UB

Upstream Bio, Inc.

UPB·NASDAQ

$20.97

-5.9%
HealthcareBiotechnology

Upstream Bio, Inc., a clinical-stage biotechnology company, develops treatments for inflammatory diseases that focuses on severe respiratory disorders. It develops verekitug, a monoclonal antibody that targets and inhibits the thymic stromal lymphopoietin receptor. The company also develops therapies to treat severe asthma, chronic rhinosinusitis with nasal polyps, and chronic obstructive pulmonary disease. Upstream Bio, Inc. was incorporated in 2021 and is based in Waltham, Massachusetts.

At a Glance

Live Snapshot
Market Cap$1.13B
EPS-0.7400
P/E Ratio-3.69
Earnings Date11/06/2025

Intrinsic Alpha Methodology

Thesis Lenses

Signal · Driver · Risk

Signal

Medium confidence

Valuation multiple is compressed (P/E -3.7).

Valuation inputs: P/E -3.7, earnings yield N/A, momentum -5.9%.

If multiples stay elevated while momentum fades, downside repricing risk rises.

Driver

High confidence

Return profile is soft (ROE -9.8%, ROIC -10.8%).

Profitability stack: net margin -42.7%, ROE -9.8%, ROIC -10.8%.

Quality deterioration often appears in margins before it shows up in headline EPS.

Risk

High confidence

Risk profile is balanced but has notable pressure points to monitor.

Risk factors: liabilities/assets +2.8%, momentum -5.9%, net margin -42.7%.

Higher leverage with weak momentum and thin margins can amplify drawdown severity.

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Upstream Bio, Inc. Market vs Earnings Trajectory

UPB · NASDAQ

Loading price and EPS data...

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Upstream Bio, Inc. Fair Value Envelope

UPB · NASDAQ

Our analysis suggests that UPB has a fair value of HIDDEN per share in the Base Case projection. With shares currently trading at $20.97, this represents a potential HIDDEN relative to our calculated worth for Upstream Bio, Inc..

Intrinsic Value
Current Price: $20.97
3Y+126.0%
5Y+126.0%
10Y+126.0%
3Y+96.0%
5Y+96.0%
10Y+96.0%
3Y+163.0%
5Y+163.0%
10Y+163.0%
3Y+211.0%
5Y+211.0%
10Y+211.0%
3Y+212.0%
5Y+212.0%
10Y+212.0%
3Y+2507.0%
5Y+2507.0%
10Y+2507.0%
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Upstream Bio, Inc. Profit Bridge

UPB · NASDAQ
Revenue2.37M
Cost of Goods Sold (89.00K)
Gross Profit2.37M
Operating Expenses (80.13M)
Operating Income-77.76M
Interest Expense (0.00)
Other Income/Expense14.96M
Pretax Income-62.81M
Income Tax (0.00)
Net Income-62.81M
Net Income
-62.81M

Profitability Analysis

Gross Margin

100.0%

Exceptional pricing power and cost management. The company retains over half of revenue after direct costs.

Operating Margin

-3281.2%

Operating losses indicate the core business is unprofitable. Requires restructuring or revenue growth.

Net Profit Margin

-2650.0%

Net losses indicate the company is burning cash. Sustainability depends on path to profitability.

Profitability Insight

Margin squeeze alert: Healthy gross margins but weak operating margins suggest excessive operating expenses. Cost optimization could unlock significant value.

100.00%
Gross Profit Margin
3Y-
5Y-
10Y-
-3281.18%
Operating Profit Margin
95%
3Y+66.0%
5Y+66.0%
10Y+66.0%
-2650.04%
Net Profit Margin
207%
3Y+35.0%
5Y+35.0%
10Y+35.0%
-13.37%
Return on Equity
-180%
3Y-159.0%
5Y-159.0%
10Y-159.0%
-13.04%
Return on Assets
-26%
3Y-90.0%
5Y-90.0%
10Y-90.0%
-16.46%
Return on Invested Capital
-55%
3Y-91.0%
5Y-91.0%
10Y-91.0%
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Upstream Bio, Inc. Cash Conversion Engine

UPB · NASDAQ
Net Income-62.81M
Depreciation & Amortization89.00K
Stock-Based Compensation6.00M
Change in Working Capital1.87M
Others-4.33M
Capital Expenditures-511.00K
Free Cash Flow-59.68M

Cash Flow Quality Analysis

FCF Conversion Rate

95.0%

Strong cash conversion. Most reported earnings translate into actual cash flow, suggesting solid fundamentals.

