Latest Ratios: P/E Ratio -31.7x · EV/EBITDA N/A · ROE -33.3%. (2019–2025 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 |
|---|---|---|---|---|---|---|---|---|
| Market Cap | $4.8B | $1.1B | $587M | $320M | $526M | $1.9B | — | — |
| Enterprise Value | $4.8B | $1.0B | $571M | $283M | $297M | $1.5B | — | — |
| P/E Ratio → | -31.69 | — | — | — | — | — | — | — |
| P/S Ratio | — | — | — | — | — | — | — | — |
| P/B Ratio | 12.16 | 3.24 | 1.39 | 1.01 | 1.28 | 4.06 | — | — |
| P/FCF | — | — | — | — | — | — | — | — |
| P/OCF | — | — | — | — | — | — | — | — |
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 |
|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | — | — | — | — | — | — | — |
| EV / EBITDA | — | — | — | — | — | — | — | — |
| EV / EBIT | — | — | — | — | — | — | — | — |
| EV / FCF | — | — | — | — | — | — | — | — |
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 |
|---|---|---|---|---|---|---|---|---|
| Gross Margin | — | — | — | — | — | — | — | — |
| Operating Margin | — | — | — | — | — | — | — | — |
| Net Profit Margin | — | — | — | — | — | — | — | — |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 |
|---|---|---|---|---|---|---|---|---|
| ROE | -33.3% | -33.3% | -43.7% | -34.3% | -55.9% | -43.5% | -216.7% | — |
| ROA | -27.7% | -27.7% | -36.0% | -27.5% | -47.8% | -39.2% | -112.7% | -21.7% |
| ROIC | -27.9% | -27.9% | -39.2% | -45.9% | -124.7% | -117.2% | -2961.8% | — |
| ROCE | -31.3% | -31.3% | -42.7% | -33.9% | -52.6% | -42.6% | -133.3% | -25.2% |
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 |
|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 0.14 | 0.14 | 0.12 | 0.18 | 0.13 | 0.04 | 0.03 | — |
| Debt / EBITDA | — | — | — | — | — | — | — | — |
| Net Debt / Equity | — | -0.08 | -0.04 | -0.12 | -0.56 | -0.75 | -0.58 | — |
| Net Debt / EBITDA | — | — | — | — | — | — | — | — |
| Debt / FCF | — | — | — | — | — | — | — | — |
| Interest Coverage | — | — | — | — | -1.21 | — | — | — |
Net cash position: cash ($74M) exceeds total debt ($47M)
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 |
|---|---|---|---|---|---|---|---|---|
| Current Ratio | 10.04 | 10.04 | 9.84 | 12.26 | 9.13 | 16.02 | 8.77 | 18.59 |
| Quick Ratio | 10.04 | 10.04 | 9.84 | 12.26 | 9.13 | 16.02 | 8.77 | 18.59 |
| Cash Ratio | 9.68 | 9.68 | 9.50 | 11.94 | 8.95 | 15.81 | 8.68 | 18.32 |
| Asset Turnover | — | — | — | — | — | — | — | — |
| Inventory Turnover | — | — | — | — | — | — | — | — |
| Days Sales Outstanding | — | — | — | — | — | — | — | — |
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 |
|---|---|---|---|---|---|---|---|---|
| Dividend Yield | — | — | — | — | — | — | — | — |
| Payout Ratio | — | — | — | — | — | — | — | — |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 |
|---|---|---|---|---|---|---|---|---|
| Earnings Yield | — | — | — | — | — | — | — | — |
| FCF Yield | — | — | — | — | — | — | — | — |
| Buyback Yield | 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% | — | — |
| Shares Outstanding | — | $284M | $234M | $150M | $122M | $119M | $119M | $119M |
Includes 30+ ratios · 7 years · Updated daily
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10-year return with dividends reinvested.
Compare growth, multiples, and margins vs sector.
Quick answers to the most common questions about buying ERAS stock.
Erasca, Inc.'s current P/E ratio is -31.7x. This places it at the 50th percentile of its historical range.
