| Valuation method | Value, $ | Upside, % |
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| Artificial intelligence (AI) | n/a | n/a |
| Intrinsic value (DCF) | n/a | |
| Graham-Dodd Method | n/a | |
| Graham Formula | n/a |
Eledon Pharmaceuticals, Inc. (NASDAQ: ELDN) is a clinical-stage biopharmaceutical company dedicated to developing innovative therapies for autoimmune diseases, amyotrophic lateral sclerosis (ALS), and organ or cell-based transplant patients. Headquartered in Irvine, California, Eledon’s lead candidate, AT-1501, is a humanized monoclonal antibody targeting CD40 Ligand (CD40L), a key immune system regulator expressed on T cells. Currently in Phase 2a trials for ALS and Phase 2 trials for islet cell transplantation in type 1 diabetes, AT-1501 represents a promising approach to modulating immune responses. Formerly known as Novus Therapeutics, the company rebranded in 2021 to reflect its focus on immunology and neurology. With no current revenue and a market cap of approximately $183 million, Eledon operates in the high-risk, high-reward biotechnology sector, where successful clinical advancements could unlock significant value.
Eledon Pharmaceuticals presents a high-risk, high-reward investment opportunity due to its clinical-stage pipeline focused on autoimmune and neurological disorders. The company’s lead candidate, AT-1501, targets CD40L, a pathway with broad therapeutic potential, but its success hinges on positive Phase 2 trial results. With no revenue and consistent net losses (-$35.3M in the latest period), ELDN is highly speculative. However, its strong cash position ($20.5M) and low debt ($954K) provide near-term runway for clinical development. Investors should closely monitor trial progress, as positive data could drive partnerships or acquisition interest. The stock’s low beta (0.076) suggests limited correlation to broader markets, but clinical failures would significantly impact valuation.
Eledon Pharmaceuticals competes in the niche but growing market of CD40L-targeted therapies, primarily against larger biopharma firms with broader pipelines. Its competitive edge lies in AT-1501’s potential to improve safety over historical CD40L inhibitors, which faced toxicity issues. The ALS and transplant rejection markets are underserved, reducing near-term competition but increasing the stakes for clinical success. Eledon’s small size allows agility in clinical development but limits resources compared to rivals like Horizon Therapeutics (now Amgen) or Biogen, which dominate autoimmune/neurology markets. The lack of revenue diversification heightens risk, but a successful Phase 2 readout could position AT-1501 as a candidate for partnership with larger players seeking immunology assets. Eledon’s focus on CD40L differentiation (e.g., reduced thromboembolic risk) is key, but it must demonstrate superior efficacy/safety to gain traction against entrenched standards of care.