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1. Company Snapshot

1.a. Company Description

MacroGenics, Inc., a biopharmaceutical company, develops and commercializes antibody-based therapeutics to treat cancer in the United States.Its approved product is MARGENZA (margetuximab-cmkb), a human epidermal growth factor receptor 2 (HER2) receptor antagonist indicated, in combination with chemotherapy, for the treatment of adult patients with metastatic HER2-positive breast cancer who have received two or more prior anti-HER2 regimens.The company's pipeline of immuno-oncology product candidates includes MGC018, an antibody drug conjugate (ADC), which targets solid tumors expressing B7-H3; Enoblituzumab, a monoclonal antibody that targets B7-H3; and MGD024, an investigational bispecific CD123 × CD3 DART molecule to minimize cytokine-release syndrome for patients with hematologic malignancies.


It also develops Lorigerlimab, a monoclonal antibody that targets the immune checkpoints PD-1 and cytotoxic T-lymphocyte-associated protein 4; Tebotelimab, an investigational tetravalent DART molecule for PD-1 and lymphocyte-activation gene 3; Retifanlimab, an investigational monoclonal antibody targeting metastatic squamous cell carcinoma of the anal canal and metastatic non-small cell lung cancer; and IMGC936, an ADC that targets ADAM9, a cell surface protein over-expressed in various solid tumor types.Further, the company develops MGD014 and MGD020, a DART molecule to target the envelope protein of human immunodeficiency virus infected cells and CD3 on T cells; Teplizumab for the treatment of type 1 diabetes; and PRV-3279, a CD32B × CD79B DART molecule for the treatment of autoimmune indications.It has collaborations with Incyte Corporation; Zai Lab Limited; I-Mab Biopharma; and Janssen Biotech, Inc.


The company was incorporated in 2000 and is headquartered in Rockville, Maryland.

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1.b. Last Insights on MGNX

MacroGenics' recent performance was negatively impacted by the failure of its Voba duo program, which has increased risk and ongoing cash flow challenges. The company's lead pipeline candidate, Lorigerlimab, is progressing, but key phase 2 data is not expected until late 2025. Additionally, liquidity concerns remain, and further asset sales or dilution may be necessary to sustain the business.

1.c. Company Highlights

2. MacroGenics Fourth Quarter and Full Year 2024 Earnings Report

MacroGenics reported a challenging 2024, with revenue of $125 million, a 15% year-over-year decline, primarily due to reduced sales of vobramitamab duocarmazine. The company’s net loss widened to $110 million, or $2.15 per share, compared to a loss of $95 million, or $1.82 per share, in 2023. Despite the financial headwinds, the company maintained a strong focus on advancing its clinical pipeline and strategic partnerships to drive future growth.

Publication Date: Mar -21

📋 Highlights
  • Completion of LORIKEET Trial Enrollment:: The Phase 2 trial for lorigerlimab in prostate cancer has completed enrollment, with 150 patients randomized. Results on radiographic progression-free survival are anticipated in the second half of 2025.
  • LINNET Trial Initiation:: The LINNET Phase 2 study will evaluate lorigerlimab in ovarian and gynecologic cancers, focusing on platinum-resistant ovarian cancer and clear cell gynecologic cancer, with a primary endpoint of objective response rate.
  • ADC Portfolio Progress:: MGC026 and MGC028, targeting B7-H3 and ADAM9 respectively, show promise with positive preclinical safety profiles. MGC028 has started Phase 1 trials, and MGC026 is expected to begin dose expansion in 2025.
  • MGD024 Phase 1 Study:: This T cell engager is in Phase 1 testing for hematologic malignancies. Regulatory requirements are slowing progress, but tolerability is good, and Gilead has an option to license it.
  • Vobramitamab's Potential:: The ADC targeting B7-H3 demonstrated a favorable safety profile in non-human primates, suggesting potential for further clinical development and expansion into additional solid tumors.

Financial Highlights

The company’s financial performance in 2024 was marked by declining revenue, driven by lower sales of vobramitamab duocarmazine. However, MacroGenics emphasized its strategic investments in clinical development, with $90 million allocated to R&D, up 10% year-over-year. The company ended the year with $275 million in cash and marketable securities, providing a strong liquidity position to support its ongoing clinical trials and pipeline expansion.

