OmniAb, Inc. (OABI)
NEUTRALFundamental
28
Price
$4.63
Market Cap
$614M
Part 1 · What the company is worth
Overview
OmniAb does not develop its own drugs. It licenses a technology platform — genetically engineered animals and AI-driven screening tools — that lets pharmaceutical and biotech partners discover antibody-based therapeutics faster than with older methods. As of the end of 2025 it had 107 active partners running 407 programs on its platform, including 27 antibodies already in clinical trials and three already approved drugs.
How it makes money
Revenue comes from four sources tied to a partner's drug-development timeline: upfront or annual platform access fees, payments for research services performed, milestone payments triggered by preclinical, clinical or regulatory events, and royalties on sales once a partner's drug reaches the market. Near-term revenue leans on fees and milestones; the royalty stream — the largest potential prize — only grows once partner drugs are approved and selling.
Competitive moat
Patents and licences · NarrowThe platform rests on proprietary transgenic animals not available elsewhere, protected by 29 issued U.S. patents expiring between 2028 and 2039, plus a specialized capability in ion-channel targets that the company says is underserved by competitors. Rivals include both large pharmaceutical players and other discovery-technology firms using different methods such as phage or yeast display.
What drives demand
Moderately cyclicalDemand depends on biotech and pharma partners' willingness to fund early-stage drug discovery, which tends to slow when biotech financing conditions tighten. With 107 partners and 407 programs spread across many companies and disease areas, no single partner's decision should move results as much as a downturn across biotech funding broadly would.
Key risks
- No control over partner decisions — OmniAb does not control the development timeline, regulatory strategy or commercialization decisions of its partners, so its own results depend on choices made by other companies.
- Milestone and royalty timing is uncertain — Significant uncertainty surrounds whether and when partner programs reach regulatory approval, and royalty payments may never become a material source of revenue if they don't.
- Competitive discovery-technology market — The antibody discovery platform market is highly competitive, with rivals ranging from established pharmaceutical companies to biotech firms using alternative discovery methods.
- Healthcare policy pressure on royalties — Regulation such as the U.S. Inflation Reduction Act imposes added pricing and regulatory burdens on drugmakers, which could reduce partner profitability and, in turn, the royalties OmniAb collects.
- Patent protection is time-limited — Core patents expire between 2028 and 2039, extensions are not guaranteed, and competitors may design around the protected technology before then.
Customer concentration
OmniAb does not disclose a specific revenue percentage for its largest partner in the sections reviewed; the base is described as 107 active partners rather than a handful of dominant ones.
The case for
Buyers argue that licensing a proprietary discovery platform to over 100 partners diversifies away single-drug risk, that royalties on the three already-approved products and 27 clinical-stage antibodies represent call options on future revenue the company doesn't have to fund itself, and that patent protection running to 2039 gives a long runway.
The case against
Sellers worry that near-term revenue leans on unpredictable milestones rather than recurring income, that the royalty payoff depends entirely on partners successfully developing and commercializing drugs OmniAb doesn't control, and that competing discovery technologies could erode the platform's edge well before its patents expire.
Written by the editors, published on August 18, 2026
Direct competitors
Who this company fights with for the same customers
No editorial profile for this company yet
No competitor list for this company yet.
Balance Sheet & Liquidity
Revenue
$38M
Trailing 12 months (through 6/30/2026)
Net Income
$-44M
Trailing 12 months (through 6/30/2026)
Free Cash Flow
$-37M
Total Equity
$267M
Total Liabilities
$34M
Current Ratio
4.80
Interest Coverage
-
Debt/EBITDA
-
Earnings Per Share
Revenue & Net Income
Free Cash Flow
Income Breakdown
Historical statement
Margins over time
Debt over time
How heavy the debt is
Growth grid
Growth — Revenue
Fair Value Estimation
Fair Value
$5.51
Current Price
$4.63
Margin of Safety
+15.9%
Fair Value Range
$3.58 - $7.44
Estimation Methods
Valuation Metrics
P/E Ratio
-
ROE
-24.3%
P/B Ratio
2.63
P/FCF
-
Gross Margin
-
ROIC
-13.8%
Profitability Radar
Value Creation (Economic Moat)
ROIC
-13.8%
WACC
7.7%
ROIC − WACC
-21.5 pp
ROIC is below the cost of capital — the company is destroying value for every dollar invested.
Fundamental Analysis Criteria
Passed (6)
- P/B Ratio 2.63
- Debt/Equity ratio
- Current Ratio
- Analyst Consensus 92% Buy
- Earnings Surprise avg 20.1%
- Net Margin Trend -115.1% vs -275.8%
Failed (12)
- EPS shows upward trend
- Price CAGR -15.42%
- ROIC -13.8%
- Operating Margin -125.8%
- Positive Free Cash Flow
- Return on Tangible Assets
- Low reliance on intangibles
- DCF valuation (Overvalued)
- ROE -20.3%
- Revenue Growth 5Y -4.3%
- Share Dilution 11.8%
- Piotroski F-Score 2/9
Unavailable (9)
- Gross Margin NaN%
- P/FCF NaN
- Dividend Payout NaN%
- CapEx intensity
- Interest Coverage
- Debt/EBITDA
- Price below Graham Number
- PEG Ratio (need PE > 0 and growth > 0)
- Earnings Quality (OCF/Net Income)
Piotroski F-Score
Serious financial concerns
Earnings Quality
Low quality: investigate accounting
Share Dilution
Issuing new shares, diluting ownership
Governance
Executive Team
| Name | Title | Age |
|---|---|---|
| Mr. Matthew W. Foehr | President, CEO & Director | 52 |
| Mr. Kurt A. Gustafson | Executive VP of Finance & CFO | 57 |
| Mr. Charles S. Berkman J.D. | Chief Legal Officer | 56 |
| Mr. Amechi Nwachuku | Executive VP & Chief Operating Officer | 50 |
| Ms. Cia McCaffrey | Senior Vice President of People & Talent | - |
| Dr. Bill Harriman Ph.D. | Senior Vice President of Discovery Partnership Mgt., Technology Development & Operations | - |
| Dr. Christel Iffland Ph.D. | Senior Vice President of R&D Portfolio Management and Technology Operations | - |
| Dr. Yasmina Noubia Abdiche Ph.D. | Senior Vice President of Exploratory Research | - |
| Dr. Bob Chen | Senior Vice President of Discovery Systems | - |
| Mr. Todd Pettingill C.F.A. | Vice President of Business Development & Strategy | - |
Audit Risk
6
Board Risk
10
Compensation Risk
8
Shareholder Rights Risk
8
Part 2 · The price and when to enter
This part won't tell you whether the company is worth owning: it helps you choose when to buy it, once the fundamentals have convinced you. Inside: technical analysis, potential, historical drawdowns, gamma exposure.
Latest News
Recent headlines for OABI, sourced from Markets Gazette.
- 3/15/2026NEUTRALOmniAb (OABI) Q4 2025 Earnings Call Transcript
OmniAb Inc. is scheduled to hold its Q4 2025 earnings call on March 15, 2026. While the content of the call transcript is not available, the announcement itself is a routine corporate event. Investors will be looking for key financial metrics, management's outlook on future performance, and any strategic updates. The market's reaction will depend entirely on the details revealed during the call, making this announcement neutral in isolation.
via Markets Gazette