Alterity Therapeutics Limited (ATHE)

Alterity Therapeutics Limited is a biotechnology company focused on developing therapeutic drugs for neurological disorders. Their lead drug candidate, ATH434, is in development for Parkinson's disease, and PBT2 is in development for Alzheimer's disease.

59/100 AI Score MCap 29M Vol 7K

Company Overview

CEODavid A. Stamler
Employees10
HeadquartersMelbourne, VIC, AU
IPO Year2003

Alterity Therapeutics pioneers novel treatments for neurodegenerative diseases, focusing on Parkinson's and Alzheimer's, with ATH434 poised to address unmet needs in Parkinson's treatment, presenting a high-risk, high-reward opportunity for investors seeking innovative biotech ventures.

Investment Thesis

Investing in Alterity Therapeutics presents a high-risk, high-reward opportunity within the biotechnology sector. The company's lead drug candidate, ATH434, targeting Parkinson's disease, has completed Phase I trials, demonstrating initial safety and tolerability. Positive Phase II trial results could serve as a major catalyst, driving significant stock appreciation. Furthermore, the potential of PBT2 in treating Alzheimer's disease adds another layer of potential upside. While the company's negative P/E ratio of -4.93 and a negative profit margin of -223.4% highlight its current unprofitability, successful clinical trials and eventual commercialization could transform its financial outlook. The company's small market cap of $0.03 billion offers substantial growth potential if its drug candidates prove effective. Investors should closely monitor clinical trial outcomes and regulatory milestones as key value drivers.

Key Highlights

  • Market Cap of $0.03B reflects its small size and potential for high growth.
  • P/E Ratio of -4.93 indicates the company is currently unprofitable, common for development-stage biotech companies.
  • Gross Margin of 97.7% suggests strong potential profitability if products reach commercialization.
  • Lead drug candidate ATH434 has completed Phase I clinical trial for Parkinson's disease, a significant milestone.
  • Developing PBT2 which has completed Phase IIa clinical trial to treat Alzheimer's disease.

Competitors

Strengths

  • Novel drug candidates targeting specific neurological disorders.
  • Completed Phase I clinical trial for ATH434.
  • Developing PBT2 which has completed Phase IIa clinical trial.
  • Experienced management team with expertise in drug development.

Weaknesses

  • Limited financial resources.
  • Small team of employees.
  • Dependence on successful clinical trial outcomes.
  • Currently unprofitable with negative profit margin.

Catalysts

  • Upcoming: Announcement of Phase II clinical trial results for ATH434 in Parkinson's disease.
  • Upcoming: Initiation of Phase III clinical trials for ATH434, contingent on Phase II success.
  • Ongoing: Continued development and advancement of PBT2 for Alzheimer's disease.
  • Ongoing: Potential for strategic partnerships and collaborations to accelerate drug development.

Risks

  • Potential: Unsuccessful clinical trial outcomes for ATH434 or PBT2.
  • Potential: Regulatory delays or rejection of drug candidates.
  • Ongoing: Competition from larger pharmaceutical companies with greater resources.
  • Ongoing: Dependence on securing additional funding to support research and development.
  • Potential: Patent challenges and intellectual property disputes.

Growth Opportunities

  • Advancement of ATH434 for Parkinson's Disease: The global Parkinson's disease market is projected to reach billions of dollars by 2028. Successful completion of Phase II and Phase III clinical trials for ATH434, followed by regulatory approval, could provide Alterity with a significant revenue stream. The company's competitive advantage lies in targeting specific protein interactions implicated in the disease, potentially offering a more effective treatment option. Timeline: Ongoing clinical trials with potential data readouts in the next 12-24 months.
  • Development of PBT2 for Alzheimer's Disease: The Alzheimer's disease market represents another substantial opportunity. Positive results from further clinical trials of PBT2 could position Alterity as a key player in this space. The company's approach focuses on modulating metal-protein interactions, which differentiates it from other Alzheimer's drug development programs. Timeline: Continued clinical development with potential for future partnerships and licensing agreements.
  • Expansion of Pipeline with Novel Drug Candidates: Alterity can leverage its expertise in metal-protein interactions to identify and develop new drug candidates for other neurological disorders. This could involve targeting Huntington's disease or other related conditions. A diversified pipeline reduces risk and increases the potential for long-term growth. Timeline: Ongoing research and development efforts with potential for new drug candidate announcements in the next 3-5 years.
  • Strategic Partnerships and Collaborations: Partnering with larger pharmaceutical companies or research institutions could provide Alterity with access to additional funding, expertise, and resources. This could accelerate the development and commercialization of its drug candidates. Strategic alliances can also enhance the company's credibility and visibility within the industry. Timeline: Ongoing discussions with potential partners with potential for announcements in the next 1-2 years.
  • Out-licensing or Acquisition Opportunities: Successful clinical trial results could make Alterity an attractive acquisition target for larger pharmaceutical companies seeking to expand their portfolios of neurological disease treatments. Alternatively, the company could out-license its drug candidates to generate revenue and reduce its financial burden. Timeline: Potential for out-licensing or acquisition following positive clinical trial data and regulatory milestones.

