Immunovant, Inc. (IMVT)

Price$39.25Cached quoteAs of 2026-09-06 05:10 UTC

AI: Overvalued

Price checkThe shares look expensive because most of their value rests on unproven drug success.

Using about 206.6 million shares outstanding, the latest market price implies a stock-market value near $9.1 billion. Subtracting $797.8 million of cash leaves about $8.3 billion being paid for the pipeline and future business. That is roughly 11 times cash and 12 times shareholders' accounting equity, even though Immunovant has no product revenue and is loss-making. For a value investor, that leaves little margin for another clinical setback, so I view the shares as overvalued despite meaningful upside if IMVT-1402 succeeds.

Big pictureLosses and cash burn are rising, so the business still depends on outside funding.

Fiscal 2026 net loss widened to $505.6 million from $413.8 million, while operating cash outflow worsened to $407.3 million from $375.9 million. In the June quarter, cash used by operations was $124.4 million; capital spending was negligible, so free cash flow, meaning cash left after running and investing in the business, was similarly negative. A simple repeat of that quarter would consume the June cash balance in about 6.4 quarters. Management says cash lasts to a potential Graves' disease launch, but spending plans may expand. Clinical results and financing needs matter far more than normal economic cycles.

Business strengthA strong balance sheet and broad pipeline reduce near-term risk, but success is not proven.

At June 30, Immunovant held $797.8 million in cash against $117.1 million of total liabilities, and the supplied history shows no reported debt. Current assets were about 7.3 times current liabilities, giving real near-term protection. The bull case is IMVT-1402: six active indications and early rheumatoid arthritis response rates of 72.7%, 54.5%, and 35.8% at increasing improvement thresholds. But those data were open-label, not placebo-controlled. If approved, economics are also shared: HanAll can receive up to $420 million of future milestones plus mid-single-digit to mid-teens royalties on net sales.

What could change the storyBetter controlled trial results could justify the price, while more dilution would weaken it.

Two near-term readouts matter most: later-2026 rheumatoid arthritis continuation data and cutaneous lupus results, followed by 2027 Graves' disease and myasthenia gravis trials designed to support possible approval. Strong controlled results across more than one disease would make the current pipeline value easier to defend. The other lever is dilution: shares outstanding rose about 21% from March 2025 to June 2026, and the December 2025 financing alone sold 26.2 million shares for $550 million. Fiscal 2026 stock compensation was $55.7 million. More equity funding would spread any future success across still more shares.

AI: News

June Quarter UpdateImmunovant kept six lead-drug programs on schedule and said cash should reach a possible first launch.

On August 6, Immunovant reported $797.8 million of cash and said development timelines remained on track across six IMVT-1402 indications. Research spending rose to $142.6 million from $101.2 million a year earlier as trials expanded. Rheumatoid arthritis and cutaneous lupus updates are expected later in 2026, with Graves' disease and myasthenia gravis data in 2027. The shares gained about 1% that session, but the move was modest and cannot be confidently attributed to the update alone.

Rheumatoid Arthritis SignalEarly rheumatoid arthritis results were strong enough to sharply raise expectations for the lead drug.

On May 20, Immunovant reported Week 16 open-label results from 165 evaluable difficult-to-treat rheumatoid arthritis patients: 72.7% achieved at least 20% improvement, 54.5% reached at least 50%, and 35.8% reached at least 70%. Independent assessors were blinded, but patients were not randomized against placebo in this first period. The stock surged about 35% that day, a reaction widely tied to the data. The next controlled period is important because it tests whether the early signal holds up.

Batoclimab Phase 3 FailureTwo late-stage eye-disease studies failed, pushing Immunovant to abandon its older drug.

On April 2, both Phase 3 batoclimab thyroid eye disease studies missed their primary goal of achieving a defined improvement in eye bulging after 24 weeks. Safety findings were consistent with prior studies, but Immunovant later discontinued batoclimab across all indications and concentrated resources on IMVT-1402. Reuters reported a 4.8% share decline after the news. The failure removed a development option and increased dependence on IMVT-1402, although it also lets management redirect spending toward the newer drug.

Large Equity FinancingA large Immunovant share sale reduced funding risk but diluted each existing investor's ownership.

