Kymera Therapeutics, Inc. (KYMR) | Investment Case

1. Company Snapshot

1.a. Company Description

Kymera Therapeutics, Inc., a biopharmaceutical company, focuses on discovering and developing novel small molecule therapeutics that selectively degrade disease-causing proteins by harnessing the body's own natural protein degradation system.It engages in developing IRAK4 program, which is in Phase I clinical trial for the treatment of immunology-inflammation diseases, including hidradenitis suppurativa, atopic dermatitis, macrophage activation syndrome, general pustular psoriasis, and rheumatoid arthritis; IRAKIMiD program to treat MYD88-mutated diffuse large B cell lymphoma; STAT3 program for the treatment of hematologic malignancies and solid tumors, as well as autoimmune diseases and fibrosis; and MDM2 program to treat hematological malignancies and solid tumors.The company was incorporated in 2015 and is headquartered in Watertown, Massachusetts.

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1.b. Last Insights on KYMR

Kymera Therapeutics' recent performance is driven by a consensus "Buy" rating from 22 brokerages, with 19 recommending a buy and 2 a strong buy. This optimism is reflected in the company's initiation of dosing in a mid-stage asthma study of its lead candidate, KT-621, targeting STAT6. The study's top-line BREADTH data is expected in late 2027, further fueling investor enthusiasm. Additionally, the company's recent $602 million public offering and full exercise of underwriters' option to purchase additional shares demonstrate strong investor confidence.

1.c. Company Highlights

Last Price	87.4
Change Percentage	1.04%
Open	85.87
Previous Close	86.5
Market Cap ( Millions)	6900
Volume	1046666
Year High	103
Year Low	19.45
M A 50	78.52
M A 200	56.3

FCF Yield	-3.34%
Dividend Yield	0.00%
ROE	-33.35%
Debt / Equity	8.88%
Net Debt / EBIDTA	10.13%
Price To Book	8.06
Price Earnings Ratio	-25.85
Price To FCF	-29.97
Price To sales	157.78
EV / EBITDA	-24.03

2. Kymera's Q3 2025 Earnings: A Closer Look

Kymera reported revenue of $2.8 million for the third quarter of 2025, entirely attributable to its collaboration with Gilead. The company's research and development (R&D) expenses for the quarter were $74.1 million, with an adjusted cash R&D spend of $65.7 million, reflecting a 7% decrease from the second quarter of 2025. Kymera's EPS loss was $0.9, wider than the estimated loss of $0.71. The company's cash balance stood at $978.7 million as of September, providing a cash runway into the second half of 2028.

Publication Date: Nov -13

                                    📋 Highlights
                                    Phase IIb AD Trial Initiated:
                                                for KT-621 with 200 patients, expected top-line results by mid-2027.
$978.7M Cash Balance:
                                                as of Q3 2025, ensuring operational runway through late 2028.
7% QoQ R&D Cost Reduction:
                                                to $65.7M adjusted cash spend, driven by efficiency measures.
Oral STAT6 Degrader Differentiation:
                                                with potential for 70-80% TARC reduction, targeting dupilumab-treated populations (~130M patients).

                                

Pipeline Progress

Kymera has made significant progress in advancing its oral immunology pipeline, with key achievements including the initiation of the Phase IIb AD study, BROADEN2, and the unveiling of its IRF5 program. The company's STAT6 program, KT-621, has shown impressive results in the healthy volunteer study and is being evaluated in the Phase Ib trial in AD patients. As Nello Mainolfi noted, "Our STAT6 program has demonstrated the ability to block IL-4 and 13 signaling as well as upstream biologics, including IL-4 receptor blocking drugs like dupilumab."

Valuation Metrics

Analyzing Kymera's valuation metrics, we see a P/S Ratio of 104.52, indicating a high revenue multiple. The company's EV/EBITDA ratio stands at -15.18, while its P/E Ratio is -18.79, reflecting the significant losses it is incurring. The ROE and ROIC are both negative, at -33.35% and -31.82%, respectively. These metrics suggest that the market is pricing in significant growth expectations, but also highlighting the risks associated with the company's current financial performance.

Future Outlook

Analysts estimate a revenue decline of 17.8% for Kymera next year, indicating a challenging financial outlook. However, the company's progress in its pipeline and its cash position provide a foundation for future growth. As Kymera continues to advance its clinical programs, investors will be watching closely for updates on its STAT6 program and other pipeline developments.

3. NewsRoom

Kymera Therapeutics to Report Fourth Quarter and Full Year 2025 Financial Results on February 26, 2026

Feb -19

Source: globenewswire.com

Kymera Therapeutics Stock Up 120% in 1 Year as Fund Adds $3 Million More

Feb -17

Source: fool.com

Kymera Therapeutics, Inc. (NASDAQ:KYMR) Given Consensus Rating of “Buy” by Brokerages

Feb -02

Source: defenseworld.net

KYMR Initiates Dosing in Mid-Stage Asthma Study of Lead Candidate

Jan -30

Source: zacks.com

SG Americas Securities LLC Sells 13,633 Shares of Kymera Therapeutics, Inc. $KYMR

Jan -25

Source: defenseworld.net

Kymera Therapeutics, Inc. (KYMR) Presents at 44th Annual J.P. Morgan Healthcare Conference Transcript

