← Back to All US Stocks

Editas Medicine, Inc. (EDIT) Fundamental Analysis & AI Grade 2026

EDIT Nasdaq Biological Products, (No Diagnostic Substances) DE CIK: 0001650664
Updated This Month • Analysis: May 13, 2026 • SEC Data: 2026-03-31
Combined AI Grade
C
78% Confidence
AGREEMENT
C
65% Conf
D
91% Conf

📊 EDIT Key Takeaways

Revenue: $2.8M
Net Margin: -882.4%
Free Cash Flow: $-23.2M
Current Ratio: 3.22x
Debt/Equity: 10.70x
EPS: $-0.26
AI Grade: C with 65% confidence
Editas Medicine, Inc. (EDIT) receives a C fundamental grade with 78% confidence from our AI analysis based on SEC 10-K filings. With revenue of $2.8M, net profit margin of -882.4%, and return on equity (ROE) of -566.7%, Editas Medicine, Inc. demonstrates mixed fundamentals in the Healthcare sector. Below is our complete EDIT stock analysis for 2026.

Is Editas Medicine, Inc. (EDIT) a Good Investment?

Claude

Editas is a pre-commercial biotech burning $23M annually with minimal $2.8M revenue and unsustainably high debt-to-equity of 10.70x relative to its $4.4M equity base. While the $123.6M cash position provides 5+ years of runway, the combination of severe operating losses, negative cash flows, and excessive leverage creates significant downside risk without demonstrated clinical or commercial progress.

ChatGPT

Editas Medicine shows weak fundamentals: despite 25.4% revenue growth, the business remains deeply unprofitable with operating and net margins near -395% and free cash flow of -$165.85M. Financial health is fragile because cash of $146.65M does not fully cover the current annual cash burn, while equity has been reduced to just $27.29M and leverage is elevated. The revenue growth appears low quality relative to the scale of losses, so the core issue remains sustainability rather than expansion.

Editas Medicine, Inc. Key Strengths (EDIT)

Claude
  • + Strong absolute cash position of $123.6M provides runway for R&D execution
  • + Revenue growing 25.4% YoY demonstrates some market traction despite small base
  • + Current liquidity ratios (3.22x) are healthy with minimal short-term solvency risk
ChatGPT
  • + Revenue grew 25.4% year over year
  • + Current and quick ratios of 3.54x indicate near-term balance sheet liquidity
  • + Cash and equivalents of $146.65M still provide some operating flexibility

EDIT Stock Risks: Editas Medicine, Inc. Investment Risks

Claude
  • ! Debt-to-equity ratio of 10.70x is dangerously high for an unprofitable company with only $4.4M equity
  • ! Operating cash burn of $23.1M annually is unsustainable relative to $2.8M revenue with no profitability timeline visible
  • ! Extreme negative margins (-882% net margin) and dependence on R&D outcomes create execution risk with no near-term path to profitability
ChatGPT
  • ! Severe and persistent losses with operating income of -$160.01M and net margin of -395.0%
  • ! Free cash flow of -$165.85M suggests cash runway pressure and likely need for external financing
  • ! Very thin equity base of $27.29M combined with 1.96x debt-to-equity increases financial risk

Key Metrics to Watch

Claude
  • * Cash burn rate trend and runway extension through partnerships or capital raises
  • * Revenue growth trajectory and commercial product approval progress
  • * Debt refinancing terms and covenant compliance as cash reserves deplete
ChatGPT
  • * Quarterly operating cash burn versus cash and equivalents
  • * Revenue durability and whether losses narrow materially relative to revenue growth

Editas Medicine, Inc. (EDIT) Financial Metrics & Key Ratios

Revenue
$2.8M
Net Income
$-25.0M
EPS (Diluted)
$-0.26
Free Cash Flow
$-23.2M
Total Assets
$149.3M
Cash Position
$123.6M

💡 AI Analyst Insight

Strong liquidity with a 3.22x current ratio provides a solid financial cushion.

EDIT Profit Margin, ROE & Profitability Analysis

Gross Margin N/A
Operating Margin -883.2%
Net Margin -882.4%
ROE -566.7%
ROA -16.7%
FCF Margin -817.8%

EDIT vs Healthcare Sector: How Editas Medicine, Inc. Compares

How Editas Medicine, Inc. compares to Healthcare sector averages

Net Margin
EDIT -882.4%
vs
Sector Avg 12.0%
EDIT Sector
ROE
EDIT -566.7%
vs
Sector Avg 15.0%
EDIT Sector
Current Ratio
EDIT 3.2x
vs
Sector Avg 2.0x
EDIT Sector
Debt/Equity
EDIT 10.7x
vs
Sector Avg 0.6x
EDIT Sector

Sector benchmarks are approximate industry averages. Actual sector performance may vary.

Is Editas Medicine, Inc. Stock Overvalued? EDIT Valuation Analysis 2026

Based on fundamental analysis, Editas Medicine, Inc. shows some fundamental concerns relative to the Healthcare sector in 2026.

Return on Equity
-566.7%
Sector avg: 15%
Net Profit Margin
-882.4%
Sector avg: 12%
Revenue Growth
N/A
Year-over-year
Debt/Equity
10.70x
Sector avg: 0.6x

Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.

