Denali Therapeutics Inc.
DNLIAbout the company
Denali Therapeutics Inc., a biopharmaceutical company, discovers and develops therapeutics to treat neurodegenerative and lysosomal storage diseases. The company develops Eclitasertib (SAR443122/DNL758) RIPK1 inhibitor program for peripheral inflammatory diseases; BIIB122/DNL151 LRRK2 inhibitor program for Parkinson's disease; TAK-594/DNL593 program for frontotemporal dementia-granulin; DNL126 program for MPS IIIA (Sanfilippo Syndrome A); and DNL310 Tividenofusp alfa, an enzyme replacement therapy program for MPS II (Hunter Syndrome).
Investment snapshot
Positive
0
BUY / PASS
Neutral / negative
2 / 14
NEUTRAL / FAIL
Median fair value
—
No comparable estimates
Models with upside
0 / 17
Positive margin of safety
Strongest signal
8 of 12 pass — Graham, Buffett, Lynch +1 more object
Key risk
No clean pass — all 16 investors flag at least one profitability criterion
Framework analysis
| Verdict | Meaning |
|---|---|
| BUY | Positive purchase signal: the framework's buy requirements are met. |
| PASS | The company clears the framework's checklist or screen, but the framework does not produce a buy signal. For valuation frameworks this often means margin of safety is missing, insufficient, or unavailable; some screen-only frameworks have no intrinsic-value BUY state. |
| NEUTRAL | Neither a positive nor negative conclusion. It does not mean to hold an existing position. |
| FAIL | The company does not clear the framework's requirements. |
| Ranked | Ranked strategies do not use PASS: selected cohort is BUY, outside the cohort is FAIL, and unranked is NEUTRAL. |
Current investor scores use trailing 12-month flows and the latest balance sheet where supported. Multi-year and EPS tests retain annual history; each framework shows its financial basis below. Intrinsic values use annual financials.
| Metric | Graham Defensive Value | Buffett Quality Compounder | Lynch GARP | Greenblatt Magic Formula | Piotroski F-Score | Dreman Contrarian Value | Munger Quality Focus | Pabrai Dhandho Framework | Akre Three-Legged Stool | Marks Risk-Aware Value | Ackman Activist Value | Templeton Global Bargain Hunter | Sleep Scale Economies Shared | Asness Systematic Factors | Neff Low-P/E Total Return | Schloss Asset-Value Discipline | O'Shaughnessy Systematic Factor Composite |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Verdict | FAIL | FAIL | FAIL | FAIL · Rank #2584 (Top 83.4%) | FAIL | FAIL | FAIL | FAIL | FAIL | FAIL | FAIL | FAIL | FAIL | NEUTRAL | FAIL | FAIL | NEUTRAL |
| Score | |||||||||||||||||
| Analysis | Checking access… | Checking access… | Checking access… | Checking access… | Checking access… | Checking access… | Checking access… | Checking access… | Checking access… | Checking access… | Checking access… | Checking access… | Checking access… | Checking access… | Checking access… | Checking access… | Checking access… |
