DRUG Stock Analysis: Bright Minds Biosciences | NASDAQ

Biotechnology | NASDAQ, USA | Market Cap: 663m USD | 12M Return: 136.5% | Charts, Fundamentals & Technical Analysis

Epilepsy, Neuropsychiatry, Serotonin Agonists, Clinical Pipeline
Total Rating 41
Safety 85
Buy Signal -0.31
Biotechnology
Industry Rotation: +30.9
Market Cap: 663M
Avg Turnover: 23.0M
Risk 3d forecast
Volatility84.7%
VaR 5th Pctl12.5%
VaR vs Median-9.88%
Reward TTM
Sharpe Ratio1.49
Rel. Str. IBD67.3
Rel. Str. Peer Group26.3
Character TTM
Beta4.601
Beta Downside0.646
Hurst Exponent0.600
Drawdowns 3y
Max DD76.98%
CAGR/Max DD2.51
CAGR/Mean DD4.74
EPS (Earnings per Share) EPS (Earnings per Share) of DRUG over the last years for every Quarter: "2021-06": -0.2432, "2021-09": -0.24, "2021-12": -0.3255, "2022-03": -0.2958, "2022-06": -0.1704, "2022-09": -0.152, "2022-12": -0.0959, "2023-03": -0.0801, "2023-06": -0.2879, "2023-09": -0.302, "2023-12": -0.3218, "2024-03": -0.0954, "2024-06": 0.0361, "2024-09": -0.17, "2024-12": 0.01, "2025-03": -0.29, "2025-06": -0.74, "2025-09": -0.57, "2025-12": -0.97, "2026-03": -1.09,
Last SUE: 0.98
Qual. Beats: 3
Revenue Revenue of DRUG over the last years for every Quarter: 2021-06: 0, 2021-09: 0, 2021-12: 0, 2022-03: 0, 2022-06: 0, 2022-09: 0, 2022-12: 0, 2023-03: 0, 2023-06: 0, 2023-09: 0, 2023-12: 0, 2024-03: 0, 2024-06: 0, 2024-09: 0, 2024-12: 0, 2025-03: 0, 2025-06: 0, 2025-09: 0, 2025-12: 0, 2026-03: 0,
Last SUE: 0.00
Qual. Beats: 0

Warnings

Strong Share Dilution
High Debt/EBITDA With Thin Interest Coverage
High Debt While Negative Cash Flow
Interest Coverage Ratio Critical
Below Avwap Earnings
Below Sma 200d

Tailwinds

Seasonal Tailwind

Seasonality 5.3 years of data

Jan +9.1% 22
Feb +1.6% 0
Mar -16.4% 32
Apr -8.2% 10
May +12.7% 11
Jun -3.3% 10
Jul +43.9% 58
Aug +8.5% 19
Sep +0.4% 0
Oct +0.8% 0
Nov +21.1% 26
Dec -3.1% 0

How good or bad each month usually is (without trend). The score below shows how much you can trust it: 0 = pure chance, >40 gets interesting and >55 is strong.

Description: DRUG Bright Minds Biosciences

Bright Minds Biosciences Inc. (NASDAQ: DRUG) is a U.S.-based biotechnology company founded in 2017 and headquartered in New York. The company develops therapeutics aimed at treating severe and life-altering diseases, with a primary focus on serotonin (5-HT2) receptor agonists targeting epilepsy and neuropsychiatric disorders.

Its lead candidate, BMB-101, has completed a Phase 1 trial for an undisclosed seizure disorder and is currently in Phase 2 trials for developmental and epileptic encephalopathies and absence epilepsies. The broader pipeline includes BMB-201 and BMB-202 for neuropsychiatric and neurology indications, as well as BMB-105, a 5-HT2C agonist in development for Prader-Willi Syndrome. The company is also collaborating with Firefly Neuroscience, Inc. to analyze EEG data from its BREAKTHROUGH study.

As a clinical-stage biotech, Bright Minds operates in a capital-intensive sector where revenue is typically minimal and value is driven largely by pipeline progress, clinical trial results, and regulatory milestones rather than commercial product sales. Small-cap biotechnology firms in this space commonly rely on equity financing and partnerships to fund development through clinical stages.

Headlines to Watch Out For
  • BMB-101 phase 2 epilepsy trial data readout approaches
  • Pipeline candidates BMB-201 and BMB-202 advance through preclinical development
  • Cash runway concerns drive potential dilutive equity offering
Piotroski VR-10 (Strict) 0.0
Net Income: error (cannot be calculated; needs Net Income TTM and Revenue TTM)
FCF/TA: -0.06 > 0.02 and ΔFCF/TA 0.90 > 1.0
NWC/Revenue: error (cannot be calculated; needs Current Assets/Liabilities and Revenue current+prev)
CFO/TA -0.06 > 3% & CFO -20.1m > Net Income -27.5m
Net Debt/EBITDA: error (EBITDA <= 0)
Current Ratio: 81.48 > 1.5 & < 3
Outstanding Shares: last quarter (9.59m) vs 12m ago 106.3% < -2%
Gross Margin: error (current vs previous; cannot be calculated due to missing/invalid data or negative margin)
Asset Turnover: 0.0% > 50% (prev 0.0%; Δ 0.0% > 0%)
Interest Coverage Ratio: -1.07k > 6 (EBIT TTM -27.5m / Interest Expense TTM 25.7k)
Altman Z'' 10.00
A: 0.99 (Total Current Assets 312.1m - Total Current Liabilities 3.83m) / Total Assets 312.1m
B: -0.21 (Retained Earnings -64.6m / Total Assets 312.1m)
C: -0.15 (EBIT TTM -27.5m / Avg Total Assets 184.3m)
D: 80.50 (Book Value of Equity 308.3m / Total Liabilities 3.83m)
Altman-Z'' = 89.33 = AAA
What is the price of DRUG shares?

