Processa Pharmaceuticals Inc logo

Processa Pharmaceuticals Inc(PCSA)

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ADVISORIES YOU CAN VERIFY
QUALITY SIGNAL
1-STAR RATING
PASS
LAST CLOSE
$1.84
09/25/2026
(24-hour delay)

Advisory History & Simulated Performance *

*as per simulation (see disclosures)
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Upturn Advisory & Investor View for PCSA

09/25/2026: PCSA (1-star) is currently NOT-A-BUY. Pass it for now.

Processa Pharmaceuticals is a clinical-stage biotechnology company that focuses on optimizing drug development through its proprietary Regulatory Science platform. Its primary investment story centers on the potential of its pipeline, specifically candidates like PCS6422, to meet high unmet needs. While the company benefits from a specialized development approach, it faces significant risks including persistent net losses, the necessity for continuous equity financing, and the high inherent risk of clinical trial failures. It is most suitable for high-risk, long-term biotechnology investors who monitor clinical trial readouts and capital efficiency. Investors should track ongoing trial progress and cash runway developments closely.

How to Read the Upturn Advisory

The Upturn Star Rating and the current BUY, SELL, or PASS advisory are generated by Upturn’s AI advisory engine based on proprietary signal analysis, price behavior, advisory history, and historical signal performance.

Company fundamentals, valuation, risks, and news provide supporting context about the business.

Investor Fit

Investor styleFitWhy
Growth investorMixed fitThe company offers high-risk, high-reward potential dependent on clinical success rather than established revenue growth.
Momentum investorWeak fitThe stock lacks consistent upward momentum and is prone to volatility based on biotech-specific news flow.
Value investorWeak fitTraditional valuation metrics are not applicable due to the lack of earnings and revenue.
Dividend investorWeak fitThe company does not pay dividends and focuses on cash preservation for R&D.
Low-risk investorWeak fitThe high volatility and clinical-stage risk profile are unsuitable for low-risk portfolios.

Risk Profile

Risk factorLevelWhy it matters
Price volatilityHighBiotech stocks often experience extreme price swings based on clinical trial data releases and funding news.
Valuation riskHighValuation is speculative and heavily dependent on the uncertain future success of clinical pipeline assets.
Competition risk (biotech/pharma)HighProcessa competes against much larger, better-resourced companies in every therapeutic segment.
Business qualityMediumThe business model is specialized, but the company lacks the scale or product diversity of established pharmaceutical firms.
Dividend incomeLow / noneNo dividend income is expected as the company prioritizes capital for development.
Execution riskHighFailure in clinical trials or regulatory roadblocks could result in the total loss of value for specific assets.

Price Behavior

Steep Decline
PRICE PATH

Steep Decline

The stock price has dropped sharply with strong downward pressure.

Extreme Price Shocks
PRICE STABILITY

Extreme Price Shocks

The stock has experienced exceptionally large and disruptive price movements during the period.

Analysis of Past Performance

Type Stock
Historic Profit -79.88%
Avg. Invested days 9
Today’s Advisory PASS
Upturn Advisory Rating upturn star rating icon
Upturn Advisory Performance Upturn Advisory Performance icon 1.0
Stock Returns Performance Upturn Returns Performance icon 1.0
Upturn Profits based on simulation icon Profits based on simulation
Upturn last close icon Last Close 09/25/2026

Upturn Scorecard

Upturn Star Rating

★★★★★
PCSA receives a 2-star rating, supported by available scored pillars. The rating is constrained by weak unit economics, and weak price momentum.

Company Fundamentals

★★★★★
PCSA has moderate overall fundamentals (3 stars), with moderate financial health, moderate growth momentum, and solid ownership. In FY2025 versus FY2024, growth and ownership metrics are mixed: negative earnings growth (-14.5%), soft cash generation (FCF margin 0.0%), slightly negative revenue growth (+0.0%).

Financial Health Rating

★★★★★
PCSA's financial health is supported by strong efficiency, including operating-expense and cost-of-revenue discipline (opex 0.0% of revenue). Profitability is weak (1 stars), which helps explain the 3-star overall score.

Growth Momentum Score

★★★★★
PCSA's growth profile is soft, with the least-weak measure being revenue growth at +0.0% FY2025 versus FY2024. By comparison, while earnings growth (-14.5%, negative) and free-cash-flow growth (-1.2%, slightly negative) hold the profile back, so recent growth is not broad-based across the business.

Ownership

★★★★★
Institutional ownership is 18.7% and approximately 96.8% of outstanding shares are publicly tradable, supporting liquidity and institutional participation. Insider ownership of 14.82% supports management-shareholder alignment.

Top 5 Institutional Investors

Connective Capital Management LLC 3.05%
Stonepine Capital Management Llc 1.97%
Geode Capital Management, LLC 0.89%
Citadel Advisors Llc 0.76%
Vanguard Capital Management, LLC 0.46%

Unit Economics (Per $1K Revenue)

★★★★★
PCSA generates approximately $-0 of gross profit, $-0 of operating income, and $-0 of free cash flow for every $1,000 of revenue. Based on FY2025 results. Strong cash conversion and healthy margins support the rating, although capital efficiency remains below the highest tier.

Economic Dimensions

★★★★★
Effective Tax Rate: 0.00%

Quantitative Style Profile

★★★★★
PCSA has a liquid profile. Weak momentum is the primary drawback, while valuation that is moderately attractive rather than deeply discounted.