| Intrinsic Value (annual) | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Margin of Safety | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Financial Basis | Annual history · FY 2025 · Balance sheet at 2026-09-30 Latest source filing: 2026-11-03 Score computed: 2026-11-14 | Annual history · FY 2025 Latest source filing: 2026-02-26 Score computed: 2026-11-14 | Annual history · FY 2025 · Balance sheet at 2026-09-30 · TTM ended 2026-09-30 Latest source filing: 2026-11-03 Score computed: 2026-11-14 | Annual history · FY 2025 Latest source filing: 2026-02-26 Score computed: 2026-11-14 | Annual history · FY 2025 Latest source filing: 2026-02-26 Score computed: 2026-11-14 | Annual history · FY 2025 · TTM ended 2026-09-30 · Balance sheet at 2026-09-30 · Market data at 2026-11-01 Latest source filing: 2026-11-03 Score computed: 2026-11-14 | Qualitative assessment · Annual history · FY 2025 · TTM ended 2026-09-30 · Balance sheet at 2026-09-30 Latest source filing: 2026-11-03 Score computed: 2026-11-14 | Qualitative assessment · Annual history · FY 2025 Latest source filing: 2026-02-26 Score computed: 2026-11-14 | Annual history · FY 2025 · Qualitative assessment · Balance sheet at 2026-09-30 Latest source filing: 2026-11-03 Score computed: 2026-11-14 | Annual history · FY 2025 · Qualitative assessment Latest source filing: 2026-02-26 Score computed: 2026-11-14 | Annual history · FY 2025 · TTM ended 2026-09-30 · Balance sheet at 2026-09-30 · Market data at 2026-11-01 Latest source filing: 2026-11-03 Score computed: 2026-11-14 | Annual history · FY 2025 · Price history 2025-01-01–2026-11-01 · Balance sheet at 2026-09-30 Latest source filing: 2026-11-03 Score computed: 2026-11-14 | Annual history · FY 2025 · Qualitative assessment Latest source filing: 2026-02-26 Score computed: 2026-11-14 | TTM ended 2026-09-30 · Balance sheet at 2026-09-30 · Price history 2025-01-01–2026-11-01 · Annual history · FY 2025 Latest source filing: 2026-11-03 Score computed: 2026-11-14 | Annual history · FY 2025 · TTM ended 2026-09-30 Latest source filing: 2026-11-03 Score computed: 2026-11-14 | Annual history · FY 2025 · Balance sheet at 2026-09-30 Latest source filing: 2026-11-03 Score computed: 2026-11-14 | Annual history · FY 2025 · TTM ended 2026-09-30 · Price history 2025-01-01–2026-11-01 Latest source filing: 2026-11-03 Score computed: 2026-11-14 |
Where It Passes
- Debt & Leverage67% pass✓ 11✗ 4▾
8 of 12 pass — Graham, Buffett, Lynch +1 more object
LT Debt vs Net Current Assets✗GrahamLT Debt <= Net Current AssetsDebt/Equity & Interest CoverageD/E: 0.01, IC: N/A✗BuffettD/E < 0.5 AND Interest Coverage > 5xTotal Debt / Equity0.01✓Lynch< 0.33Cash - Long-term Debt✗LynchPositive preferredLT Debt / Total Assets Change0.00% -> 0.00%✓PiotroskiDecreased YoYCurrent Assets / Current Liabilities6.21✓Dreman> 1.5✓SchlossCurrent ratio >= 1.50x (app cutoff)Total Debt / Shareholders' Equity0.01✓Dreman< 0.8✓Templeton< 1.0 (fixed cap; proxy for below-sector-median leverage)✓SchlossD/E < 1.00xDebt Levels0.01✓MungerDebt/Equity < 0.5✓AkreDebt/Equity < 0.3Interest Coverage & Debt/EBITDA✗MarksInterest Coverage > 3x; Debt/EBITDA < 4xTotal Debt / Shareholders Equity0.01✓Ackman<= 1.0Negative debt-to-equity (higher means less debt)-0.0060; #527/4210 (top 12.5%)✓AsnessTop 30% of eligible cross-section
