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1. Company Snapshot

1.a. Company Description

Nektar Therapeutics, a biopharmaceutical company, focuses on discovering and developing medicines in areas of unmet medical need in the United States and internationally.The company's products include Bempegaldesleukin, a CD122-preferential interleukin-2 (IL-2) pathway agonist, which is in phase 3 clinical trial to treat metastatic melanoma, renal cell carcinoma, muscle-invasive bladder cancer, squamous cell carcinoma of the head and neck, and adjuvant melanoma; phase 2 clinical trial for the treatment of renal cell carcinoma, non-small cell lung cancer, and urothelial cancer; phase 1/2A clinical trial to treat squamous cell carcinoma of the head and neck; phase 1/2 clinical trial for the treatment of solid tumors; and phase 1B clinical trial to treat COVID-19.It is also developing NKTR-358, a cytokine Treg stimulant that is in phase 2 clinical trial for the treatment of systemic lupus erythematosus and ulcerative colitis, as well as phase 1B clinical trial to treat atopic dermatitis and psoriasis; NKTR-255, an IL-15 receptor agonist, which is in phase 1/2 clinical trial for the treatment of non-Hodgkin's lymphoma and multiple myeloma, and head and neck cancer and colorectal cancer; and NKTR-262, a toll-like receptor agonist that is in phase 1/2 clinical trial to treat solid tumors, as well as various other drug candidates.


The company has collaboration agreements with Takeda Pharmaceutical Company Ltd.; AstraZeneca AB; UCB Pharma S.A.; F.Hoffmann-La Roche Ltd; Bausch Health Companies Inc.; Pfizer Inc.; Amgen Inc.; UCB Pharma (Biogen); Bristol-Myers Squibb Company; Baxalta Incorporated; Eli Lilly and Company; Merck KGaA; and SFJ Pharmaceuticals, Inc.Nektar Therapeutics was incorporated in 1990 and is headquartered in San Francisco, California.

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1.b. Last Insights on NKTR

Nektar Therapeutics' recent performance has been driven by the positive results from its Phase 2b REZOLVE-AD study of rezpegaldesleukin for treating moderate-to-severe atopic dermatitis. The study met both primary and secondary endpoints, validating the company's novel regulatory T-cell approach to treating inflammatory skin conditions. Additionally, the company released statistically significant data from the 16-week induction period of the ongoing Phase 2b REZOLVE-AD study, further supporting the efficacy of rezpegaldesleukin.

1.c. Company Highlights

2. Nektar Therapeutics' Q3 2025 Earnings: A Closer Look

The company's net loss for the third quarter was $35.5 million, with a basic and diluted net loss per share of $1.87, beating analyst estimates of $-2.85. Noncash royalty revenue was $11.5 million for the third quarter of 2025. The company's cash and investments stood at $270.2 million, with no debt on its balance sheet. Research and development expense was $27.3 million for the third quarter of 2025. The company expects to end the year with approximately $240 million in cash and investments, extending its cash runway into the second quarter of 2027.

Publication Date: Nov -12

📋 Highlights
  • REZPEG Phase IIb AD Results: Demonstrated statistical significance in primary endpoint (EASI-50) at 16 weeks, with 52-week data expected Q1 2026.
  • Cash Position: Ended Q3 2025 with $270.2M in cash, projecting $240M by year-end (up from prior $100M–$185M guidance), extending runway to Q2 2027.
  • Alopecia Areata Market Potential: Targeting 1M+ severe U.S. patients, with Phase IIb top-line data (SALT-10/20) expected December 2025 and potential Phase III initiation in 2026.
  • Noncash Royalty Revenue: Generated $11.5M in Q3 2025, on track for $40M annual total, alongside $27.3M R&D expenses (Q3) in $125M–$130M annual range.

Financial Performance and Guidance

The company's financial guidance for 2025 has been updated, with expected cash and investments of approximately $240 million, up from the prior guidance of $100 million to $185 million. The increase is attributed to $38.3 million of net proceeds from additional sales of the ATM facility in October. The company still anticipates full-year R&D expense to range between $125 million and $130 million.

REZPEG Program Updates

The REZPEG program continues to show promising results, with the RESOLVE-AD Phase IIb study achieving statistical significance on the primary endpoint at week 16. The company is expected to present 52-week maintenance and escape arm data from the RESOLVE-AD study in atopic dermatitis in Q1 next year. Additionally, the company plans to present top-line data from the alopecia areata Phase IIb study in December, which will be a crucial milestone in determining the program's future.

Valuation Metrics

With a P/S Ratio of 19.26 and an EV/EBITDA of -14.13, the market is pricing in significant growth expectations for Nektar Therapeutics. However, the company's ROE (%) is -356.81, indicating a challenging financial situation. Analysts estimate next year's revenue growth at -5.4%, which may indicate a decline in the company's top-line performance.

Future Prospects

As the company advances its pipeline programs, including the REZPEG program in alopecia areata, investors will be closely watching the December data readout. According to Howard Robin, the company is working with contract manufacturing companies to ensure successful production of REZPEG, which is a positive development. With a strong cash position and a promising pipeline, Nektar Therapeutics is well-positioned to navigate the challenges ahead.