Style Classification

Quality Focused

Small / Mid Cap RiskHighly Liquid / Institution-Friendly

Key Highlights

Company Size Small-Cap Stock
Market Capitalization 5.14M USD
Price to earnings Ratio 2.83
1Y Target Price 25
Price to earnings Ratio 2.83
1Y Target Price 25
Volume (30-day avg) 29.6K shares
Beta 0.97
52 Weeks Range 1.67 - 14.25
Updated Date 09/25/2026
52 Weeks Range 1.67 - 14.25
Updated Date 09/25/2026
Dividends yield (FY) -
Basic EPS (TTM) 0.65

How Company Makes Money

Business areaWhat it includesRetail investor read
Drug DevelopmentClinical trial development and potential future licensing of drug candidates like PCS6422.The company does not currently generate significant revenue and relies on equity financing to fund R&D.
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Valuation

Trailing PE 2.83
Forward PE -
Enterprise Value -257.46K
Price to Sales(TTM) 1320.06
Enterprise Value -257.46K
Price to Sales(TTM) 1320.06
Enterprise Value to Revenue 68.28
Enterprise Value to EBITDA -0.14
Shares Outstanding 2.79M
Shares Floating 2.70M
Shares Outstanding 2.79M
Shares Floating 2.70M
Percent Insiders 14.82
Percent Institutions 18.7

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Financial Metrics

🧭 Investment Snapshot

Total Revenue (Scale)

Information icon Total money earned from selling products or services before any costs. It is needed to understand the scale of the business and its ability to generate income.

Net Income (Profit)

Information icon Final profit after all expenses, interest, and taxes are deducted. It is needed to determine the overall profitability available to shareholders.

Free Cash Flow (Cash Strength)

Information icon Cash remaining after operating activities and capital expenditures, showing cash available for growth. It is needed to evaluate the company’s ability to invest, pay dividends, or reduce debt.

📈 Growth & Strength

Operating Income (Core Profit)

Information icon Profit from core operations after deducting all operating expenses. It is needed to measure how efficiently the company runs its primary business activities.

EBITDA (Cash Earnings)

Information icon Earnings before interest, taxes, depreciation, and amortization, indicating operating cash potential. It is needed to compare operating performance across companies without accounting or financing differences.

Gross Profit (Unit Profitability)

Information icon Revenue minus cost of revenue, showing profit after direct production costs. It is needed to evaluate core business profitability before overhead expenses.

🛡️ Financial Safety

Cash (Liquidity Buffer)

Information icon Total cash and cash equivalents on hand. It is needed to evaluate immediate liquidity and financial flexibility.

Total Debt (Leverage Risk)

Information icon Total debt including both short-term and long-term components. It is needed to assess the company’s leverage and financial risk.

Net Working Capital (Short-Term Health)

Information icon Current assets minus current liabilities, indicating short-term liquidity strength. It is needed to assess whether the company can meet its short-term obligations.

🧱 Balance Sheet Strength

Stockholder Equity (Net Worth)

Information icon Total equity value held by shareholders. It is needed to understand the net worth of the company from the owners’ perspective.

Total Assets (Asset Base)

Information icon The full value of everything the company owns, including cash, inventory, equipment, and investments. It is needed to understand the resource base used to generate revenue.

Income Before Tax (Pre-Tax Earnings)

Information icon Income before provision for income taxes. It is needed to analyze profitability independent of tax structures.

⚙️ Cost & Drag Factors

Cost of Revenue (Production Cost)

Information icon Direct costs required to produce and deliver the products or services sold. It is needed to assess efficiency in production and service delivery.

Total Operating Expenses (Operating Cost)

Information icon Indirect costs of running the business such as salaries, marketing, and administration. It is needed to understand how much it costs to sustain ongoing business operations.

Income Tax Expense (Tax Drag)

Information icon Amount of taxes paid or payable to the government. It is needed to evaluate the impact of taxation on overall profitability.

About Processa Pharmaceuticals Inc

Exchange NASDAQ
Headquarters Vero Beach, FL, United States
IPO Launch date 2017-10-10
CEO & Director Mr. George K. Ng Esq., J.D.
Sector Healthcare
Industry Biotechnology
Full time employees 12
Full time employees 12

Processa Pharmaceuticals, Inc., a clinical-stage biopharmaceutical company, develops cancer therapy drugs to improve the safety and efficacy of cancer treatment in the United States. The company's drugs are modifications of existing FDA-approved oncology drugs, resulting in an alteration of the metabolism and/or distribution of drugs while maintaining the existing mechanisms for killing cancer cells. Its oncology pipeline includes NGC-Cap (PCS6422), a combination of PCS6422 and capecitabine, which is in a Phase 2 clinical trial to treat metastatic breast, colorectal, hepatocellular, pancreatic, gastric, and other solid tumors; and NGC-Iri (PCS11T), an analog of an active metabolite of irinotecan, which is in preclinical trials to treat lung, pancreatic, ovarian, colorectal, gastric, cervical, and other cancers. The company also develops non-oncology drugs consisting of PCS499, an oral tablet of the deuterated analog of pentoxifylline that has completed a Phase 2b clinical trial for the treatment of primary glomerular diseases, including focal segmental glomerulosclerosis (FSGS), IgA, and membranous nephropathy, as well as ulcerative necrobiosis lipoidica; and PCS12852, a highly specific and potent 5HT4 agonist that has completed a Phase 2 clinical trial for the treatment of gastroparesis and constipation disorders. It has license agreements with Elion Oncology, Inc., Aposense, Ltd., Yuhan Corporation, and Sun Pharmaceuticals Industries Limited. Processa Pharmaceuticals, Inc. was founded in 2015 and is based in Vero Beach, Florida.