CapEx Intensity

-1.3%

Asset-light business model. Low capital requirements leave more cash available for shareholders and growth investments.

FCF Growth Trend

-56.8%

Significant FCF decline raises concerns. Urgent review needed of operational performance and capital allocation.

Working Capital Impact

+$1.87M

Working capital inflow boosted cash flow. Efficient management of receivables, inventory, and payables contributing positively.

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Upstream Bio, Inc. Funding & Solvency Profile

UPB · NASDAQ
Cash & Cash Equivalents45.46M
Net Receivables2.64M
Inventory0.00
Other Current Assets818.00K
Total Current Assets418 M
Property, Plant & Equipment2.06M
Goodwill & Intangible Assets0.00
Long-Term Investments194.00K
Other Non-Current Assets0.00
Total Non-Current Assets2 M
Total Assets
420.52M

Financial Health Analysis

Current Ratio

38.27x

Excellent liquidity position. The company can easily cover its short-term obligations with substantial cushion.

Debt-to-Equity Ratio

0.03x

Conservative capital structure. The company relies primarily on equity financing, indicating low financial risk.

Working Capital

407 M

Strong working capital position provides significant operational flexibility and financial cushion.

Asset Composition

99% Current

Asset-light business model with high liquidity. Majority of assets are easily convertible to cash.

Financial Health Insight

Strong financial foundation: Excellent liquidity combined with conservative leverage suggests the company is well-positioned to weather economic uncertainties and fund growth opportunities.

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Upstream Bio, Inc. Street Expectations Map

UPB · NASDAQ

Wall Street analysts project that UPB stock may rise significantly over the coming 12 months. The consensus 1-year price target stands at 47.00, with estimates ranging from a low of 47.00 to a high of 47.00.

Lowest Target
47.00
124.13%
Consensus Target
47.00
124.13%
Highest Target
47.00
124.13%

The consensus 1-year price target stands at 47.00, with estimates ranging from a low of 47.00 to a high of 47.00.

Analyst Consensus Analysis

Upside Potential

+124.1%

Substantial upside potential. Analysts see significant value gap, suggesting the stock may be materially undervalued at current levels.

Analyst Agreement

0.0% spread

High analyst agreement. Narrow target range indicates strong consensus on valuation, suggesting clear investment thesis and predictable outlook.

Analyst Conviction

Very High

Strong buy conviction: High upside with tight consensus suggests compelling investment opportunity backed by analyst confidence.

Market Sentiment Insight

Rare opportunity: Exceptional upside potential with strong analyst consensus creates a compelling setup. The combination of significant price target premium and tight agreement suggests high-conviction undervaluation that may attract institutional capital.

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Upstream Bio, Inc. Insider Positioning

UPB · NASDAQ

During the last 12 months, insiders have purchased $1.19M worth of UPB shares, with no selling activity reported.

3 Months

Bought

0

0.00

Sold

0

0.00

Net Activity

+0

+$0

3-6 Months

Bought

0

0.00

Sold

0

0.00

Net Activity

+0

+$0

6-9 Months

Bought

0

0.00

Sold

0

0.00

Net Activity

+0

+$0

9-12 Months

Bought

102.6K

1.19M

Sold

0

0.00

Net Activity

+1.2M

+$1.19M

Top Buyers

1
RRCJ

Renaud Ronald C Jr

Director

17.1K shares1 transactions

$198K

2
CE

Chimovits Erez

Director

17.1K shares1 transactions

$198K

3
RMK

Ruddy Marcella K.

Director

17.1K shares1 transactions

$198K

4
BD

Beckman Daniella

Director

17.1K shares1 transactions

$198K

5
FHE

Fleming Harold Edward

Director

17.1K shares1 transactions

$198K

Top Sellers

No selling activity

Insider Activity Analysis

Net Insider Sentiment

Bullish

Strong bullish signal with $1.19M net buying. Insiders are aggressively accumulating shares, suggesting significant confidence in future prospects.

Buy/Sell Ratio

∞:1

Perfect buy/sell ratio. Only buying activity with zero selling—the most bullish possible insider signal.

Insider Participation

High Buying

5 insider buyers vs. 0 sellers. Broad-based buying across management team suggests widespread confidence.

Insider Activity Insight

Compelling insider conviction: The combination of strong buy/sell ratio and multiple buyers suggests insiders see attractive risk/reward. Consider this alongside fundamental analysis for confirmation.

No Dividend Yield Data

UPB has not reported any dividend yield values in the available annual periods.

 

upb Dividend History

UPB
10Y CAGR +0%
Latest $0
Annual $0
Stable dividend payments
Last Period: +0%