Editas Medicine, Inc. Balance Sheet: EDIT Debt, Cash & Liquidity

Current Ratio
3.22x
Quick Ratio
3.22x
Debt/Equity
10.70x
Debt/Assets
97.0%
Interest Coverage
-23.32x
Long-term Debt
$47.2M

EDIT Revenue & Earnings Growth: 5-Year Financial Trend

EDIT 5-year financial data: Year 2021: Revenue $90.7M, Net Income -$133.7M, EPS $-2.68. Year 2022: Revenue $90.7M, Net Income -$116.0M, EPS $-1.98. Year 2023: Revenue $78.1M, Net Income -$192.5M, EPS $-2.85. Year 2024: Revenue $78.1M, Net Income -$220.4M, EPS $-3.21. Year 2025: Revenue $40.5M, Net Income -$237.1M, EPS $-2.88.
Revenue
Net Income
EPS (right axis)

5-Year Trend Summary: Editas Medicine, Inc.'s revenue has declined by 55% over the 5-year period, indicating business contraction. The most recent EPS of $-2.88 indicates the company is currently unprofitable.

EDIT Revenue Growth, EPS Growth & YoY Performance

Revenue Growth
N/A
Year-over-year
Net Income Growth
N/A
Year-over-year
EPS Growth
N/A
Earnings per share
FCF Margin
-817.8%
Free cash flow / Revenue

EDIT Quarterly Earnings & Performance

Quarterly financial performance data for Editas Medicine, Inc. including revenue, net income, and earnings per share.
Quarter Revenue Net Income EPS
Q1 2026 $2.8M -$25.0M $-0.26
Q3 2025 $61.0K -$25.1M $-0.28
Q2 2025 $513.0K -$53.2M $-0.63
Q1 2025 $1.1M -$62.0M $-0.76
Q3 2024 $61.0K -$40.3M $-0.55
Q2 2024 $513.0K -$40.3M $-0.56
Q1 2024 $1.1M -$49.0M $-0.71
Q3 2023 $42.0K -$40.3M $-0.55

Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.

Editas Medicine, Inc. Dividends, Buybacks & Capital Allocation

Operating Cash Flow
-$23.1M
Cash generated from operations
Capital Expenditures
$92.0K
Investment in assets
Dividends
None
No dividend program

EDIT SEC Filings: Latest 10-K & 10-Q Analysis

Access official SEC EDGAR filings for Editas Medicine, Inc. (CIK: 0001650664)

📋 Recent SEC Filings

Date Form Document Action
Jun 5, 2026 4 xslF345X06/wk-form4_1780691609.xml View →
Jun 5, 2026 4 xslF345X06/wk-form4_1780691579.xml View →
Jun 5, 2026 4 xslF345X06/wk-form4_1780691552.xml View →
May 26, 2026 8-K tm2615565d3_8k.htm View →
May 26, 2026 8-K tm2615565d2_8k.htm View →

Frequently Asked Questions about EDIT

What is the AI rating for EDIT?

Editas Medicine, Inc. (EDIT) has a Combined AI Grade of C from Claude (C) and ChatGPT (D) with 78% combined confidence, based on fundamental analysis of SEC EDGAR filings.

What are EDIT's key strengths?

Claude: Strong absolute cash position of $123.6M provides runway for R&D execution. Revenue growing 25.4% YoY demonstrates some market traction despite small base. ChatGPT: Revenue grew 25.4% year over year. Current and quick ratios of 3.54x indicate near-term balance sheet liquidity.

What are the risks of investing in EDIT?

Claude: Debt-to-equity ratio of 10.70x is dangerously high for an unprofitable company with only $4.4M equity. Operating cash burn of $23.1M annually is unsustainable relative to $2.8M revenue with no profitability timeline visible. ChatGPT: Severe and persistent losses with operating income of -$160.01M and net margin of -395.0%. Free cash flow of -$165.85M suggests cash runway pressure and likely need for external financing.

What is EDIT's revenue and growth?

Editas Medicine, Inc. reported revenue of $2.8M.

Does EDIT pay dividends?

Editas Medicine, Inc. does not currently pay dividends.

Where can I find EDIT SEC filings?

Official SEC filings for Editas Medicine, Inc. (CIK: 0001650664) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.

What is EDIT's EPS?

Editas Medicine, Inc. has a diluted EPS of $-0.26.

How is the AI analysis conducted?

Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined grade reflects both perspectives for balanced insights.

What is EDIT's fundamental grade?

Based on our AI fundamental analysis in June 2026, Editas Medicine, Inc. has a C grade with 78% confidence. Review the strengths and risks sections above for full context. This is not investment advice.

Is EDIT stock overvalued or undervalued?

Valuation metrics for EDIT: ROE of -566.7% (sector avg: 15%), net margin of -882.4% (sector avg: 12%). Compare these metrics with sector averages to assess valuation.

What is EDIT's AI grade for 2026?

Our dual AI analysis gives Editas Medicine, Inc. a combined C grade for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.

What is EDIT's free cash flow?

Editas Medicine, Inc.'s operating cash flow is $-23.1M, with capital expenditures of $92.0K. FCF margin is -817.8%.

How does EDIT compare to other Healthcare stocks?

Vs Healthcare sector averages: Net margin -882.4% (avg: 12%), ROE -566.7% (avg: 15%), current ratio 3.22 (avg: 2).

Is Editas Medicine, Inc. carrying too much debt?

EDIT has a debt-to-equity ratio of 10.70x, which is above the Healthcare sector average of 0.6x. However, the current ratio of 3.22 suggests adequate short-term liquidity.

Top Rated Stocks
AAPL 92% MSFT 92% FAST 92% ANET 88% RDDT 88% KNSL 88% MGRE 88% FIZZ 88% AVGO 87% DECK 87%
Sector: All Healthcare Stocks →
Disclaimer: This analysis is generated by Claude AI (Anthropic) and ChatGPT (OpenAI) based on publicly available SEC EDGAR filings. It does not include stock price data and should not be considered financial advice. All fundamental data is sourced from SEC public domain filings. Always conduct your own research and consult with a qualified financial advisor before making investment decisions.
Data Source: SEC EDGAR | Analysis Date: May 13, 2026 | Data as of: 2026-03-31 | Powered by Claude AI