Cash burn remains a critical concern, with cumulative free cash flow outflows exceeding $200 million over the last ten quarters, excluding the temporary $131.7 million inflow observed in 2025Q1.
| Cash from Operations | -146.82M | 45.59M | -86.85M | -81.07M | -31.87M | -66.91M | -42.22M | -31.05M | -10.96M | -5.38M |
| Operating CF Margin % | - | 24.72% | -237.59% | -923.31% | -256.88% | - | - | - | - | - |
| Operating CF Growth % | -263.21% | 152.49% | -7.13% | -154.4% | 52.37% | -58.47% | -35.96% | -183.25% | -103.64% | - |
| Net Income | -169.77M | -6.88M | -88.98M | -104.7M | -101.07M | -85.81M | -52.24M | -32.33M | -12.52M | -5.56M |
| Depreciation & Amortization | 2.28M | 1.77M | 2.18M | 2.47M | 1.55M | 974K | 888K | 450K | 214K | 113K |
| Stock-Based Compensation | 26.2M | 32.24M | 27.47M | 25.26M | 22.85M | 16.45M | 5.77M | 1.92M | 240K | 26K |
| Deferred Taxes | 0 | 0 | 0 | 0 | 0 | 172K | 3K | 0 | 0 | 0 |
| Other Non-Cash Items | 9.74M | 2.12M | 623K | 1.94M | 1.78M | 1.26M | 1.04M | 3K | 10K | 4K |
| Working Capital Changes | -15.28M | 16.35M | -28.14M | -6.03M | 43.02M | 46K | 2.33M | -1.1M | 1.09M | 31K |
| Change in Receivables | 4.8M | -4.27M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Change in Inventory | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Change in Payables | 829K | 21.29M | 3.09M | -3.21M | 121K | 2.9M | 5.2M | 891K | 1.74M | 100K |
| Cash from Investing | -149.75M | -186.81M | -107.47M | 105.95M | -45.88M | -76.43M | -1.05M | -1.63M | -925K | -113K |
| Capital Expenditures | -871K | -670K | -203K | -1.62M | -3.96M | -1.2M | -1.05M | -1.64M | -935K | -113K |
| CapEx % of Revenue | 2.72% | 0.36% | 0.56% | 18.41% | 31.94% | - | - | - | - | - |
| Acquisitions | 0 | 0 | 0 | 0 | 45.34M | 75.23M | 0 | 1K | 10K | 0 |
| Investments | - | - | - | - | - | - | - | - | - | - |
| Other Investing | 0 | 0 | 0 | 0 | -45.34M | -75.23M | 0 | 0 | 10K | 0 |
| Cash from Financing | 180.34M | 97.39M | 131.09M | 53.01M | 46.41M | 1.28M | 108.11M | 149.76M | 115.64M | 5.97M |
| Debt Issued (Net) | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Equity Issued (Net) | 180.34M | 97.39M | 128.84M | 52.08M | 45.34M | 1.29M | 105.4M | 151.91M | 116M | 3M |
| Dividends Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Share Repurchases | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Financing | 0 | 0 | 2.25M | 926K | 1.06M | -2K | 2.71M | -2.15M | -361K | 2.97M |
| Net Change in Cash | -116.23M | -43.84M | -63.23M | 77.89M | -31.34M | -142.05M | 64.84M | 117.07M | 103.75M | 477K |
| Free Cash Flow | -147.69M | 44.91M | -87.05M | -82.68M | -35.83M | -68.11M | -43.27M | -32.69M | -11.9M | -5.5M |
| FCF Margin % | -460.4% | 24.35% | -238.15% | -941.72% | -288.82% | - | - | - | - | - |
| FCF Growth % | -313.44% | 151.59% | -5.29% | -130.78% | 47.39% | -57.4% | -32.37% | -174.73% | -116.46% | - |
| FCF per Share | -2.34 | 0.76 | -1.61 | -1.88 | -0.92 | -1.85 | -1.29 | -1.82 | -0.51 | -0.23 |
| FCF Conversion (FCF/Net Income) | 0.87x | -6.62x | 0.98x | 0.77x | 0.32x | 0.78x | 0.81x | 0.96x | 0.88x | 0.97x |
| Interest Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Taxes Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
Binary clinical trial dependency
According to reported financial data, the relationship between net income and operating cash flow is highly erratic, with the OCF/NI ratio swinging from 0.53 in 2025Q4 to 1.21 in 2026Q1, reflecting the non-recurring nature of milestone-driven revenue rather than consistent operational cash generation.
The wide variance in the OCF/NI ratio suggests that accounting earnings are heavily influenced by the timing of collaboration revenue recognition rather than underlying cash-generating activities. Investors should monitor this divergence, as it indicates that reported net income is an unreliable proxy for the company's actual ability to fund its ongoing R&D operations.
As reported in financial statements, Stoke's free cash flow trajectory remains deeply negative, with a cumulative cash outflow exceeding $200 million over the last ten quarters, punctuated only by a temporary, milestone-driven positive FCF of $131.7 million in 2025Q1 that failed to alter the long-term burn trend.
The consistent negative FCF margins, excluding the 2025Q1 outlier, highlight the company's dependence on external capital to sustain its clinical pipeline. This trajectory suggests that without a recurring commercial revenue stream, the company will continue to face significant pressure on its liquidity position as clinical trial costs mount.
Based on recent SEC filings, working capital changes have been highly volatile, with a significant $20 million outflow in 2026Q1 following a $17 million inflow in 2025Q4, illustrating the impact of milestone payment timing on the company's short-term liquidity and cash management efficiency.
These fluctuations appear to be driven by the timing of cash receipts from collaboration partners rather than operational efficiency in managing payables or receivables. The lack of a stable working capital cycle warrants further investigation, as it complicates the predictability of the company's short-term cash runway.
As indicated by the cash flow statements, stock-based compensation has remained a consistent expense, averaging roughly $7 million per quarter, which effectively masks the true economic cost of retaining scientific talent while simultaneously diluting existing shareholders during periods of significant cash burn.
By excluding SBC from cash-based operational metrics, the company's reported burn rate may appear more manageable than it truly is from an economic perspective. Investors should consider the impact of this ongoing dilution on future per-share value, especially given the company's reliance on equity-based incentives to attract specialized personnel.
Quick answers to the most common questions about buying STOK stock.
Stoke Therapeutics, Inc. (STOK) generated $45.6M in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
Stoke Therapeutics, Inc. (STOK) generated $44.9M in free cash flow in 2025. Free cash flow is the cash left over after capital expenditures, which can be used to pay dividends, repurchase shares, or pay down debt.
Stoke Therapeutics, Inc. (STOK) spent $0.7M on capital expenditures in 2025. CapEx represents the cash invested in physical assets like property, plant, and equipment to maintain or grow the business.