Where It Falls Short
- Profitability0% pass✓ 1✗ 34▾
No clean pass — all 16 investors flag at least one profitability criterion
Positive EPS (10 years)1/11 years positive✗GrahamPositive EPS every year for 10 yearsEPS Growth (3-yr avg, 10-yr window)N/A (negative base EPS)✗Graham>= 33% growthNet Income Positive (10+ years)1/11 years positive✗BuffettPositive every year for 10+ yearsROE (up to 5-year arithmetic mean)-32.1%✗Buffett> 15% arithmetic mean (app rule)Operating Margin (10-yr trend)-59.5% (latest)✗BuffettStable or rising over 10 yearsFree Cash Flow Proxy$-510.9M✗BuffettPositive and growingEarnings Variance (10-yr CoV)N/A (negative mean EPS)✗BuffettCoV < 0.3Retained Earnings Effectiveness✗Buffett$1 retained -> > $1 market value createdBasic earnings-growth PEG (dividends excluded)✗Lynch< 1.0 (ideally < 0.5)3-5 Year EPS CAGR✗Lynch15-30% (Fast Grower); > 0% to passROE-33.9%✗Lynch> 15%EBIT / Enterprise Value-19.8%✗Greenblatt> 10%Earnings Yield + ROC AssessmentEY=-19.8%, ROC=-85.5%✗GreenblattBoth EY > 10% and ROC > 25%Net Income / Total Assets-44.77%✗PiotroskiROA > 0ROA Change YoY-30.77% -> -44.77% (delta: -14.00%)✗PiotroskiCurrent ROA > Prior ROA(CFO / Total Assets) vs ROACFO/Assets=-36.04%, ROA=-44.77%✓PiotroskiCFO/Assets > ROAGross Margin Change YoY✗PiotroskiImproved YoYPre-Tax Income / Revenue✗Dreman>= 8%Net Income / Shareholders' Equity-33.9%✗Dreman> 12%Margin of SafetyP/B=2.9x✗PabraiP/B < 1.5 or P/E < 15Return on Equity-33.0% (3-yr avg)✗AkreROE > 20% (3-year avg)Discount to Intrinsic ValueN/A (negative normalized EPS)✗Marks>= 20% below intrinsic valuePositive Net Income Frequency1/10 years positive✗MarksPositive net income in >= 7 of last 10 yearsOperating Income / Revenue✗Ackman>= 15%Net Income / Shareholders Equity-33.9%✗Ackman>= 15%5-Year EPS CAGR✗Templeton> 0% (5-year EPS CAGR)Operating Margin Trend✗TempletonNon-negative operating-margin trend over 3 yearsRevenue growth vs. gross and operating margin trend✗SleepRevenue rising; gross margin flat or falling; operating margin holdingNet income / market capitalization-10.47%; #4204/6340 (top 66.3%)✗AsnessTop 30% of eligible cross-section✗OshaughnessyTop 10% of eligible cross-sectionGross profit / total assets✗AsnessTop 30% of eligible cross-sectionNet income / positive book equity-33.94%; #3969/5226 (top 75.9%)✗AsnessTop 30% of eligible cross-sectionNegative 5-year standard deviation of ROA-0.1092; #3590/5884 (top 61.0%)✗AsnessTop 30% of eligible cross-section3-5 Year Diluted EPS CAGR✗Neff7%-20% annualizedPositive Diluted-EPS Years1/10 years positive✗Schloss>= 70% positive over 5-10 observed years (app rule) - Valuation0% pass✗ 28▾
All 13 investors flag DNLI's valuation