In December 2025, Immunovant sold 26.2 million new shares and raised about $550 million before costs; Roivant, its controlling shareholder, participated. The financing increased the share count by roughly 15% versus the September-quarter level, but it also extended management's stated cash runway through a potential Graves' disease launch. For Immunovant investors, the event cut near-term financing risk while permanently spreading any future drug value across more shares. That trade-off remains central because the company still has no product revenue and funds operations mainly with equity.

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Revenue

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Free cash flow

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Total cash / debt

CashTotal debt

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Financial statements

	2026	2025	2024	2023	2022	2021	2020	2019
Revenue	$0	$0	$0	$0	—	—	—	—
Research & development	$456.7M	$360.9M	$212.9M	$160.3M	$101.8M	$68.6M	$47.9M	$25.7M
Operating expenses	$532.9M	$438.2M	$282.7M	$218.3M	$156.0M	$108.1M	$66.1M	$28.4M
Operating income	−$532.9M	−$438.2M	−$270.2M	−$208.3M	—	—	—	—
EBITDA	−$532.5M	−$437.8M	−$270.0M	−$208.1M	—	—	—	—
Net income	−$505.6M	−$413.8M	−$259.3M	−$211.0M	−$156.7M	−$107.4M	−$66.4M	−$28.6M
Basic EPSper basic share	-$2.77	-$2.73	-$1.88	-$1.71	-$1.43	-$1.22	-$1.54	-$1.29
Diluted EPSper diluted share	-$2.77	-$2.73	-$1.88	-$1.71	-$1.43	-$1.22	-$1.54	-$1.29

Review official source filings ↗

Owners

Reported shareholders

Reference date Jun 30, 2026

≈54.94%of listed shares

Roivant Sciences Ltd.113.32M shares · Dec 12, 2025

View holders

Top 20 reported holders of IMVT
Holder	% owned
Roivant Sciences Ltd.	≈54.94%113.32M shares
FMR LLC	7.85%16.19M shares
Deep Track Capital, LP	4.53%9.34M shares
BlackRock, Inc.	3.48%7.18M shares
FARALLON CAPITAL MANAGEMENT, L.L.C.	2.81%5.81M shares
BAKER BROS. ADVISORS LP	2.64%5.44M shares
STATE STREET CORP	2.24%4.62M shares
MORGAN STANLEY	2.20%4.53M shares
TCG Crossover Management, LLC	2.16%4.46M shares
VANGUARD PORTFOLIO MANAGEMENT LLC	1.90%3.91M shares
VANGUARD CAPITAL MANAGEMENT LLC	1.76%3.64M shares
JENNISON ASSOCIATES LLC	1.60%3.31M shares
RTW INVESTMENTS, LP	1.54%3.18M shares
Two Seas Capital LP	1.53%3.15M shares
ADAR1 Capital Management, LLC	1.13%2.33M shares
GEODE CAPITAL MANAGEMENT, LLC	1.08%2.23M shares
T. Rowe Price Investment Management, Inc.	1.08%2.22M shares
Woodline Partners LP	0.96%1.98M shares
PRICE T ROWE ASSOCIATES INC /MD/	0.89%1.83M shares
GOLDMAN SACHS GROUP INC	0.85%1.75M shares

Percentages use 206.26M shares of this listed class outstanding on Jun 30, 2026. ≈ compares the latest reported holding with a share total from a different date; it is not a confirmed current stake.

Gray completes the 100% scale. Reported positions may overlap; holders have different reporting dates.

Source: SEC Form 4 ↗Updated Sep 29, 2026 · Quarterly data

Insider buys & sells

Jul 1, 2024–Jun 30, 2026

Buys2$686.90M disclosed value

Sells (SEC code S)118$21.46M disclosed value

Transaction	Insider	Type	Shares	Price	Value	Owned after
Jun 26, 2026Form 4	Gloria MelanieChief Operating Officer	SellCommon Stock	3.0K	$38.95	$115.5K	224.4K
Jun 26, 2026Form 4	Gloria MelanieChief Operating Officer	SellCommon Stock	14.7K	$38.18	$563.1K	227.4K
Jun 26, 2026Form 4	Stout Jay SChief Technology Officer	SellCommon Stock	6.7K	$38.94	$261.8K	211.7K
Jun 26, 2026Form 4	Stout Jay SChief Technology Officer	SellCommon Stock	33.3K	$38.18	$1.27M	218.4K
Jun 26, 2026Form 4	Van Tuyl ChristopherChief Legal Officer	SellCommon Stock	2.8K	$38.96	$110.7K	180.6K