100.0% | — | — |
| Operating Margin | — | — | — | -59.5% | -314.2% | -607.8% | 18.7% | -799.1% | -35.9% | — | — |
| Net Profit Margin | — | — | — | -43.9% | -300.6% | -597.2% | 21.2% | -740.7% | -28.1% | — | — |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | -45.7% | -45.7% | -37.4% | -14.0% | -32.5% | -27.5% | 9.2% | -42.0% | -7.2% | -24.5% | -72.5% |
| ROA | -40.7% | -40.7% | -33.4% | -11.1% | -22.8% | -19.3% | 6.6% | -32.5% | -6.3% | -23.3% | -56.3% |
| ROIC | -42.7% | -42.7% | -35.5% | -16.0% | -31.6% | -30.7% | 8.6% | -37.3% | -9.7% | -29.3% | -77.9% |
| ROCE | -47.9% | -47.9% | -41.5% | -18.1% | -32.1% | -23.1% | 6.1% | -37.5% | -8.4% | -24.5% | -59.2% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 0.04 | 0.04 | 0.04 | 0.05 | 0.06 | 0.07 | 0.06 | 0.18 | — | — | — |
| Debt / EBITDA | — | — | — | — | — | — | 0.97 | — | — | — | — |
| Net Debt / Equity | — | -0.17 | -0.10 | -0.07 | -0.15 | -0.24 | -0.38 | -0.02 | -0.14 | -0.47 | -0.16 |
| Net Debt / EBITDA | — | — | — | — | — | — | -6.15 | — | — | — | — |
| Debt / FCF | — | — | — | — | — | — | -1.06 | — | -1.65 | — | — |
| Interest Coverage | — | — | — | — | — | — | — | — | — | -46.11 | — |
Net cash position: cash ($205M) exceeds total debt ($37M)
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 9.16 | 9.16 | 8.46 | 13.65 | 3.77 | 2.37 | 20.86 | 9.48 | 14.67 | 28.92 | 19.98 |
| Quick Ratio | 9.16 | 9.16 | 8.46 | 13.65 | 3.77 | 2.37 | 20.86 | 9.48 | 14.93 | 28.95 | 19.98 |
| Cash Ratio | 8.82 | 8.82 | 8.14 | 13.27 | 3.67 | 2.29 | 20.50 | 9.16 | 14.16 | 28.68 | 19.58 |
| Asset Turnover | — | — | — | 0.29 | 0.07 | 0.03 | 0.21 | 0.05 | 0.20 | — | — |
| Inventory Turnover | — | — | — | — | — | — | — | — | — | — | — |
| Days Sales Outstanding | — | — | — | 3.78 | 31.24 | 9.20 | — | — | 24.15 | — | — |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | — | — | — | — | — | — | — | — | — | — | — |
| Payout Ratio | — | — | — | — | — | — | — | — | — | — | — |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | — | — | — | — | — | — | 0.8% | — | — | — | — |
| FCF Yield | — | — | — | — | — | — | 4.4% | — | 2.4% | — | — |
| Buyback Yield | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | — |
| Total Shareholder Yield | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | — |
| Shares Outstanding | — | $175M | $164M | $137M | $126M | $122M | $113M | $96M | $93M | $15M | $6M |
Includes 30+ ratios · 11 years · Updated daily
Live VCP patterns, Cup & Handle overlays, support/resistance, and AI trade plans.
High-probability breakout stocks crossing their pivot across 5 pattern engines.
DCF models, multiple analysis, and analyst estimates.
10-year return with dividends reinvested.
Compare growth, multiples, and margins vs sector.
Quick answers to the most common questions about buying DNLI stock.
Denali Therapeutics Inc.'s current P/E ratio is -6.9x. The historical average is 133.0x.
Denali Therapeutics Inc.'s return on equity (ROE) is -45.7%. The historical average is -29.4%.