As of July 08, 2026, the stock is trading at USD 64.64 with a total of 254,212 shares traded. Over the past week, the price has changed by -6.56%, over one month by -0.98%, over three months by -15.91% and over the past year by +136.52%.

Current recommended Stop Loss: 51.90 (which is 19.7% or 2.6 ATR below the current price).

Is DRUG a buy, sell or hold?

Bright Minds Biosciences has received a consensus analysts rating of 4.67. Therefore, it is recommended to buy DRUG.

  • StrongBuy: 4
  • Buy: 2
  • Hold: 0
  • Sell: 0
  • StrongSell: 0

What are the forecasts/targets for the DRUG price?
Analysts Target Price 165.5 156.1%
Bright Minds Biosciences (DRUG) - Fundamental Data Overview as of 06 July 2026
Market Cap USD = 663.3m (663.3m USD * 1.0 USD.USD)
Market Cap CAD = 941.6m (663.3m USD * 1.4196 USD.CAD)
P/B = 3.0557
Revenue TTM = 0.0 CAD
EBIT TTM = -27.5m CAD
EBITDA TTM = -27.4m CAD
 Long Term Debt = unknown (0.0)
 Short Term Debt = 82.1k CAD (from shortTermDebt, last quarter)
Debt = 82.1k CAD (from shortLongTermDebtTotal, last quarter) (leases 82.1k already included)
Net Debt = -309.4m CAD (calculated: Debt 82.1k - CCE 309.5m)
Enterprise Value = 632.2m CAD (941.6m + Debt 82.1k - CCE 309.5m)
Interest Coverage Ratio = -1.07k (Ebit TTM -27.5m / Interest Expense TTM 25.7k)
EV/FCF = -31.48x (Enterprise Value 632.2m / FCF TTM -20.1m)
FCF Yield = -3.18% (FCF TTM -20.1m / Enterprise Value 632.2m)
 FCF Margin = unknown (Revenue TTM is 0 or missing)
 Net Margin = unknown
 Gross Margin = unknown ((Revenue TTM 0.0 - Cost of Revenue TTM 63.8k) / Revenue TTM)
 Tobins Q-Ratio = 2.03 (Enterprise Value 632.2m / Total Assets 312.1m)
Interest Expense / Debt = 31.36% (Interest Expense 25.7k / Debt 82.1k)
Taxrate = 21.0% (US federal default 21%)
NOPAT = -21.7m (EBIT -27.5m * (1 - 21.00%)) [loss with tax shield]
Current Ratio = 81.48 (Total Current Assets 312.1m / Total Current Liabilities 3.83m)
Debt / Equity = 0.00 (Debt 82.1k / totalStockholderEquity, last quarter 308.3m)
 Debt / EBITDA = 11.27 (negative EBITDA) (Net Debt -309.4m / EBITDA -27.4m)
 Debt / FCF = 15.40 (negative FCF - burning cash) (Net Debt -309.4m / FCF TTM -20.1m)
 Total Stockholder Equity = 132.9m (last 4 quarters mean from totalStockholderEquity)
RoA = -14.94% (Net Income -27.5m / Total Assets 312.1m)
RoE = -20.72% (Net Income TTM -27.5m / Total Stockholder Equity 132.9m)
RoCE = -20.71% (EBIT -27.5m / Capital Employed (Equity 132.9m + L.T.Debt 0.0))
 RoIC = -7.05% (negative operating profit) (NOPAT -21.7m / Invested Capital 308.4m)
 WACC = 22.17% (E(941.6m)/V(941.7m) * Re(22.17%) + D(82.1k)/V(941.7m) * Rd(31.36%) * (1-Tc(0.21)))
Discount Rate = 22.17% (= CAPM, Blume Beta Adj.) -> capped to 13.17%
Shares (quarterly) Correlation: 93.09 | Cagr: 50.15%
 [DCF] Fair Price = unknown (Cash Flow -20.1m)
 EPS Correlation: N/A | EPS CAGR: N/A | SUE: 0.98 | # QB: 3
Revenue Correlation: N/A | Revenue CAGR: N/A | SUE: 0.0 | # QB: 0
EPS current Quarter (2026-06-30): EPS=-1.64 | Chg30d=+3.72% | Revisions=-12% | Analysts=6
EPS current Year (2026-09-30): EPS=-6.05 | Chg30d=+11.47% | Revisions=+0% | GrowthEPS=-239.8% | GrowthRev=+0.0%
EPS next Year (2027-09-30): EPS=-12.09 | Chg30d=-13.67% | Revisions=-57% | GrowthEPS=-99.8% | GrowthRev=+0.0%
[Analyst] Revisions Ratio: -31% (up=4, down=9)