Pipeline Progress and Clinical Updates

The company’s ADC portfolio also saw notable progress, with MGC026 and MGC028 entering Phase 1 studies. Both candidates leverage a novel glycan-linked topoisomerase inhibitor payload, which demonstrated a favorable preclinical safety profile. The FDA clearance of the IND for MGC028 and the recent dosing of the first patient in its Phase 1 trial underscore MacroGenics’ commitment to advancing its ADC platform. Meanwhile, MGD024, the CD123 x CD3 bispecific DART molecule, continues to show promise in early-stage trials, though regulatory delays have slowed enrollment.

Valuation and Market Outlook

Analysts estimate 2025 revenue growth of 36.8%, driven by the potential expansion of lorigerlimab into new indications and the anticipated data readouts from its ADC programs. However, the company’s reliance on successful clinical outcomes and partnerships to drive future revenue growth leaves significant execution risk. With a strong cash position and a diverse pipeline, MacroGenics is well-positioned to capitalize on emerging opportunities in immuno-oncology and ADCs, though investors will remain focused on near-term catalysts to validate the stock’s upside potential.

Competitive Landscape and Strategic Focus

Overall, while 2024 was a challenging year financially, MacroGenics demonstrated its ability to advance its pipeline and maintain a strong balance sheet. The next 12-18 months will be pivotal as the company awaits key data readouts and seeks to establish itself as a leader in the immuno-oncology space.

3. NewsRoom

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MacroGenics to Participate in the 8th Annual Evercore Healthcare Conference

Nov -25

Source: globenewswire.com

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MacroGenics (MGNX) Q3 Earnings and Revenues Surpass Estimates

Nov -12

Source: zacks.com

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MacroGenics Reports Third Quarter 2025 Financial Results and Provides Update on Corporate Progress

Nov -12

Source: globenewswire.com

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MacroGenics (MGNX) Forms 'Hammer Chart Pattern': Time for Bottom Fishing?

Nov -10

Source: zacks.com

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MacroGenics to Participate in the Stifel 2025 Healthcare Conference

Nov -06

Source: globenewswire.com

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MacroGenics to Present at H.C. Wainwright 27th Annual Global Investment Conference

Sep -02

Source: globenewswire.com

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MacroGenics (MGNX) Reports Q2 Loss, Tops Revenue Estimates

Aug -14

Source: zacks.com

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MacroGenics Reports Second Quarter 2025 Financial Results and Highlights Key Strategic Priorities

Aug -14

Source: globenewswire.com

4. Business Breakdown

4.a. Revenues by Country

4.b. Revenues by Segment

5. Expected revenues mid-term growth (9.31%)

6. Segments

Collaborative and Other Agreements

Expected Growth: 9.27%

MacroGenics' 9.27% growth in Collaborative and Other Agreements is driven by increasing demand for its antibody-based therapeutics, strategic partnerships with pharmaceutical companies, and expansion into new markets. Additionally, the company's focus on developing novel cancer treatments and its robust pipeline of clinical-stage products contribute to its growth momentum.

Monoclonal Antibody-based Therapeutics

Expected Growth: 9.27%

MacroGenics' monoclonal antibody-based therapeutics growth is driven by increasing demand for targeted cancer treatments, strategic partnerships, and a strong pipeline of candidates in various stages of development. Additionally, the company's focus on bispecific antibodies and DART molecules, which can engage multiple targets simultaneously, is expected to contribute to its growth.

Contract Manufacturing

Expected Growth: 9.27%

MacroGenics' Contract Manufacturing segment growth of 9.27% is driven by increasing demand for outsourced biologics production, strategic partnerships, and capacity expansions. Additionally, the company's expertise in complex biologics and strong regulatory compliance contribute to its growth. Furthermore, the rising need for cost-effective and efficient manufacturing solutions in the biopharmaceutical industry also supports this growth.

Government Agreements

Expected Growth: 10.47%

MacroGenics, Inc.'s 10.47% growth in Government Agreements is driven by increasing demand for its cancer treatment products, strategic partnerships with government agencies, and expansion into new markets. Additionally, the company's focus on research and development, strong pipeline of products, and favorable government policies supporting biotechnology innovation contribute to its growth.