Price / 3-yr avg EPS✗Graham<= 15xPrice-to-Book Ratio2.9x✗Graham<= 1.5xP/E x P/B✗Graham<= 22.5Basic earnings-growth PEG (dividends excluded)✗Lynch< 1.0 (ideally < 0.5)EBIT / Enterprise Value-19.8%✗Greenblatt> 10%Earnings Yield + ROC AssessmentEY=-19.8%, ROC=-85.5%✗GreenblattBoth EY > 10% and ROC > 25%Price / EPS✗Dreman< 12x✗Templeton< 12x (fixed ceiling; proxy for the market's cheapest 40%)Price / (CFO / Shares)N/A (negative CFPS)✗Dreman< 8xPrice / Book Value per Share2.9x✗Dreman< 1.2x✗Templeton< 1.5x✗SchlossP/B <= 0.80x (app cutoff)Valuation ReasonablenessOE Yield=-17.2%✗MungerP/E < 25 or Owner Earnings Yield > 5%P/E or FCF YieldFCF Yield=-14.1%✗PabraiP/E < 15 or FCF Yield > 10%P/B or P/E vs. Historical AverageP/B=2.9x✗MarksP/E < 15 or P/B < 2.0Discount to Intrinsic ValueN/A (negative normalized EPS)✗Marks>= 20% below intrinsic valuePrice / FCF per ShareN/A (negative FCF)✗Ackman<= 25Price vs. Trailing Low142% of trailing low ($13.24)✗Templeton<= 120% of trailing low (certified split-adjusted live window)Net income / market capitalization-10.47%; #4204/6340 (top 66.3%)✗AsnessTop 30% of eligible cross-section✗OshaughnessyTop 10% of eligible cross-sectionPositive book equity / market capitalization+0.3084; #3661/6449 (top 56.8%)✗AsnessTop 30% of eligible cross-sectionPrice / Diluted EPS✗NeffP/E <= 15x (app proxy for a P/E 40%-60% below the market)(EPS CAGR % + Dividend Yield %) / P/E✗Neff> 0.7 (Neff's published traditional edge)Price / Tangible Book Value per Share2.93x✗SchlossP/TBV <= 1.00x (app cutoff)Book Value per Share Change-32.8%✗SchlossLatest BVPS >= earliest BVPS over >= 3 years (app rule)Revenue / market capitalization+0.0000; #5080/5247 (top 96.8%)✗OshaughnessyTop 10% of eligible cross-section(Operating cash flow - capex) / market capitalization-14.98%; #3401/4519 (top 75.3%)✗OshaughnessyTop 10% of eligible cross-sectionTrailing six-month price return through the evaluation date-2.55%; #2969/6202 (top 47.9%)✗OshaughnessyTop 10% of eligible cross-section - Cash Flow0% pass✓ 1✗ 11▾
No clean pass — all 10 investors flag at least one cash flow criterion
Free Cash Flow Proxy$-510.9M✗BuffettPositive and growingFCF Positive and Growing$-422.1M✗LynchPositive and growingOperating Cash Flow$-412.6M✗PiotroskiCFO > 0(CFO / Total Assets) vs ROACFO/Assets=-36.04%, ROA=-44.77%✓PiotroskiCFO/Assets > ROAPrice / (CFO / Shares)N/A (negative CFPS)✗Dreman< 8xP/E or FCF YieldFCF Yield=-14.1%✗PabraiP/E < 15 or FCF Yield > 10%FCF Positive2/10 years FCF positive✗MarksPositive FCF in majority of recent years(OCF - CapEx) / Market Cap-15.1%✗Ackman>= 4%Price / FCF per ShareN/A (negative FCF)✗Ackman<= 25Positive Operating Cash Flow frequency2/10 years positive✗SleepPositive OCF in >= 70% of available yearsOperating Cash Flow - Capital Expenditures$-450.0M✗Neff> $0 (app proxy for a strong fundamental case)(Operating cash flow - capex) / market capitalization-14.98%; #3401/4519 (top 75.3%)✗OshaughnessyTop 10% of eligible cross-section - Growth0% pass✓ 2✗ 11▾
No clean pass — all 8 investors flag at least one growth criterion
