Start here if you're new
what it is
Design Therapeutics is trying to turn one drug platform into treatments for rare inherited diseases.
how it gets paid
Last year Design Therapeutics made $0 in revenue.
what just happened
Design Therapeutics posted a -$0.30 EPS loss, beating the -$0.34 estimate.
At a glance
B balance sheet — gets the job done, barely
-$0.88 fy2024 eps est
$0M fy2020 rev est
1.65 beta
~$624M market cap
xvary composite: 55/100 — below average
What they do
Design Therapeutics is trying to turn one drug platform into treatments for rare inherited diseases.
You are backing 54 employees and 4 programs against biology. GeneTAC® molecules (lab-made drugs aimed at bad gene repeats) give you 4 shots from one platform, not 4 separate companies. The ugly contrast is $0 revenue against about $624M of market value.
How they make money
$0
annual revenue
The products that matter
friedreich's ataxia therapy
DT-216P2
lead program · 2H 2026 readout
This is the program the stock revolves around. Its Phase 1 readout is expected in the second half of 2026, and a prior Phase I setback was followed by a 70.5% single-day drop.
binary catalyst
myotonic dystrophy therapy
DT-818
first patient dosing · 1H 2026
Patient dosing is expected to start in the first half of 2026. That matters because it turns the story from one lead asset into at least two visible shots on goal.
next catalyst
fuchs' dystrophy therapy
DT-168
third program · 2026 milestones
This is the rest of the pipeline. The data here is still thin, but it matters because a three-program company is worth more than a one-program coin flip.
pipeline depth
Key numbers
$624M
market cap
You are paying $624M for a company with $0 revenue. That is the whole bet in one number.
$206M
liquidity
$206M in cash and investments buys time. It does not buy a sales line.
$1M
debt load
$1M of long-term debt is tiny next to a $624M market cap. The balance sheet issue is not leverage.
1.65
market swing
1.65 beta means the stock can move 65% more than the market. Your chart will feel that.
Financial health
B
strength
- balance sheet grade B — adequate — nothing special
- risk rank 2 — safer than 80% of stocks
- price stability 5 / 100
- long-term debt $1M (0% of capital)
B — functional but not a standout on the balance sheet.
Total return vs. market
Return history isn't available for DSGN right now.
source: institutional data · return history unavailable
What just happened
beat estimates
Design Therapeutics posted a -$0.30 EPS loss, beating the -$0.34 estimate.
Revenue stayed at $0. The win came from a smaller loss, not from sales.
$0M
revenue
$0.30
eps
0.00%
gross margin
the number that mattered
The -$0.30 loss mattered because it beat the -$0.34 estimate, but the company still generated $0 revenue.
source: company earnings report and Yahoo Finance
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What could go wrong
the top risk here is another Friedreich's ataxia clinical disappointment — the market already showed in 2023 that it can take this stock apart fast.
med
DT-216P2 fails to restore credibility
The lead Friedreich's ataxia program has a Phase 1 readout expected in the second half of 2026. A prior Phase I setback was followed by a 70.5% single-day drop, so the market has already given you a preview of how this can go.
Impact: if the lead asset disappoints again, the pipeline value premium over cash can compress hard and fast.
med
Cash burn becomes the story
The latest quarter lost $17.0M and the company ended with $206M in cash. That is workable now, but pre-revenue biotech math gets ugly if timelines slip while spending does not.
Impact: a longer path to data could mean dilution before the market gets the proof it wants.
med
Target prices look precise because spreadsheets do
Five analyst targets average $14.60, but the spread from $11 to $18 is 64%. That is not consensus. That is a reminder that most of the valuation rests on assumptions nobody can verify yet.
Impact: sentiment can swing sharply even without new revenue, because the valuation is mostly probability weighted hope.
With $0M in revenue through 2026, virtually all of DSGN's value sits on cash plus pipeline probabilities — and the 70.5% precedent shows how fast those probabilities can get repriced.
source: institutional data · regulatory filings · risk analysis
Pay attention to
calendar
DT-216P2 Phase 1 data
Expected in the second half of 2026. This is the lead readout, the credibility test, and probably the stock-defining event.
metric
cash burn versus $206M cash
The latest quarter lost $17.0M. If that starts moving up while timelines stay the same, dilution risk moves closer.
risk
whether the prior 70.5% collapse still defines the stock
Every update on the lead program will be filtered through that setback. Restoring confidence matters almost as much as the raw data.
trend
pipeline breadth beyond one asset
DT-818 dosing in the first half of 2026 and progress at DT-168 matter because they keep DSGN from being only one readout wearing a ticker.
Analyst rankings
xvary composite
55 / 100
Below average overall. In human-speak, the market sees cash and catalysts, but it also sees zero revenue and a long list of ways this can go sideways.
risk rank
2
Financially safer than many small stocks because debt is only $1M and cash is $206M. That does not mean the stock is stable. It means the balance sheet is less fragile than the chart.
price stability
5 / 100
This is the market telling you volatility is normal here. A biotech with a 1.65 beta and a 70.5% one-day collapse in its recent history does not trade like a utility.
source: institutional data
Institutional activity
institutional ownership data for DSGN is being compiled.
source: institutional data
Price targets
3-5 year target range
n/a
n/a
$10
current price
n/a
target midpoint · n/a from current
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