Opportunities

  • Growing market for neurodegenerative disease treatments.
  • Potential for strategic partnerships and collaborations.
  • Out-licensing or acquisition opportunities.
  • Expansion of pipeline with novel drug candidates.

Threats

  • Regulatory hurdles and lengthy approval processes.
  • Competition from larger pharmaceutical companies.
  • Unsuccessful clinical trial outcomes.
  • Patent challenges and intellectual property disputes.

Competitive Advantages

  • Patented drug candidates provide exclusivity.
  • Specialized expertise in metal-protein interactions.
  • Clinical trial data demonstrating efficacy and safety.
  • Strong intellectual property portfolio.

About

Alterity Therapeutics Limited, founded in 1997 and headquartered in Melbourne, Australia, is a biotechnology company dedicated to researching and developing therapeutic drugs for debilitating neurological disorders. Originally incorporated as Prana Biotechnology Limited, the company rebranded to Alterity Therapeutics in April 2019, signaling a renewed focus on innovative approaches to address conditions like Alzheimer's disease, Huntington's disease, and Parkinson's disease. Alterity's pipeline is spearheaded by ATH434, a drug candidate currently in development for the treatment of Parkinson's disease, having successfully completed Phase I clinical trials. The company is also advancing PBT2, another promising therapeutic, which has completed Phase IIa clinical trials for Alzheimer's disease. Alterity Therapeutics operates primarily in Australia, concentrating its efforts on preclinical and clinical development to bring novel therapies to market. The company's strategy involves identifying and developing small molecule drugs that can modulate metal-protein interactions implicated in neurodegeneration. With a small team of 10 employees, Alterity is an emerging player in the competitive biotechnology landscape, striving to make a significant impact on the lives of patients suffering from neurological diseases.

What They Do

  • Researches and develops therapeutic drugs for neurological disorders.
  • Focuses on treatments for Alzheimer's disease.
  • Develops treatments for Huntington's disease.
  • Creates treatments for Parkinson's disease.
  • Develops drugs for other neurological disorders.
  • Conducts preclinical and clinical trials to evaluate drug candidates.
  • Seeks regulatory approvals for its therapeutic drugs.

Business Model

  • Develops and patents novel therapeutic drugs.
  • Conducts clinical trials to demonstrate safety and efficacy.
  • Seeks regulatory approval from agencies like the FDA.
  • Out-licenses or commercializes approved drugs.

Industry Context

Alterity Therapeutics operates within the competitive biotechnology industry, which is characterized by high research and development costs, lengthy regulatory approval processes, and intense competition. The market for neurodegenerative disease treatments is substantial and growing, driven by an aging global population. Key trends include the development of targeted therapies and personalized medicine approaches. Alterity competes with larger pharmaceutical companies and other biotechnology firms, including Annovis Bio (ANVS), BioVie (BTAI), and Denali Therapeutics (DNLI), all vying for market share in the treatment of neurological disorders. The company's success depends on its ability to successfully navigate the clinical trial process and secure regulatory approvals for its drug candidates.

Key Customers

  • Patients suffering from Alzheimer's disease.
  • Patients suffering from Huntington's disease.
  • Patients suffering from Parkinson's disease.
  • Healthcare providers who treat patients with neurological disorders.
AI Confidence: 69% Updated: 2/9/2026

Financials

Chart & Info

Price Chart

Alterity Therapeutics Limited (ATHE) stock price: $3.25 (+0.09, +2.85%)

Why Bull

  • •The company's focus on neurodegenerative diseases is gaining traction, with increasing awareness in the medical community.
  • •Recent insider buying suggests confidence in the company's long-term prospects and pipeline.
  • •The social trading community is showing increased interest in ATHE, indicating growing investor awareness.
  • •Positive sentiment within the community highlights belief in the potential of their lead drug candidate.

Why Bear

  • •Limited clinical trial data available in the public domain raises concerns about efficacy.
  • •Recent market volatility has created a risk-off environment, potentially impacting smaller biotech companies like ATHE.
  • •Community discussions reveal skepticism regarding the company's ability to secure future funding.
  • •Negative sentiment surfaces due to perceived slow progress in clinical trials, leading to impatience among some investors.

Latest News

Technical Analysis

RSI(14)
--
MACD
--
Volume
6,436

Rationale

AI-generated technical analysis for ATHE including trend direction, momentum, and pattern recognition.

