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DSGNDesign Therapeutics, Inc.
$14.71$919M
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  4. Financial Ratios

Design Therapeutics, Inc. (DSGN) Financial Ratios

Latest Ratios: P/E Ratio -12.1x · EV/EBITDA N/A · ROE -30.7%. (2019–2025 historical series)

Income StatementBalance SheetCash FlowRatios
AnnualQuarterly

DSGN Valuation Multiples

Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019
Market Cap$919M$538M$349M$148M$572M$984M——
Enterprise Value$903M$522M$329M$130M$549M$689M——
P/E Ratio →-12.06———————
P/S Ratio————————
P/B Ratio3.972.531.440.531.752.57——
P/FCF————————
P/OCF————————

P/E links to full P/E history page with 30-year chart

DSGN EV Ratios

Enterprise-value multiples — capital-structure-neutral measures of total business value

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019
EV / Revenue————————
EV / EBITDA————————
EV / EBIT————————
EV / FCF————————

DSGN Profitability

Margins and return-on-capital ratios measuring operating efficiency

Margins

Full margin charts and quarterly trend are on the Earnings History page

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019
Gross Margin———————-98.3%
Operating Margin———————-228777.0%
Net Profit Margin———————-245443.6%

Return on Capital

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019
ROE-30.7%-30.7%-19.1%-22.1%-17.8%-19.2%——
ROA-29.2%-29.2%-18.3%-21.2%-17.3%-16.6%-45.2%-2274.4%
ROIC-28.5%-28.5%-19.4%-20.8%-25.9%-73.1%——
ROCE-34.8%-34.8%-23.8%-25.6%-18.9%-17.1%-56.0%—

DSGN Leverage & Debt

Solvency and debt-coverage ratios — lower is generally safer

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019
Debt / Equity0.000.000.010.010.010.01——
Debt / EBITDA————————
Net Debt / Equity—-0.08-0.08-0.07-0.07-0.77——
Net Debt / EBITDA————————
Debt / FCF————————
Interest Coverage————————

Net cash position: cash ($17M) exceeds total debt ($645000)

DSGN Liquidity & Efficiency

Short-term solvency ratios and asset-utilisation metrics

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019
Current Ratio17.1417.1429.3129.5831.1072.9615.550.02
Quick Ratio17.1417.1429.3129.5831.1072.9615.550.02
Cash Ratio16.8416.8429.0129.2930.6672.7015.490.02
Asset Turnover———————0.01
Inventory Turnover————————
Days Sales Outstanding————————

DSGN Shareholder Yields

Earnings, FCF, buyback, and dividend yields — total returns to shareholders

Dividends

Full dividend history and growth charts are on the Dividend History page

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019
Dividend Yield————————
Payout Ratio————————

Total Shareholder Return Metrics

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019
Earnings Yield————————
FCF Yield————————
Buyback Yield0.0%0.0%0.0%0.0%0.0%0.0%——
Total Shareholder Yield0.0%0.0%0.0%0.0%0.0%0.0%——
Shares Outstanding—$57M$57M$56M$56M$46M$27M$27M

Key Metrics

Growth RegimeMixed
ProfitabilityNegative
Balance SheetVulnerable
Cash FlowBurning
Top Statement Risk

Critical liquidity and runway

Verified Source

Metrics are mathematically derived from official filings.

SEC 10-K (2026Q1)

Market Pricing Reflects High Uncertainty

According to current market data, DSGN trades at a price-to-book ratio of 3.60, which appears to reflect significant investor skepticism regarding the company's ability to successfully commercialize its GeneTAC platform given the absence of revenue and the substantial risks inherent in its early-stage clinical development pipeline.

The valuation multiple is heavily influenced by the company's intangible asset base rather than earnings, as the firm remains pre-revenue. Investors should monitor whether this premium over book value is justified by clinical progress or if it represents an overvaluation relative to peers like FULC, which trade at lower multiples.

Capital Efficiency Remains Deeply Negative

As reported in recent financial statements, the company's ROIC has trended downward to -7.3% in 2026Q1, illustrating that the firm is currently destroying shareholder capital as it funds intensive R&D activities without generating any offsetting returns from its proprietary small-molecule gene modulation platform.

The persistent negative return on capital is a structural byproduct of the company's current development phase. This trend warrants further investigation into whether the platform's eventual commercialization can achieve the margins necessary to reverse this decay, or if the cost of capital will continue to outpace operational progress.

Liquidity Buffer Facing Severe Compression

Based on the most recent quarterly filings, the company's current ratio has plummeted from 41.42 in 2024Q2 to 22.28 in 2026Q1, signaling that the firm's liquidity buffer is rapidly approaching a critical threshold that may limit future clinical trial flexibility and increase the necessity for dilutive financing.

While the current ratio remains numerically high, it masks the reality of a rapidly depleting cash position relative to high quarterly burn rates. Investors should monitor the company's ability to maintain these ratios without further equity issuance, as the current trajectory suggests a narrowing window for operational survival.

Misapplication of Traditional Valuation Metrics

As indicated by the provided financial data, the P/E ratio is frequently misapplied to DSGN, as it obscures the company's status as a pre-revenue biotech where net losses are a function of R&D investment rather than operational inefficiency or a lack of market demand for the product.

Analysts should instead focus on the cash burn rate and the 'time to next clinical milestone' as more accurate indicators of business health. Relying on earnings-based multiples for a company in this stage of development may lead to incorrect conclusions regarding the firm's fundamental value and long-term viability.

Download Financial Ratios Data

Includes 30+ ratios · 7 years · Updated daily

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DSGN — Frequently Asked Questions

Quick answers to the most common questions about buying DSGN stock.

What is Design Therapeutics, Inc.'s P/E ratio?

Design Therapeutics, Inc.'s current P/E ratio is -12.1x. This places it at the 50th percentile of its historical range.

What is Design Therapeutics, Inc.'s ROE?

Design Therapeutics, Inc.'s return on equity (ROE) is -30.7%. The historical average is -21.8%.

Is DSGN stock overvalued?

Based on historical data, Design Therapeutics, Inc. is trading at a P/E of -12.1x. This is at the 50th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.