Iovance Biotherapeutics, Inc. (IOVA) | Investment Case

1. Company Snapshot

1.a. Company Description

Iovance Biotherapeutics, Inc., a clinical-stage biotechnology company, focuses on developing and commercializing cancer immunotherapy products to harness the power of a patient's immune system to eradicate cancer cells.It has six ongoing phase 2 clinical studies, including C-144-01, of its lead product candidate, lifileucel, for the treatment of metastatic melanoma; C-145-04, of its product candidate lifileucel for recurrent, metastatic, or persistent cervical cancer; and C-145-03, of its product candidate LN-145, for recurrent and/or metastatic head and neck squamous cell carcinoma.Iovance Biotherapeutics, Inc.

has collaborations and licensing agreements with H.Lee Moffitt Cancer Center; M.D. Anderson Cancer Center; Ohio State University; Centre hospitalier de l'Université de Montreal; Cellectis S.A.; and Novartis Pharma AG.The company was formerly known as Lion Biotechnologies, Inc.

and changed its name to Iovance Biotherapeutics, Inc.in June 2017.Iovance Biotherapeutics, Inc.

was incorporated in 2007 and is headquartered in San Carlos, California.

Show Full description

1.b. Last Insights on IOVA

Iovance Biotherapeutics' recent performance was negatively impacted by high operating expenses, although the company reported a narrower-than-expected loss in Q3. Amtagvi sales growth and cost-cutting measures, including a restructuring plan to cut over $100 million in annual costs, are key factors. The company faces intense competition and regulatory scrutiny. A $350 million stock offering raised concerns about dilution. Despite challenges, Iovance's innovative approach and potential for label expansion opportunities remain (Source: Zacks Consensus Estimate).

1.c. Company Highlights

Last Price	2.2
Change Percentage	-0.23%
Open	2.21
Previous Close	2.2
Market Cap ( Millions)	730
Volume	6594541
Year High	9.3
Year Low	1.64
M A 50	2.23
M A 200	2.61

FCF Yield	-44.34%
Dividend Yield	0.00%
ROE	-52.87%
Debt / Equity	7.61%
Net Debt / EBIDTA	21.93%
Price To Book	1.05
Price Earnings Ratio	-1.89
Price To FCF	-2.26
Price To sales	3.02
EV / EBITDA	-1.8

2. Iovance Biotherapeutics' Q3 2025 Earnings: Strong Revenue Growth and Improved Margins

Iovance Biotherapeutics reported a robust third-quarter 2025, with revenue growing 13% to $68 million, driven by Amtagvi sales of approximately $58 million and global Proleukin revenue of nearly $10 million. The company's gross margin improved to 43% following its strategic restructuring and cost optimization efforts. The actual EPS came out at '-0.25', beating estimates of '-0.29'. The revenue growth and margin improvement are positive indicators, with the company reiterating its guidance range of $250 million to $300 million for the full year 2025.

Publication Date: Nov -17

                                    📋 Highlights
                                    Revenue Growth::
                                                Q3 2025 revenue reached $68M (13% YoY), driven by $58M Amtagvi sales and $10M Proleukin revenue.
Gross Margin Improvement::
                                                Gross margin rose to 43% post-restructuring, with cost of sales reduced by 21% QoQ.
Lung Cancer Program Progress::
                                                Interim data shows best-in-class durability in non-squamous NSCLC; LUN-202 trial to enroll ~80 patients by 2026, targeting 2027 launch.
Cash Position::
                                                $307M cash reserves projected to fund operations through Q2 2027, with 10% QoQ total cost reduction.
Community Expansion::
                                                Early community centers active, with 40% fewer out-of-spec write-offs ($9M in Q3) and centralized manufacturing expected in 2026.

                                

Operational Highlights and Pipeline Progress

The company provided an update on its lung cancer program, with interim clinical data showing a best-in-class profile and unprecedented durability in previously treated non-squamous non-small cell lung cancer. Iovance expects to quickly complete enrollment in its LUN-202 registrational trial in 2026 with approximately 80 patients, supporting an accelerated approval. The company plans to advance towards a supplemental biologics license application in non-squamous non-small cell lung cancer and a potential launch in the second half of 2027.