Erasca, Inc.'s return on equity (ROE) is -33.3%. The historical average is -71.2%.
Based on historical data, Erasca, Inc. is trading at a P/E of -31.7x. This is at the 50th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
Key Metrics
Top Statement Risk
Cash runway under 12 months
Metrics are mathematically derived from official filings.
Liquidity Buffer Masks Short Runway
Current ratio of 8.29 in 2026Q2 appears robust, but cash of $42.5M covers only about two quarters of operating losses, per reported financials, signaling imminent dilution risk.
The current ratio, while high, is misleading because it is driven by cash and short-term investments that are being consumed rapidly. With quarterly operating cash burn averaging $25-30M, the absolute liquidity position suggests a runway of roughly 12-18 months, not the multi-year cushion the ratio implies. Investors should monitor the pace of cash depletion against clinical milestones, as any delay in data readouts would compress this runway further.
Minimal Debt, Yet Equity Dilution Looms
Debt-to-equity of 0.12 in 2026Q2 indicates low leverage, but with no revenue and negative equity returns, the company's survival depends on future equity raises, as disclosed in financial statements.
The low D/E ratio suggests the company is not burdened by debt service, but this is a double-edged sword: it reflects a lack of borrowing capacity rather than financial strength. With total debt of $44.7M and no EBITDA, interest coverage is undefined, and the company cannot rely on debt markets. The real leverage risk is shareholder dilution, as the company will likely need to issue equity to fund operations, which would further erode book value per share.
Negative Returns Reflect Pre-Revenue Phase
ROIC of -9.4% in 2026Q2, while deeply negative, is typical for clinical-stage biotech; the trend shows no improvement, with cumulative losses exceeding $500M, per reported figures.
ROIC and ROE are persistently negative, but this is expected for a company with no revenue and heavy R&D investment. The more telling metric is the trend: ROIC has remained in the -6% to -17% range over ten quarters, with no sign of inflection. This suggests that capital invested is not yet generating returns, and the company is in a value-destructive phase until a drug is approved. The high P/B of 15.94 implies the market is pricing in substantial future value creation, which is speculative at this stage.
Asset-Light Model, But Working Capital Inefficient
Asset turnover is negligible due to zero revenue, while DPO of 196 days in 2026Q1 suggests stretched payables, per reported data, indicating reliance on supplier financing.
The asset-light model is confirmed by minimal capex, but working capital efficiency is poor because the company has no sales to generate receivables or inventory turnover. The high DPO of 196 days may indicate the company is delaying payments to preserve cash, which could strain supplier relationships. However, with no revenue, traditional efficiency metrics like DSO and DIO are meaningless, and the focus should be on cash burn per clinical milestone achieved.
Valuation Discount vs. RAS Peers
Erasca's P/B of 15.94 is lower than Revolution Medicines' 24.71 but higher than Nuvalent's 7.22, per peer data, suggesting a mid-tier risk discount in the RAS/MAPK space.
Compared to peers, Erasca's negative ROE of -33.3% is less severe than RVMD's -96.4%, but its market cap is significantly smaller, reflecting earlier-stage assets. The P/B multiple implies the market assigns some value to the pipeline, but the discount to RVMD likely reflects the latter's more advanced clinical data. Investors should watch whether upcoming data readouts for ERAS-007 and ERAS-801 can narrow this gap, or if the discount widens due to competitive pressures from larger pharma.
Misapplied P/B in Pre-Revenue Biotech
Price-to-book is commonly misapplied to Erasca because book value excludes the value of its clinical pipeline and intellectual property, making the 15.94 P/B misleading, per reported balance sheet data.
For a clinical-stage biotech, P/B is nearly irrelevant because the balance sheet does not capitalize R&D or reflect the potential of drug candidates. A more appropriate metric is EV/Invested Capital or a risk-adjusted NPV of the pipeline, which accounts for the probability of clinical success. The high P/B may scare off value investors, but it does not capture the upside from a successful Phase 2 trial. Analysts should instead focus on cash runway per clinical catalyst and the potential market size for RAS-driven cancers.