What to Watch

Key support and resistance levels, volume signals, and upcoming events.

Risk Management

Position sizing, stop-loss levels, and risk-reward assessment.

Community

Discussion

Share your analysis and discuss Alterity Therapeutics Limited (ATHE) with other investors. Log in to post.

Sentiment

Community sentiment and discussion activity for ATHE.

Make a Prediction

Set your price target for Alterity Therapeutics Limited (ATHE), choose a timeframe, and track your prediction accuracy.

Current price: $3.25

Analyst Consensus

Consensus Rating

Aggregated Buy/Hold/Sell recommendations from Benzinga, Yahoo Finance, and Finnhub for ATHE.

Price Targets

Wall Street price target analysis for ATHE.

Insider Flow (30d)

No insider trades in the last 30 days.

MoonshotScore

58.5/100

Score Factors

  • Revenue Growth 8/100

    Revenue grew 81.4% YoY, showing strong top-line momentum well above industry average.

  • Gross Margin 10/100

    Gross margin of 97.7% shows excellent pricing power and a strong competitive moat.

  • Operating Leverage 6/100

    Revenue growth is driving operating leverage, meaning profits can grow faster than costs.

  • Cash Runway 5/100

    Cash position data is currently unavailable for this company.

  • R&D Intensity 5/100

    R&D spending data is currently unavailable for this company.

  • Insider Activity 6/100

    No significant insider buying or selling recently, which is neutral for the stock outlook.

  • Short Interest 5/100

    Float and volume data unavailable for liquidity analysis.

  • Price Momentum 0/100

    No bullish technical signals detected. The stock lacks upward price momentum currently.

  • News Sentiment 5/100

    No sentiment data available

What does this score mean?

The MoonshotScore rates ATHE's growth potential on a scale of 0-100 across multiple factors including innovation, market disruption, financial health, and momentum.

Frequently Asked Questions

What does Alterity Therapeutics Limited do?

Alterity Therapeutics Limited is a biotechnology company focused on developing therapeutic drugs for neurological disorders, particularly Alzheimer's, Huntington's, and Parkinson's diseases. Their lead drug candidate, ATH434, is being developed for Parkinson's disease and has completed Phase I clinical trials. They are also developing PBT2 for Alzheimer's disease, which has completed Phase IIa clinical trials. The company aims to address unmet medical needs by developing novel therapies that can improve the lives of patients suffering from these debilitating conditions.

Is ATHE stock a good buy?

ATHE stock represents a speculative investment opportunity. While the company has promising drug candidates in development, including ATH434 and PBT2, it is currently unprofitable with a negative P/E ratio. The success of the company hinges on the outcomes of its clinical trials and regulatory approvals. Positive results could lead to significant stock appreciation, but negative results could have the opposite effect. Investors should carefully consider their risk tolerance and conduct thorough due diligence before investing.

What are the main risks for ATHE?

The main risks for ATHE include the inherent uncertainties of drug development, such as the possibility of unsuccessful clinical trial outcomes or regulatory rejection. The company also faces competition from larger pharmaceutical companies with greater resources. Additionally, ATHE is dependent on securing additional funding to support its research and development efforts. Patent challenges and intellectual property disputes also represent potential risks. These factors contribute to the high-risk nature of investing in ATHE.

Is ATHE a good stock to buy?

Whether ATHE is a good investment depends on your financial goals, risk tolerance, and investment horizon. Key factors to evaluate include the company's revenue growth trajectory, profit margins, debt-to-equity ratio, competitive moat, and valuation multiples (P/E, P/S, EV/EBITDA) relative to industry peers. Our AI-generated Investment Thesis and SWOT analysis on this page provide a data-driven starting point. Always do your own research and consider consulting a financial advisor before making investment decisions.

What is the ATHE MoonshotScore?

The MoonshotScore for ATHE is an AI-powered rating from 0 to 100 that evaluates a stock across four dimensions: growth potential (revenue and earnings trajectory), financial health (balance sheet strength, cash flow), market momentum (price trends, volume patterns, institutional flows), and risk factors (volatility, debt levels, sector headwinds). Scores above 70 indicate strong potential, 50-70 moderate, and below 50 suggests caution. The score is recalculated daily using the latest financial data and market signals.

How often is ATHE data updated?

ATHE stock prices are updated in real-time during U.S. market hours (9:30 AM - 4:00 PM ET, Monday through Friday). After-hours and pre-market prices are also tracked. Company fundamentals (earnings, revenue, balance sheet) are refreshed when new quarterly or annual reports are filed. Analyst ratings, price targets, and AI-generated insights are updated daily. Breaking news related to ATHE is aggregated continuously from premium financial news sources throughout the day.

What are the growth catalysts for ATHE?