Based on historical data, Denali Therapeutics Inc. is trading at a P/E of -6.9x. Compare with industry peers and growth rates for a complete picture.
Key Metrics
Top Statement Risk
Sustained R&D cash burn
Metrics are mathematically derived from official filings.
Deepening Losses Reflect Pipeline Investment
Denali's operating margin deteriorated from -36.2% in 2026Q2, with net losses widening to -$127.6M, according to recent financial statements, underscoring a pre-commercial cost structure dominated by R&D.
The negative operating margin, which is the only reported margin metric, reflects a business model where R&D expenses consistently exceed $90M per quarter while revenue remains negligible. This suggests that profitability metrics are not yet meaningful for valuation, as the company is in an investment phase. Investors should monitor whether pipeline milestones can eventually convert this heavy spending into revenue, but current trends indicate sustained losses.
Return on Capital Eroding as Cash Burn Accelerates
ROIC has worsened from -7.4% in 2024Q1 to -15.8% in 2026Q2, per reported figures, indicating that capital deployed is generating increasingly negative returns, typical for a clinical-stage biotech.
The declining ROIC, driven by expanding operating losses relative to a shrinking capital base, suggests that the company is not yet creating value from its invested capital. This trend is consistent with the prior finding that total assets fell from $1.6B to $1.2B over the period, reflecting capital consumption. The negative returns are expected for a pre-commercial biotech, but the magnitude of decline warrants monitoring as it implies the company is burning through its balance sheet without near-term revenue offset.
Working Capital Efficiency Masked by Pre-Commercial Stage
Asset turnover is effectively zero at 0.00, and DSO of 70 days in 2026Q2, as per financial statements, reflects negligible revenue, while DIO and DPO data are largely unavailable, limiting efficiency analysis.
The near-zero asset turnover is not a sign of operational inefficiency but rather a consequence of a pre-revenue business model where assets are primarily cash and R&D investments. The DSO figure is based on minimal receivables, so it holds little analytical weight. Investors should focus on cash burn efficiency, such as R&D spend per clinical milestone, rather than traditional working capital metrics, which are not yet meaningful.
Minimal Debt Masks Operating Leverage Risk
Denali's debt-to-equity ratio stands at 0.03, with total debt of $27.5M, according to balance sheet data, indicating negligible financial leverage, but operating leverage is high due to fixed R&D costs.
The low D/E ratio suggests the company is not reliant on debt financing, which reduces refinancing risk. However, the absence of debt means the company's risk profile is driven by its cash burn and equity funding needs. With cash dropping to $201.5M in 2026Q2 and quarterly operating losses exceeding $130M, the company may need to raise capital, which could dilute shareholders. The current leverage metrics do not capture this operational funding risk.
Liquidity Buffer Thins Despite High Current Ratio
Current ratio remains high at 8.37 in 2026Q2, but cash fell sharply from $387.6M to $201.5M in one quarter, per balance sheet data, signaling a shrinking liquidity cushion.
The high current ratio is misleading because it is driven by a large cash balance that is being consumed rapidly. The 48% quarter-over-quarter decline in cash suggests that the company's liquidity position could become strained within a few quarters if the burn rate persists. Investors should monitor the cash runway closely, as the current ratio does not reflect the sustainability of the cash position under the current spending trajectory.
Misapplied Metric: Current Ratio Overstates Safety
The current ratio is commonly misapplied to Denali as a measure of financial health, but with a cash burn of $231.5M in FCF in 2026Q2, per cash flow data, it obscures the rapid depletion of liquidity.
For a pre-commercial biotech, the current ratio is not a reliable indicator of solvency because it does not account for the rate of cash consumption. A high current ratio can give a false sense of security when the company is burning through cash at an accelerating pace. Instead, investors should use the cash runway metric, which estimates how long the company can fund operations at current burn rates, to assess liquidity risk. This metric would provide a more accurate picture of Denali's financial staying power.