3. NewsRoom

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Nektar Therapeutics Reports Inducement Grants Under Nasdaq Listing Rule 5635(c)(4)

Dec -05

Source: prnewswire.com

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Contrasting Nektar Therapeutics (NASDAQ:NKTR) & Pivotal Therapeutics (OTCMKTS:PVTTF)

Dec -04

Source: defenseworld.net

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Wall Street Analysts Believe Nektar (NKTR) Could Rally 64.53%: Here's is How to Trade

Dec -01

Source: zacks.com

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Does Nektar (NKTR) Have the Potential to Rally 62.75% as Wall Street Analysts Expect?

Nov -13

Source: zacks.com

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Nektar Therapeutics: Balancing The Immune System To Potential Blockbuster Markets

Nov -12

Source: seekingalpha.com

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Nektar Therapeutics: Cautiously Positive Moving Into Phase 2b Readout

Nov -12

Source: seekingalpha.com

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New Data from REZOLVE-AD Study of Rezpegaldesleukin Presented in Late-Breaking Oral Abstract Presentation at ACAAI 2025 Annual Scientific Meeting

Nov -08

Source: prnewswire.com

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Nektar Therapeutics (NKTR) Q3 2025 Earnings Call Transcript

Nov -07

Source: seekingalpha.com

4. Business Breakdown

4.a. Revenues by Country

4.b. Revenues by Segment

5. Expected revenues mid-term growth (9.27%)

6. Segments

Novel Drug Candidates

Expected Growth: 9.27%

Nektar Therapeutics' novel drug candidates demonstrate 9.27% growth driven by increasing demand for innovative cancer treatments, strategic partnerships, and a strong pipeline of immunotherapy and immunooncology products. Additionally, the company's proprietary technology platforms, such as its polymer conjugate technology, enable targeted and sustained drug delivery, further fueling growth.

7. Detailed Products

NKTR-181

A novel, first-in-class, selective opioid analgesic molecule designed to treat chronic pain

NKTR-214

An IL-2 pathway agonist designed to stimulate the immune system to fight cancer

NKTR-358

A novel, selective IL-2 pathway agonist designed to treat autoimmune diseases

NKTR-255

An IL-15 receptor agonist designed to stimulate the immune system to fight cancer

8. Nektar Therapeutics's Porter Forces

Forces Ranking

Threat Of Substitutes

Nektar Therapeutics has a moderate threat of substitutes due to the presence of alternative treatments and therapies in the market.

Bargaining Power Of Customers

Nektar Therapeutics has a low bargaining power of customers due to the specialized nature of its products and limited customer base.

Bargaining Power Of Suppliers

Nektar Therapeutics has a moderate bargaining power of suppliers due to the presence of multiple suppliers for raw materials and equipment.

Threat Of New Entrants

Nektar Therapeutics has a high threat of new entrants due to the growing demand for biotechnology products and the presence of venture capital funding for startups.

Intensity Of Rivalry

Nektar Therapeutics operates in a highly competitive industry with several established players, leading to a high intensity of rivalry.

9. SWOT Analysis

Strength

Weaknesses

Opportunities

Threats

10. Capital Structure

10.a. Balance Sheet

10.b. Weighted Average Cost of capital

Value
Debt Weight 50.17%
Debt Cost 7.49%
Equity Weight 49.83%
Equity Cost 7.49%
WACC 7.49%
Leverage 100.68%

11. Quality Control: Nektar Therapeutics passed 2 out of 9 key points

12.a Historical Valuation

12.b Price/Earnings Ratio

12.c Margin Valuation

12.d Peers Valuation

Peers Group Analysis

Stock-Card
Nektar

A-Score: 4.5/10

Value: 8.0

Growth: 4.2

Quality: 4.8

Yield: 0.0

Momentum: 10.0

Volatility: 0.0

1-Year Total Return ->

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Xoma

A-Score: 4.3/10

Value: 6.4

Growth: 2.0

Quality: 4.6

Yield: 0.0

Momentum: 9.0

Volatility: 3.7

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Werewolf Therapeutics

A-Score: 3.9/10

Value: 7.4

Growth: 4.4

Quality: 5.8

Yield: 0.0

Momentum: 5.0

Volatility: 0.7

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HOOKIPA Pharma

A-Score: 3.6/10

Value: 9.2

Growth: 5.8

Quality: 4.8

Yield: 0.0

Momentum: 0.0

Volatility: 1.7

1-Year Total Return ->

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Stock-Card
Altimmune

A-Score: 3.3/10

Value: 6.8

Growth: 3.4

Quality: 3.2

Yield: 0.0

Momentum: 5.5

Volatility: 1.0

1-Year Total Return ->

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Capricor Therapeutics

A-Score: 2.7/10

Value: 6.6

Growth: 4.3

Quality: 4.9

Yield: 0.0

Momentum: 0.0

Volatility: 0.3

1-Year Total Return ->

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Peers Metrics

12.e Scoring Insights

12.f DCF BETA

Parameters

Short Term Growth

Short term Time

Long-Term Growth

WACC

Target Price

57.61$

Current Price

57.61$

Potential

-0.00%

Expected Cash-Flows