Inhibrx Biosciences (INBX) has drawn fresh attention after scheduling a May 11 webcast to share interim Phase 2 HexAgon data on its OX40 agonist INBRX-106 in first-line head and neck cancer.

The webcast follows a sharp 30 day share price return of about 100% and a year to date gain of nearly 66%. However, the 1 day share price return shows a 12% decline, while the 1 year total shareholder return is around 10x.

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With the stock up about 100% over 30 days and roughly 10x over the past year, yet still trading around US$124.52 against a US$300 analyst target, you have to ask: is there real upside left here, or is the market already pricing in future growth?

Preferred Price to Book Multiple of 227.6x: Is It Justified?

On a price to book basis, Inhibrx Biosciences appears very expensive, with a P/B of 227.6x against a last close of $124.52, especially compared with peers.

The P/B ratio compares the company’s market value to its book value, which is essentially net assets on the balance sheet. For early stage biopharma, this can be a blunt tool because investors often focus more on pipeline potential than current assets or earnings.

In this case, the gap is wide. Inhibrx Biosciences trades at a P/B of 227.6x, while the peer average sits at 2.8x and the broader US Biotechs industry average is 2.5x. That kind of premium suggests that the market is assigning a very large multiple to the company’s limited current asset base and is heavily focused on future outcomes rather than present financials.

Result: Price-to-book of 227.6x (OVERVALUED)

However, there are clear risks here, including clinical trial setbacks for INBRX-106 or INBRX-109, as well as the company’s current reliance on limited revenue and ongoing losses.

Next Steps

Given the mixed sentiment running through this story, it makes sense to move quickly, review the underlying data yourself, and weigh the 2 important warning signs.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.