Mersana Therapeutics, Inc.

NasdaqGS:MRSN Stock Report

Market Cap: US$175.4m

Mersana Therapeutics Valuation

Is MRSN undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

4/6

Valuation Score 4/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Sales vs Peers

  • Price-To-Sales vs Industry

  • Price-To-Sales vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of MRSN when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: MRSN ($1.5) is trading below our estimate of fair value ($16.18)

Significantly Below Fair Value: MRSN is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for MRSN?

Key metric: As MRSN is unprofitable we use its Price-To-Sales Ratio for relative valuation analysis.

The above table shows the Price to Sales ratio for MRSN. This is calculated by dividing MRSN's market cap by their current revenue.
What is MRSN's PS Ratio?
PS Ratio5.3x
SalesUS$34.84m
Market CapUS$175.42m

Price to Sales Ratio vs Peers

How does MRSN's PS Ratio compare to its peers?

The above table shows the PS ratio for MRSN vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PSEstimated GrowthMarket Cap
Peer Average20.1x
MGX Metagenomi
2.5x-31.0%US$150.8m
FHTX Foghorn Therapeutics
10.5x17.2%US$283.0m
PRQR ProQR Therapeutics
15x31.9%US$276.6m
OCGN Ocugen
52.4x74.5%US$237.2m
MRSN Mersana Therapeutics
5.3x33.4%US$175.4m

Price-To-Sales vs Peers: MRSN is good value based on its Price-To-Sales Ratio (5.3x) compared to the peer average (20.1x).

Price to Sales Ratio vs Industry

How does MRSN's PS Ratio compare vs other companies in the US Biotechs Industry?

136 CompaniesPrice / SalesEstimated GrowthMarket Cap
BIIB Biogen
2.3x1.3%US$21.84b
MRNA Moderna
3x5.8%US$15.56b
INCY Incyte
3.3x8.9%US$13.40b
EXAS Exact Sciences
4x9.1%US$10.64b
MRSN 5.3xIndustry Avg. 10.3xNo. of Companies136PS01632486480+
136 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Sales vs Industry: MRSN is good value based on its Price-To-Sales Ratio (5.3x) compared to the US Biotechs industry average (10.2x).

Price to Sales Ratio vs Fair Ratio

What is MRSN's PS Ratio compared to its Fair PS Ratio? This is the expected PS Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

MRSN PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio5.3x
Fair PS Ratio2.2x

Price-To-Sales vs Fair Ratio: MRSN is expensive based on its Price-To-Sales Ratio (5.3x) compared to the estimated Fair Price-To-Sales Ratio (2.2x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst MRSN forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$1.50
US$6.50
+333.3%
26.6%US$9.00US$3.00n/a8
Dec ’25US$2.28
US$6.50
+185.1%
26.6%US$9.00US$3.00n/a8
Nov ’25US$1.82
US$6.50
+257.1%
26.6%US$9.00US$3.00n/a8
Oct ’25US$1.83
US$6.50
+255.2%
26.6%US$9.00US$3.00n/a8
Sep ’25US$1.58
US$6.33
+300.8%
26.8%US$9.00US$3.00n/a9
Aug ’25US$1.80
US$6.56
+264.2%
21.7%US$9.00US$4.00n/a9
Jul ’25US$1.97
US$6.38
+223.6%
22.1%US$9.00US$4.00n/a8
Jun ’25US$2.33
US$6.38
+173.6%
22.1%US$9.00US$4.00n/a8
May ’25US$3.37
US$6.50
+92.9%
18.8%US$9.00US$5.00n/a8
Apr ’25US$4.42
US$6.38
+44.2%
20.7%US$9.00US$5.00n/a8
Mar ’25US$5.94
US$6.57
+10.6%
19.7%US$9.00US$5.00n/a7
Feb ’25US$3.38
US$3.00
-11.2%
52.7%US$5.00US$1.00n/a4
Jan ’25US$2.32
US$3.00
+29.3%
52.7%US$5.00US$1.00n/a4
Dec ’24US$1.90
US$2.00
+5.3%
61.2%US$4.00US$1.00US$2.284
Nov ’24US$1.21
US$2.60
+115.8%
62.5%US$5.00US$1.00US$1.825
Oct ’24US$1.27
US$2.60
+104.7%
62.5%US$5.00US$1.00US$1.835
Sep ’24US$1.20
US$2.60
+116.7%
62.5%US$5.00US$1.00US$1.585
Aug ’24US$1.17
US$2.60
+122.2%
62.5%US$5.00US$1.00US$1.805
Jul ’24US$3.29
US$10.50
+219.1%
29.7%US$15.00US$5.00US$1.978
Jun ’24US$7.57
US$15.14
+100.0%
18.5%US$20.00US$11.00US$2.337
May ’24US$4.71
US$14.29
+203.3%
22.7%US$20.00US$10.00US$3.377
Apr ’24US$4.11
US$14.29
+247.6%
22.7%US$20.00US$10.00US$4.427
Mar ’24US$5.81
US$15.00
+158.2%
19.6%US$20.00US$12.00US$5.946
Feb ’24US$6.72
US$16.83
+150.5%
29.6%US$26.00US$12.00US$3.386
Jan ’24US$5.86
US$17.80
+203.8%
27.6%US$26.00US$12.00US$2.325
Dec ’23US$6.77
US$17.80
+162.9%
27.6%US$26.00US$12.00US$1.905

Analyst Forecast: Target price is more than 20% higher than the current share price, but analysts are not within a statistically confident range of agreement.

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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2024/12/27 06:08
End of Day Share Price 2024/12/27 00:00
Earnings2024/09/30
Annual Earnings2023/12/31

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on .

Analyst Sources

Mersana Therapeutics, Inc. is covered by 18 analysts. 10 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Colleen KusyBaird
Thomas ShraderBTIG
Justin ZelinBTIG