Jan -13

Source: seekingalpha.com

Kymera Therapeutics Outlines Key 2026 Objectives and Strategy to Advance Industry Leading Portfolio of Oral Immunology Programs

Jan -13

Source: globenewswire.com

Kymera Therapeutics (KYMR) Upgraded to Buy: Here's Why

Jan -12

Source: zacks.com

4. Business Breakdown

4.a. Revenues by Country

4.b. Revenues by Segment

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

6. Segments

Small Molecule Therapeutics

Expected Growth: 9.27%

Kymera Therapeutics' Small Molecule Therapeutics segment growth of 9.27% is driven by increasing demand for targeted protein degradation therapies, strategic partnerships, and a strong pipeline of novel E3 ubiquitin ligase-based molecules. Additionally, advancements in PROTAC technology and expanding research in oncology and immunology further fuel growth.

7. Detailed Products

KT-474

A novel, orally bioavailable, irreversible inhibitor of the ubiquitin ligase cereblon, for the treatment of multiple myeloma and other hematologic malignancies.

KT-333

A novel, orally bioavailable, irreversible inhibitor of the ubiquitin ligase IRAK4, for the treatment of immune-inflammatory diseases.

E3 ubiquitin ligase degraders

A novel class of targeted protein degraders that harness the body's natural protein degradation machinery to eliminate disease-causing proteins.

8. Kymera Therapeutics, Inc.'s Porter Forces

Forces Ranking

Threat Of Substitutes

Kymera Therapeutics, Inc. operates in a niche market with limited substitutes, but the threat of substitutes is still present due to the ongoing research and development in the biotechnology industry.

Bargaining Power Of Customers

Kymera Therapeutics, Inc. has a diverse customer base, which reduces the bargaining power of individual customers. Additionally, the company's products are highly specialized, making it difficult for customers to switch to alternative suppliers.

Bargaining Power Of Suppliers

Kymera Therapeutics, Inc. relies on a few key suppliers for raw materials and services, which gives them some bargaining power. However, the company's strong relationships with its suppliers and its ability to negotiate contracts mitigate this risk.

Threat Of New Entrants

The biotechnology industry has high barriers to entry, including significant capital requirements, complex regulatory requirements, and the need for specialized expertise. This makes it difficult for new entrants to enter the market.

Intensity Of Rivalry

The biotechnology industry is highly competitive, with many established players and new entrants vying for market share. Kymera Therapeutics, Inc. faces intense competition from companies with similar products and technologies.

9. SWOT Analysis

10. Capital Structure

10.a. Balance Sheet

10.b. Weighted Average Cost of capital

	Value
Debt Weight	17.65%
Debt Cost	3.95%
Equity Weight	82.35%
Equity Cost	15.51%
WACC	13.47%
Leverage	21.44%

11. Quality Control: Kymera Therapeutics, 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

Dianthus Therapeutics

A-Score: 4.8/10

Value: 6.7

Growth: 6.0

Quality: 5.0

Yield: 0.0

Momentum: 9.5

Volatility: 1.7

1-Year Total Return ->

Kymera Therapeutics

A-Score: 4.1/10

Value: 6.2

Growth: 3.1

Quality: 5.1

Yield: 0.0

Momentum: 8.5

Volatility: 1.7

1-Year Total Return ->

MannKind

A-Score: 4.0/10

Value: 2.5

Growth: 8.7

Quality: 7.1

Yield: 0.0

Momentum: 2.5

Volatility: 3.3

1-Year Total Return ->

Syros Pharmaceuticals

A-Score: 3.2/10

Value: 8.0

Growth: 5.4

Quality: 5.6

Yield: 0.0

Momentum: 0.0

Volatility: 0.0

1-Year Total Return ->

TScan Therapeutics

A-Score: 2.9/10

Value: 8.2

Growth: 4.2

Quality: 4.4

Yield: 0.0

Momentum: 0.0

Volatility: 0.7

1-Year Total Return ->

OmniAb

A-Score: 2.7/10

Value: 7.5

Growth: 1.6

Quality: 4.6

Yield: 0.0

Momentum: 0.0

Volatility: 2.7

1-Year Total Return ->

Peers Metrics

12.e Scoring ^Insights

12.f DCF ^BETA

Parameters

Short Term Growth

46.49%

Short term Time

10.0

Long-Term Growth

2.00%

WACC

13.47%

Kymera Therapeutics, Inc. - US5015751044

1. Company Snapshot

1.a. Company Description

1.b. Last Insights on KYMR

1.c. Company Highlights

Strong Momentum

Lower Growth

Average Quality

Earnings Beats

Revenues Miss

Medium Volatility

Revenues Beats

Average Yield

Stable Momentum

Earnings Miss

Average Growth

2. Kymera's Q3 2025 Earnings: A Closer Look

Pipeline Progress

Valuation Metrics

Future Outlook

3. NewsRoom

4. Business Breakdown

4.a. Revenues by Country

4.b. Revenues by Segment

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

6. Segments

Small Molecule Therapeutics

Expected Growth: 9.27%

7. Detailed Products

KT-474

KT-333

E3 ubiquitin ligase degraders

8. Kymera Therapeutics, 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: Kymera Therapeutics, 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

87.4$

Current Price

87.4$

Potential

-0.00%

Expected Cash-Flows

12.e Scoring ^Insights

12.f DCF ^BETA