Cash Position and Cost Management

Iovance's cash position stands at approximately $307 million, expected to fund operations into the second quarter of 2027. The company has reduced total costs and expenses by approximately 10% over the prior quarter and lowered cost of sales by approximately 21%, resulting in improved gross margin. The company will centralize manufacturing at its internal facility in early 2026, expected to drive future gross margin growth.

Valuation and Growth Prospects

Analysts estimate next year's revenue growth at 63.7%. With a P/S Ratio of 3.39, the market is pricing in significant growth prospects. The EV/EBITDA ratio is -2.05, indicating that the company's enterprise value is not yet justified by its EBITDA. The ROE and ROIC are both negative, at -52.87% and -52.25% respectively, reflecting the company's current loss-making position. As the company continues to grow and expand its product offerings, these metrics are expected to improve.

Global Expansion and Future Plans

The company envisions global expansion without a partner, focusing on owning the TIL technology and science. Iovance is ramping up in Canada, has pending approvals in the UK and Australia, and is in discussions for NHS support in the UK. The company does not expect significant revenue from global markets in 2026 but expects growth over time. Enrollment in the LUN-202 study has picked up, with double-digit patients waiting for infusions, and the company is confident in hitting the timeline for the launch of Lifileucel in non-small cell lung in the second half of 2027.

3. NewsRoom

Iovance Biotherapeutics Reports Inducement Grants under NASDAQ Listing Rule 5635(c)(4)

Nov -21

Source: globenewswire.com

AE Wealth Management LLC Makes New Investment in Iovance Biotherapeutics, Inc. $IOVA

Nov -19

Source: defenseworld.net

Iovance Biotherapeutics: Base-Case Q3 Report Keeps 'Show Me' Mode

Nov -11

Source: seekingalpha.com

Down 75% in 12 Months, Can Iovance Biotherapeutics Stock Turn Things Around?

Nov -11

Source: fool.com

IOVA Soars 28% on Narrower-Than-Expected Loss in Q3, Revenues Up Y/Y

Nov -07

Source: zacks.com

2 Small-Cap Stocks With Far More Upside Than Any "Magnificent Seven" Stock, According to Wall Street

Nov -07

Source: fool.com

Iovance Biotherapeutics, Inc. (IOVA) Q3 2025 Earnings Call Transcript

Nov -06

Source: seekingalpha.com

Iovance Biotherapeutics (IOVA) Reports Q3 Loss, Lags Revenue Estimates

Nov -06

Source: zacks.com

4. Business Breakdown

4.a. Revenues by Country

4.b. Revenues by Segment

5. Expected revenues mid-term growth (11.53%)

6. Segments

Autologous Tumor Infiltrating Lymphocytes

Expected Growth: 11.53%

Iovance Biotherapeutics' Autologous Tumor Infiltrating Lymphocytes' 11.53% growth is driven by increasing adoption in metastatic melanoma treatment, strong clinical trial results, and expanding research in solid tumors. Additionally, growing demand for personalized cancer therapies and strategic partnerships contribute to the segment's growth.

7. Detailed Products

Tumor Infiltrating Lymphocytes (TIL)

TIL is a type of adoptive cell therapy that utilizes a patient's own immune cells to target and attack cancer cells.

LN-145

LN-145 is an autologous adoptive cell therapy that utilizes TIL to target and attack cancer cells.

LN-144

LN-144 is an autologous adoptive cell therapy that utilizes TIL to target and attack cancer cells.

IOV-COM-101

IOV-COM-101 is a personalized neoantigen-directed T cell therapy that targets specific cancer mutations.

8. Iovance Biotherapeutics, Inc.'s Porter Forces

Forces Ranking

Threat Of Substitutes

Iovance Biotherapeutics, Inc. has a unique product pipeline, and there are limited substitutes available in the market, reducing the threat of substitutes.

Bargaining Power Of Customers

Iovance Biotherapeutics, Inc. has a diverse customer base, and customers have some bargaining power due to the availability of alternative treatments, but the company's unique products and services mitigate this power.

Bargaining Power Of Suppliers

Iovance Biotherapeutics, Inc. has a diversified supplier base, and suppliers have limited bargaining power due to the company's strong negotiating position and the availability of alternative suppliers.

Threat Of New Entrants

The biotechnology industry is highly competitive, and new entrants can easily enter the market, posing a significant threat to Iovance Biotherapeutics, Inc.'s market share and revenue.

