Sangamo Therapeutics (SGMO) Is Down 21.1% After Nasdaq Compliance Extension and Q3 Revenue Decline - Has The Bull Case Changed?

• Sangamo Therapeutics recently reported its third-quarter 2025 results, revealing a sharp year-over-year revenue decline to US$581,000 and a net loss of US$34.93 million.
• Alongside operational losses, the company was granted a 180-day Nasdaq extension to regain compliance with minimum bid price rules, highlighting concerns around ongoing listing status.
• We will assess how these financial pressures and Nasdaq compliance challenges weigh on Sangamo's investment outlook and pipeline momentum.

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Sangamo Therapeutics Investment Narrative Recap

Shareholders in Sangamo Therapeutics are essentially betting on the company's ability to deliver a breakthrough in gene therapy, particularly with its Fabry disease program, while successfully bridging current funding and listing challenges. The recent sharp revenue decline and ongoing Nasdaq compliance extension directly emphasize the biggest near-term risk, securing sufficient capital or a commercialization partner before running out of cash, while clinical momentum remains a crucial potential catalyst; as of now, this news materially heightens focus on these risks without altering the core near-term catalyst.

Amid these challenges, Sangamo’s announcement of positive midway results from its Phase 1/2 STAAR study in Fabry disease stands out, as recent FDA engagement clarified the regulatory path to accelerated approval. This progress provides a critical catalyst for potential future revenue, but operational and financial pressures threaten to slow the transition from pipeline to commercialization.

However, investors should be aware that despite a promising clinical milestone, Sangamo’s ability to regain financial and listing stability will depend on...

Read the full narrative on Sangamo Therapeutics (it's free!)

Sangamo Therapeutics' outlook anticipates $167.9 million in revenue and $27.0 million in earnings by 2028. Achieving this would require 27.1% annual revenue growth and an $90.3 million increase in earnings from the current $-63.3 million.

Uncover how Sangamo Therapeutics' forecasts yield a $3.25 fair value, a 589% upside to its current price.

Exploring Other Perspectives

Simply Wall St Community members place Sangamo’s fair value anywhere from US$3.25 to US$27.03, based on four distinct analyses. While estimates vary widely, many continue to see the upcoming Fabry study results and accelerated approval opportunity as holding major implications for future performance.

Explore 4 other fair value estimates on Sangamo Therapeutics - why the stock might be worth just $3.25!

Build Your Own Sangamo Therapeutics Narrative

Disagree with existing narratives? Create your own in under 3 minutes - extraordinary investment returns rarely come from following the herd.

• A great starting point for your Sangamo Therapeutics research is our analysis highlighting 3 key rewards and 3 important warning signs that could impact your investment decision.
• Our free Sangamo Therapeutics research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate Sangamo Therapeutics' overall financial health at a glance.

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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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