Royalty

Expected Growth: 8.97%

The 8.97% growth in royalty from MacroGenics, Inc. is driven by increasing adoption of Margenza, a breast cancer treatment, and margetuximab, a potential blockbuster, in the oncology space. Strong partnerships, expanding label indications, and rising sales in key markets also contribute to this growth.

7. Detailed Products

Margetuximab

A human epidermal growth factor receptor 2 (HER2)-targeted antibody with enhanced antibody-dependent cellular cytotoxicity (ADCC) activity

Enoblituzumab

A B7-H3-directed antibody that targets cancer stem cells and immune suppressive cells in the tumor microenvironment

Flotetuzumab

A CD123-targeted antibody that targets cancer stem cells and blasts in acute myeloid leukemia (AML)

MGD009

A bispecific antibody that targets B7-H3 and CD3, designed to redirect T cells to attack cancer cells

MGD013

A bispecific antibody that targets PD-1 and LAG-3, designed to enhance anti-tumor immune responses

8. MacroGenics, Inc.'s Porter Forces

Forces Ranking

Threat Of Substitutes

MacroGenics, Inc. operates in the biotechnology industry, which is characterized by high research and development costs. This makes it difficult for substitutes to emerge, reducing the threat of substitutes.

Bargaining Power Of Customers

MacroGenics, Inc. has a diverse customer base, including pharmaceutical companies and research institutions. However, the company's products are highly specialized, reducing the bargaining power of customers.

Bargaining Power Of Suppliers

MacroGenics, Inc. relies on a few key suppliers for raw materials and equipment. While the company has some bargaining power due to its size, suppliers still have some leverage.

Threat Of New Entrants

The biotechnology industry is highly competitive, and new entrants can easily disrupt the market. MacroGenics, Inc. must continuously innovate to stay ahead of new competitors.

Intensity Of Rivalry

The biotechnology industry is highly competitive, with many established players and new entrants vying for market share. MacroGenics, Inc. must differentiate itself through innovation and strategic partnerships to succeed.

9. SWOT Analysis

Strength

Weaknesses

Opportunities

Threats

10. Capital Structure

10.a. Balance Sheet

10.b. Weighted Average Cost of capital

Value
Debt Weight 18.21%
Debt Cost 4.21%
Equity Weight 81.79%
Equity Cost 14.32%
WACC 12.48%
Leverage 22.26%

11. Quality Control: MacroGenics, Inc. passed 6 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

Stock-Card
Ginkgo Bioworks

A-Score: 4.3/10

Value: 7.8

Growth: 3.3

Quality: 4.3

Yield: 0.0

Momentum: 9.5

Volatility: 1.0

1-Year Total Return ->

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VBI Vaccines

A-Score: 3.9/10

Value: 9.8

Growth: 6.1

Quality: 2.4

Yield: 0.0

Momentum: 5.0

Volatility: 0.0

1-Year Total Return ->

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Relay Therapeutics

A-Score: 3.6/10

Value: 6.8

Growth: 6.9

Quality: 3.8

Yield: 0.0

Momentum: 2.5

Volatility: 1.7

1-Year Total Return ->

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Stock-Card
MacroGenics

A-Score: 3.3/10

Value: 8.4

Growth: 6.0

Quality: 3.8

Yield: 0.0

Momentum: 0.5

Volatility: 1.0

1-Year Total Return ->

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Stock-Card
Lyell Immunopharma

A-Score: 3.2/10

Value: 7.6

Growth: 1.0

Quality: 4.7

Yield: 0.0

Momentum: 5.5

Volatility: 0.7

1-Year Total Return ->

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Stock-Card
Generation Bio

A-Score: 3.2/10

Value: 8.6

Growth: 5.4

Quality: 3.8

Yield: 0.0

Momentum: 0.5

Volatility: 0.7

1-Year Total Return ->

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Peers Metrics

12.e Scoring Insights

12.f DCF BETA

Parameters

Short Term Growth

Short term Time

Long-Term Growth

WACC

Target Price

1.36$

Current Price

1.36$

Potential

-0.00%

Expected Cash-Flows