Intensity Of Rivalry

The biotechnology industry is highly competitive, and Iovance Biotherapeutics, Inc. faces intense rivalry from established companies and new entrants, leading to a high level of competition.

9. SWOT Analysis

10. Capital Structure

10.a. Balance Sheet

10.b. Weighted Average Cost of capital

	Value
Debt Weight	1.48%
Debt Cost	3.95%
Equity Weight	98.52%
Equity Cost	7.21%
WACC	7.16%
Leverage	1.50%

11. Quality Control: Iovance Biotherapeutics, Inc. passed 3 out of 9 key points

Strong Liquidity

Low Debt

Strong Interest Coverage

Healthy Cash Flow

Operating Efficiency

Strong Return On Equity

Consistent Revenue Growth

Consistent Operating Cash Flow Growth

Margin Improvement

12.a Historical Valuation

12.b Price/Earnings Ratio

12.c Margin Valuation

12.d Peers Valuation

Peers Group Analysis

Ionis Pharmaceuticals

A-Score: 4.2/10

Value: 6.0

Growth: 1.1

Quality: 4.5

Yield: 0.0

Momentum: 10.0

Volatility: 3.7

1-Year Total Return ->

Janux Therapeutics

A-Score: 3.8/10

Value: 9.0

Growth: 3.4

Quality: 7.9

Yield: 0.0

Momentum: 1.0

Volatility: 1.3

1-Year Total Return ->

Revolution Medicines

A-Score: 3.7/10

Value: 6.4

Growth: 1.8

Quality: 6.4

Yield: 0.0

Momentum: 4.0

Volatility: 3.7

1-Year Total Return ->

Amicus Therapeutics

A-Score: 3.6/10

Value: 4.4

Growth: 7.6

Quality: 3.8

Yield: 0.0

Momentum: 1.0

Volatility: 5.0

1-Year Total Return ->

Denali Therapeutics

A-Score: 3.3/10

Value: 6.8

Growth: 3.7

Quality: 6.2

Yield: 0.0

Momentum: 0.5

Volatility: 2.3

1-Year Total Return ->

Iovance Bio

A-Score: 3.1/10

Value: 8.2

Growth: 5.7

Quality: 3.9

Yield: 0.0

Momentum: 0.0

Volatility: 1.0

1-Year Total Return ->

Peers Metrics

12.e Scoring ^Insights

12.f DCF ^BETA

Parameters

Short Term Growth

14.07%

Short term Time

10.0

Long-Term Growth

2.00%

WACC

7.16%

Iovance Biotherapeutics, Inc. - US4622601007

1. Company Snapshot

1.a. Company Description

1.b. Last Insights on IOVA

1.c. Company Highlights

Strong Momentum

Average Quality

Medium Volatility

Earnings Beats

Revenues Miss

Stable Momentum

Average Growth

Revenues Beats

Weak Momentum

Earnings Miss

Fairly Valued

2. Iovance Biotherapeutics' Q3 2025 Earnings: Strong Revenue Growth and Improved Margins

Operational Highlights and Pipeline Progress

Cash Position and Cost Management

Valuation and Growth Prospects

Global Expansion and Future Plans

3. NewsRoom

4. Business Breakdown

4.a. Revenues by Country

4.b. Revenues by Segment

5. Expected revenues mid-term growth (11.53%)

6. Segments

Autologous Tumor Infiltrating Lymphocytes

Expected Growth: 11.53%

7. Detailed Products

Tumor Infiltrating Lymphocytes (TIL)

LN-145

LN-144

IOV-COM-101

8. Iovance Biotherapeutics, Inc.'s Porter Forces

Forces Ranking

Threat Of Substitutes

Bargaining Power Of Customers

Bargaining Power Of Suppliers

Threat Of New Entrants

Intensity Of Rivalry

9. SWOT Analysis

Strength

Weaknesses

Opportunities

Threats

10. Capital Structure

10.a. Balance Sheet

10.b. Weighted Average Cost of capital

11. Quality Control: Iovance Biotherapeutics, Inc. passed 3 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

Peers Metrics

12.e Scoring Insights

12.f DCF BETA

Parameters

Short Term Growth

Short term Time

Long-Term Growth

WACC

Target Price

2.2$

Current Price

2.2$

Potential

-0.00%

Expected Cash-Flows

12.e Scoring ^Insights

12.f DCF ^BETA