MeritValue

Entrada Therapeutics, Inc.

TRDAdata completeness 88%6 fiscal years on file

Data notes: no data for concept 'totalDebt'; no data for concept 'interestExpense'; no data for concept 'pretaxIncome'

The thesis, from the filings

Entrada Therapeutics, Inc. earns about -19% on equity, but has diluted owners by 560% over 5 years — worth asking whether the growth reaches owners. The cash-flow models don't apply cleanly here — the ledger says why below.Whether it’s worth owning at today’s price is the last question — and yours to answer, below.

i. The business — what you’d actually own
FigureFY 2021FY 2022FY 2023FY 2024FY 2025
Revenue——$129M1$210.8M2$25.4M2
Net income−$51.2M3−$94.6M4−$6.69M5$65.6M6−$143.8M6
Operating cash flow−$50.9M7−$93.8M8$139.8M9−$41.6M10−$128.5M10
Capital expenditure$4.58M11$2.89M12$5.61M13$3.16M14$1.04M14
Free cash flow (derived)−$55.4M7−$96.7M8$134.2M9−$44.7M10−$129.6M10
Total debt—————
Cash & equivalents$291.1M15$45.2M16$67.6M17$101.2M18$90.4M18
Diluted shares6.3M31.3M33.1M39.0M41.4M

Superscripts are receipts. Each links to the SEC filing the number came from (full list at the bottom).

ii. Your slice — ownership made literal
If you owned
shares
Net assets behind them
$74
your share of equity
Profit it earned you last year
−$34.75
Free cash flow it threw off
−$31.31
Debt you’d be carrying
—

10 shares is a claim on $74 of net worth that earned you −$34.75 and generated −$31.31 of cash last year.

iii. Is this a good business?
Moat signal · return on equity
-19% avg · 5y
FY21 -17%FY22 -45%FY23 -3%FY24 15%FY25 -47%

It earned an average -19% on equity over 5 years. Compare that to what it costs to fund the business.

seeing a moat in the numbers →
Management signal · capital allocation
+560% shares · 5y

Share count is up 560% over 5 years — owners have been diluted. Worth asking what they got for it.

reading capital allocation →

Signals, not verdicts — read from the filings above. Numbers don’t prove a moat; they show its footprint. You decide.

iv. What it’s worth — engine v0.1.0
DCF · Growth Exit 10Y
not applicable
3y-median FCF non-positive — growth-exit DCF not applicable (see EPV)
DCF · Growth Exit 5Y
not applicable
3y-median FCF non-positive — growth-exit DCF not applicable (see EPV)
Earnings Power Value
not applicable
normalized (5y-median) earnings non-positive — EPV undefined
Graham Number
not applicable
diluted EPS missing or non-positive — Graham Number undefined

Different models answer different questions — which to trust when →

Sources — the receipts
  1. 10-K · period ending 2023-12-31 · accession 0001689375-25-000011 (RevenueFromContractWithCustomerExcludingAssessedTax)
  2. 10-K · period ending 2024-12-31 · accession 0001689375-26-000011 (RevenueFromContractWithCustomerExcludingAssessedTax)
  3. 10-K · period ending 2021-12-31 · accession 0001689375-23-000019 (NetIncomeLoss)
  4. 10-K · period ending 2022-12-31 · accession 0001689375-24-000016 (NetIncomeLoss)
  5. 10-K · period ending 2023-12-31 · accession 0001689375-25-000011 (NetIncomeLoss)
  6. 10-K · period ending 2024-12-31 · accession 0001689375-26-000011 (NetIncomeLoss)
  7. 10-K · period ending 2021-12-31 · accession 0001689375-23-000019 (NetCashProvidedByUsedInOperatingActivities)
  8. 10-K · period ending 2022-12-31 · accession 0001689375-24-000016 (NetCashProvidedByUsedInOperatingActivities)
  9. 10-K · period ending 2023-12-31 · accession 0001689375-25-000011 (NetCashProvidedByUsedInOperatingActivities)
  10. 10-K · period ending 2024-12-31 · accession 0001689375-26-000011 (NetCashProvidedByUsedInOperatingActivities)
  11. 10-K · period ending 2021-12-31 · accession 0001689375-23-000019 (PaymentsToAcquirePropertyPlantAndEquipment)
  12. 10-K · period ending 2022-12-31 · accession 0001689375-24-000016 (PaymentsToAcquirePropertyPlantAndEquipment)
  13. 10-K · period ending 2023-12-31 · accession 0001689375-25-000011 (PaymentsToAcquirePropertyPlantAndEquipment)
  14. 10-K · period ending 2024-12-31 · accession 0001689375-26-000011 (PaymentsToAcquirePropertyPlantAndEquipment)
  15. 10-K · period ending 2021-12-31 · accession 0001689375-23-000019 (CashAndCashEquivalentsAtCarryingValue)
  16. 10-K · period ending 2022-12-31 · accession 0001689375-24-000016 (CashAndCashEquivalentsAtCarryingValue)
  17. 10-K · period ending 2023-12-31 · accession 0001689375-25-000011 (CashAndCashEquivalentsAtCarryingValue)
  18. 10-K · period ending 2024-12-31 · accession 0001689375-26-000011 (CashAndCashEquivalentsAtCarryingValue)