Growth catalysts for Alterity Therapeutics Limited (ATHE) can include several categories: product catalysts (new launches, FDA approvals, patent grants), financial catalysts (earnings beats, margin expansion, share buybacks), strategic catalysts (acquisitions, partnerships, market expansion into new regions), and macro catalysts (favorable regulation, industry tailwinds, secular growth trends). Our AI analyzes Alterity Therapeutics Limited's specific catalysts using earnings transcripts, SEC filings, and news sentiment to identify the most impactful near-term and long-term drivers.

Who are ATHE's main competitors?

Alterity Therapeutics Limited (ATHE) competes with companies in its industry that target similar customers, markets, or product categories. Competitor analysis involves comparing key metrics: market share, revenue growth rates, profit margins, R&D spending, and valuation multiples. Understanding competitive positioning helps investors assess whether ATHE has a sustainable competitive advantage (moat) through brand strength, network effects, cost leadership, or switching costs. Our Competitors section provides a side-by-side comparison with relevant peers.

What do analysts say about ATHE?

Wall Street analyst coverage for ATHE includes consensus ratings (buy, hold, or sell), 12-month price targets, and earnings estimates. Analyst opinions are aggregated from major investment banks and research firms. Key metrics to watch include the consensus price target (average, high, and low estimates), the number of analysts covering the stock, any recent rating changes (upgrades or downgrades), and how actual earnings compare to analyst estimates (beat or miss history). Our platform aggregates these from multiple data providers for a comprehensive view.

What is ATHE's market cap?

Market capitalization (market cap) for ATHE is calculated by multiplying the current share price by the total number of outstanding shares. It represents the market's total valuation of the company. Stocks are typically categorized as mega-cap ($200B+), large-cap ($10B-$200B), mid-cap ($2B-$10B), small-cap ($300M-$2B), or micro-cap (under $300M). Market cap influences index inclusion, institutional ownership eligibility, and risk profile. Our Key Statistics section shows ATHE's current market cap alongside enterprise value and other valuation metrics.

How has ATHE stock performed recently?

ATHE's recent stock performance can be evaluated across multiple timeframes: daily price changes, week-over-week momentum, monthly trends, and year-to-date returns. Important performance indicators include the stock's 52-week high and low, moving averages (50-day and 200-day SMA), relative strength index (RSI), and volume trends. Comparing ATHE's performance against its sector index and the S&P 500 provides context on whether it is outperforming or underperforming the broader market.

What are the risks of investing in ATHE?

Key risk categories for ATHE include: market risk (overall market downturns affecting stock prices), company-specific risk (management changes, product failures, competitive threats), financial risk (high debt levels, cash burn, dilution from stock issuance), regulatory risk (government policy changes, lawsuits, compliance issues), and macroeconomic risk (interest rate changes, inflation, currency fluctuations). Beta measures ATHE's volatility relative to the market - a beta above 1.0 means higher volatility than the S&P 500. Our AI-generated risk assessment identifies the most relevant risk factors for this specific stock.

Are insiders buying or selling ATHE?

Insider trading activity for ATHE tracks purchases and sales by company executives, directors, and major shareholders (10%+ owners) as reported in SEC Form 4 filings. Insider buying is generally considered a bullish signal because insiders have the deepest knowledge of company operations, while selling may have various motivations (diversification, tax planning, pre-planned 10b5-1 trading plans). Key metrics include the buy-to-sell ratio, total dollar value of insider transactions, and whether multiple insiders are trading in the same direction. Our Insider Flow tab shows recent transactions with dates and dollar amounts.

Is ATHE a good stock for beginners?

Alterity Therapeutics Limited (ATHE) can be suitable for beginner investors depending on several factors. Look at the MoonshotScore on this page for an overall AI-powered assessment of growth potential and risk. Beginners should also check the company's market cap (larger companies tend to be less volatile), gross margin (higher margins mean stronger business fundamentals), and cash position (healthy cash reduces bankruptcy risk). Always start with a small position size and never invest money you cannot afford to lose.

How risky is ATHE for first-time investors?

Every stock carries risk, including Alterity Therapeutics Limited (ATHE). First-time investors should review the Risk Factors section on this page for company-specific risks. Key risk indicators include price volatility (check the chart for daily swings), insider selling activity (see Insider Flow tab), and cash runway (see MoonshotScore breakdown). A diversified portfolio with an index fund like the S&P 500 as a core holding is generally recommended before adding individual stocks like ATHE.

Disclaimer: This content is for informational purposes only and does not constitute investment advice. Always do your own research and consult a financial advisor.

Data provided for informational purposes only.

AI Analysis Notes
  • Information is based on limited available data and publicly available sources. Clinical trial outcomes are inherently uncertain.
Data Sources
profilefundamentalsexistingCopy