EPS Growth (3-yr avg, 10-yr window)N/A (negative base EPS)✗Graham>= 33% growthBasic earnings-growth PEG (dividends excluded)✗Lynch< 1.0 (ideally < 0.5)3-5 Year EPS CAGR✗Lynch15-30% (Fast Grower); > 0% to passInventory Growth vs Revenue GrowthN/A (no inventory)✓LynchInventory growth < Revenue growthEPS Growth Direction$-13.49 (2016) -> $-2.97 (2025)✗DremanPositive over recent yearsEPS CAGR✗Dreman> 5% annualizedPositive Net Income Frequency1/10 years positive✗MarksPositive net income in >= 7 of last 10 years3yr Median Revenue Growth204.7%✓Ackman>= 5%Positive EPS Growth Frequency1/5 years with positive EPS growth✗AckmanPositive EPS growth in >= 3 of last 5 years5-Year EPS CAGR✗Templeton> 0% (5-year EPS CAGR)Revenue growth vs. gross and operating margin trend✗SleepRevenue rising; gross margin flat or falling; operating margin holding5-year Revenue CAGR✗SleepCAGR > 7%3-5 Year Diluted EPS CAGR✗Neff7%-20% annualized - Verdicts0% pass✗ 15▾
Split decision: 14 FAIL · 2 NEUTRAL
Overall verdict✗GrahamFAIL (1/9)✗BuffettFAIL (0/9)✗LynchFAIL (2/7)✗GreenblattRank #2584✗PiotroskiFAIL (F-Score 3)✗DremanFAIL (3/11)✗MungerFAIL (1/4)✗PabraiFAIL (0/3)✗AkreFAIL (1/6)✗MarksFAIL (0/5)✗AckmanFAIL (3/9)✗TempletonFAIL (2/8)✗SleepFAIL (1/6)•AsnessNEUTRAL (Not ranked)✗NeffFAIL (1/6)✗SchlossFAIL (2/7)•OshaughnessyNEUTRAL (Not ranked) - Efficiency25% pass✓ 3✗ 8▾
6 of 8 flag DNLI's efficiency — Buffett, Greenblatt, Piotroski +3 more
Current Ratio6.21✓Graham>= 2.0ROIC (3-5 yr avg)-35.8%✗Buffett> 10%ROIC - WACC-45.8%✗BuffettPositive (WACC = 10%)EBIT / (NWC + Net Fixed Assets)-85.5%✗Greenblatt> 25%Current Ratio Change YoY8.46 -> 9.16✓PiotroskiIncreased YoYRevenue / Total Assets Change YoY0.00x -> 0.00x✗PiotroskiImproved YoYCurrent Assets / Current Liabilities6.21✓Dreman> 1.5Return on Invested Capital-45.1%✗Munger> 15%ROIC (high and growing)FY2023: ROIC=-15.1%; FY2024: ROIC=-31.1%; FY2025: ROIC=-43.0%✗AkreLatest 3 consecutive FYs: ROIC > 15% in eachReinvestment Rate x ROICN/A (non-positive net income)✗AkreReinvestment Rate * ROIC > 10%ROIC (5-year)0/3 years above 12% (latest -43.0%)✗SleepROIC > 12% in a majority of years
Business & financials
Financial snapshot: annual FY 2025. Current investor scores may use newer quarterly data.
Company Profile
Financial Snapshot
Shareholder Return
Fiscal 2025
Issued 9.2% of shares last year, 14.0% issued over two.
- Buybacks
- —
- Dividends
- —
Company Financials
Latest TTM and quarters alongside annual years
TTM sums four consecutive quarters and uses the latest quarter-end balances. Quarter columns show three-month results; annual columns show full-year totals. Growth compares the same period a year earlier. EPS is not added for TTM; full-year ratios are blank for quarters.
The latest annual period end is unavailable. Showing the latest fiscal cycle’s quarters; quarter and annual columns may overlap. Quarterly shows the full quarter history.
| Metric | TTM · 2026-09-30 2025-10-01 – 2026-09-30 Sources · derived quarter valuesDerived from cumulative filings: net income, operating income, ebit, operating cash flow, depreciation amortization, capex. | Q3 FY 2026 2026-07-01 – 2026-09-30 Sources · derived quarter valuesDerived from cumulative filings: operating cash flow, depreciation amortization, capex. | Q2 FY 2026 2026-04-01 – 2026-06-30 Sources · derived quarter valuesDerived from cumulative filings: operating cash flow, depreciation amortization, capex. | Q1 FY 2026 2026-01-01 – 2026-03-31 Sources | FY 2025Sources
| FY 2024Sources
| FY 2023Sources
| FY 2022Sources
