ORIC Pharmaceuticals (ORIC): Valuation Check After Encouraging Enozertinib Phase 1b Lung Cancer Data

ORIC Pharmaceuticals (ORIC) is back in the spotlight after unveiling fresh Phase 1b data for its lung cancer drug enozertinib at ESMO Asia 2025, highlighting systemic and intracranial activity in difficult EGFR and HER2 mutation settings.

See our latest analysis for ORIC Pharmaceuticals.

The string of upbeat enozertinib updates, analyst support and recent conference exposure comes against a choppy tape, with a weaker 1 month share price return but still a strong year to date share price gain and standout multi year total shareholder return, suggesting momentum is consolidating rather than collapsing around the story.

If this kind of early oncology data has your attention, it could be a good moment to scan other specialist names via our curated healthcare stocks for fresh ideas beyond ORIC.

With shares still well below consensus targets despite a strong multi year rebound and best in class buzz around enozertinib, is ORIC quietly undervalued here or already discounting the next leg of growth?

Price to Book of 2.5x: Is it justified?

At a last close of $10.52, ORIC trades on a price to book ratio of 2.5x, which screens as inexpensive versus both biotech peers and the wider sector.

The price to book multiple compares a company’s market value with its net assets, a common yardstick for early stage biotechs that have little or no revenue but significant R&D investment and balance sheet cash. For ORIC, a 2.5x multiple suggests investors are not aggressively pricing in future pipeline success, even after the multi year rebound.

Relative value looks even starker on peer and industry comparisons, with ORIC’s 2.5x ratio sitting below the US Biotechs industry average of 2.7x and far below the 10.2x peer average, implying the market is assigning a clear discount despite the clinical momentum around enozertinib and the broader pipeline.

See what the numbers say about this price — find out in our valuation breakdown.

Result: Price to Book of 2.5x (UNDERVALUED)

However, looming clinical and financing risks remain, including potential trial setbacks and persistent losses that could force dilution before enozertinib meaningfully de-risks the story.

Find out about the key risks to this ORIC Pharmaceuticals narrative.

Build Your Own ORIC Pharmaceuticals Narrative

If you see the numbers differently or want to stress test your own thesis, you can build a personalized ORIC view in just minutes: Do it your way.

A great starting point for your ORIC Pharmaceuticals research is our analysis highlighting 4 important warning signs that could impact your investment decision.

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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.

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