| FY 2021Sources
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|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $3.0Bcurrent | -- | -- | -- | $3.4Best. | $3.4Best. | $2.2Best. | $4.1Best. | $4.2Best. |
| Revenue | -- | $17.8M | $3.6M | -- | $0 | $0↓100% | $330.5M↑205% | $108.5M↑123% | $48.7M |
| Operating Income | -$532.0M↑3% | -$126.8M↑8% | -$130.5M↑3% | -$137.4M↑6% | -$555.3M↓14% | -$487.3M↓148% | -$196.7M↑42% | -$340.7M↓15% | -$295.8M |
| Net Income | -$314.4M↑37% | $70.1M↑155% | -$127.6M↓3% | -$128.4M↑3% | -$512.5M↓21% | -$422.8M↓191% | -$145.2M↑55% | -$326.0M↓12% | -$290.6M |
| EPS (Diluted) | -- | $0.37↑150% | $-0.68↑6% | $-0.69↑12% | $-2.97↓16% | $-2.57↓142% | $-1.06↑59% | $-2.60↓9% | $-2.39 |
| Gross Margin | — | — | — | — | — | — | — | — | — |
| Operating Margin | — | -713.0% | -3622.1% | — | — | — | -59.5%↑81% | -314.2%↑48% | -607.8% |
| ROE | -33.9%↑37% | — | — | — | -50.6%↓47% | -34.4%↓144% | -14.1%↑55% | -31.3%↓4% | -30.2% |
| Total Debt | $5.6M↓1% | $5.6M↓1% | $5.6M↓20% | $5.6M↓34% | $5.6M↓40% | $9.3M | $0 | -- | -- |
| Shareholders' Equity | $926.4M | $926.4M | $835.2M↓19% | $926.1M↓18% | $1.0B↓18% | $1.2B↑19% | $1.0B↓1% | $1.0B↑8% | $962.3M |
| Current Ratio | 6.21↓37% | 6.21↓37% | 8.37↓18% | 9.28↓3% | 9.16↑8% | 8.46↓38% | 13.65↑262% | 3.77↑59% | 2.37 |
| Debt / Equity | 0.01↓1% | 0.01↓1% | 0.01↓2% | 0.01↓21% | 0.01↓27% | 0.01 | 0.00 | — | — |
| Operating Cash Flow | -$444.2M↓12% | -$117.4M↓9% | -$97.0M↓29% | -$131.2M | -$412.6M↓19% | -$347.7M↑3% | -$358.0M↓46% | -$244.7M↓16% | -$211.4M |
| Free Cash Flow | -$450.0M | -$118.5M | -$97.8M↓23% | -$133.7M↑2% | -$422.1M↓16% | -$363.6M↑2% | -$370.9M↓41% | -$262.5M↓19% | -$219.9M |
Score history
Historical Score Timeline
Industry peers
Industry Peers
Similar companies in Pharmaceutical Products
DNLI vs Peers — Financial Grading
| Company | Market Cap | Price | Revenue | Net Income | ROE | D/E | Op. Margin | Curr. Ratio | Graham | Buffett | Lynch | Greenblatt | Piotroski | Dreman |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Merck & Co., Inc.MRK | $364.3B | $147.76 | $65.0B | $18.3B | 34.7% | 0.94 | — | 1.54 | 2/9 | 5/9 | 4/7 | 0/3 | F-Score 4 | 1/11 |
| ABBOTT LABORATORIESABT | $188.0B | $108.52 | $44.3B | $6.5B | 12.5% | 0.25 | 18.2% | 1.58 | 3/9 | 4/9 | 2/7 | 1/3 | F-Score 5 | 3/11 |
| BRISTOL MYERS SQUIBB COBMY | $129.7B | $63.43 | $48.2B | $7.1B | 38.2% | 2.44 | 19.4% | 1.26 | 2/9 | 1/9 | 3/7 | 1/3 | F-Score 8 | 5/11 |
| BIO-TECHNE CorpTECH | $11.4B | $72.80 | $1.2B | $73.4M | 3.8% | — | 8.4% | 3.46 | 4/9 | 3/9 | 3/7 | 0/3 | F-Score 5 | 4/11 |
| REPLIGEN CORPRGEN | $10.7B | $167.79 | $738.3M | $48.9M | 2.3% | 0.26 | 7.5% | 8.37 | 3/9 | 2/9 | 3/7 | 0/3 | F-Score 7 | 5/11 |
| IONIS PHARMACEUTICALS INCIONS | $4.8B | $29.06 | $943.7M | $381.4M | -78.0% | 3.60 | -40.4% | 3.83 | 3/9 | 1/9 | 1/7 | 0/3 | F-Score 4 | 3/11 |
| NEOGEN CORPNEOG | $2.5B | $11.23 | $870.4M | $7.9M | -0.4% | 0.76 | -2.5% | 3.82 | 3/9 | 1/9 | 2/7 | 0/3 | F-Score 6 | 4/11 |
| Pharvaris N.V.PHVS | $2.4B | $33.36 | — | $206.4M | -64.8% | 0.00 | — | — | 0/9 | 0/9 | 2/7 | 0/3 | F-Score 2 | 2/11 |