Arbutus Biopharma Corporation

ABUS

HealthcareBiotechnologyNASDAQ

$4.39

Market Cap: $864.57M

Arbutus Biopharma Corporation (ABUS) Valuation Summary

Updated Apr 6, 2026 22:24

Model	Range	Fair Value	Upside
▸ Discounted Cash Flow
Revenue DCF 5Y	$0.02 – $1.88	$0.41	-90.8%
Revenue DCF 10Y	$0.14 – $2.20	$0.60	-86.4%
▸ Trading Multiples
EV/Revenue	$0.85 – $2.44	$1.08	-75.7%

Valuation History

DCF Analysis

Arbutus Biopharma Corporation (ABUS) Revenue DCF (5Y)

REVENUE DCF FAIR VALUE

$0.60

Market Price

$4.39

Upside / Downside

-86.3%

Verdict

Overvalued

Using a Revenue DCF model with operating margin convergence from -192.1% to a target of 13.3% over 5 years, discounted at a WACC of 8.7%, Arbutus Biopharma Corporation (ABUS) has an intrinsic value of $0.60 per share (range: $0.14 – $2.20).

Key Assumptions

Current Operating Margin

-192.1%

Target Operating Margin

13.3%

WACC

8.7%

Terminal Growth Rate

3.0%

Historical CapEx/Rev

3.4%

Target CapEx/Rev

15.7%

D&A/Revenue

10.5%

Tax Rate

21.0%

Operating margin fades linearly from the current level to the industry target over the 5-year projection. CapEx intensity fades from the historical average to a maintenance level (D&A × 1.5). Tax is only applied when operating income is positive (NOL shield).

Margin Convergence Projection

USD in millions. Mid-year discounting convention.

Year	Revenue	Growth	Op Margin	Op Income	NOPAT	D&A	CapEx	ΔNWC	FCFF	PV(FCFF)
2026	1	-92.9%	-151.0%	-2	-2	0	(0)	-1	-1	-1
2027	9	783.2%	-109.9%	-10	-10	1	(1)	-0	-9	-8
2028	56	533.5%	-68.8%	-39	-39	6	(4)	-3	-34	-28
2029	174	210.2%	-27.8%	-48	-48	18	(14)	-7	-38	-28
2030	185	6.4%	13.3%	25	19	19	(18)	-1	22	15
2031	195	5.8%	13.3%	26	21	20	(21)	-1	21	13
2032	206	5.3%	13.3%	27	22	22	(25)	-1	19	11
2033	215	4.7%	13.3%	29	23	23	(29)	-1	17	9
2034	224	4.1%	13.3%	30	24	23	(32)	-1	15	7
2035	232	3.6%	13.3%	31	24	24	(36)	-0	13	6

Enterprise Value Bridge

Sum of PV(FCFF)-3

Terminal Value (Gordon Growth at 3.0%)231

PV of Terminal Value105

Enterprise Value102

(–) Net Debt-14

Equity Value116

(÷) Shares Outstanding192

Fair Value per Share$0.60

Sensitivity Analysis — WACC × Target Operating Margin

WACC \ Target Op. Margin	7.3%	10.3%	13.3%	16.3%	19.3%
6.7%	$-0	$1	$1	$2	$2
7.7%	$-0	$0	$1	$1	$2
8.7%	$-0	$0	$1	$1	$1
9.7%	$-0	$0	$0	$1	$1
10.7%	$-0	$0	$0	$1	$1

Current price: $4.39. Green = undervalued, Red = overvalued.

Working Capital Assumption

Net Working Capital is modeled at -5.7% of revenue (historical average of receivables + inventory − payables). Changes in NWC (ΔNWC) are computed year-over-year and subtracted from free cash flow.

Arbutus Biopharma Corporation (ABUS) Revenue DCF (5Y)

REVENUE DCF FAIR VALUE

$0.41

Market Price

$4.39

Upside / Downside

-90.7%

Verdict

Overvalued

Key Assumptions

Current Operating Margin

-192.1%

Target Operating Margin

13.3%

WACC

8.7%

Terminal Growth Rate

3.0%

Historical CapEx/Rev

3.4%

Target CapEx/Rev

15.7%

D&A/Revenue

10.5%

Tax Rate

21.0%

Margin Convergence Projection

USD in millions. Mid-year discounting convention.

Year	Revenue	Growth	Op Margin	Op Income	NOPAT	D&A	CapEx	ΔNWC	FCFF	PV(FCFF)
2026	1	-92.9%	-151.0%	-2	-2	0	(0)	-1	-1	-1
2027	9	783.2%	-109.9%	-10	-10	1	(1)	-0	-9	-8
2028	56	533.5%	-68.8%	-39	-39	6	(6)	-3	-36	-29
2029	174	210.2%	-27.8%	-48	-48	18	(23)	-7	-46	-35
2030	185	6.4%	13.3%	25	19	19	(29)	-1	10	7

Enterprise Value Bridge

Sum of PV(FCFF)-65

Terminal Value (Gordon Growth at 3.0%)189

PV of Terminal Value130

Enterprise Value64

(–) Net Debt-14

Equity Value78

(÷) Shares Outstanding192

Fair Value per Share$0.41

Sensitivity Analysis — WACC × Target Operating Margin

WACC \ Target Op. Margin	7.3%	10.3%	13.3%	16.3%	19.3%
6.7%	$-0	$0	$1	$1	$2
7.7%	$-0	$0	$1	$1	$1
8.7%	$-0	$0	$0	$1	$1
9.7%	$-0	$0	$0	$1	$1
10.7%	$-0	$-0	$0	$0	$1

Current price: $4.39. Green = undervalued, Red = overvalued.

Working Capital Assumption

Net Working Capital is modeled at -5.7% of revenue (historical average of receivables + inventory − payables). Changes in NWC (ΔNWC) are computed year-over-year and subtracted from free cash flow.

Trading Multiples

Fair Value

$1.08

Market Price

$4.39

Upside / Downside

-75.3%

Verdict

Overvalued

Using the industry peer median EV/Revenue multiple (trailing + forward), Arbutus Biopharma Corporation (ABUS) has a fair value of $1.08 based on 5 comparable companies in the Biotechnology industry.

EV/Revenue Valuation — Biotechnology

USD in millions except Fair Price. Subject company highlighted.

	Mkt Cap ($M)	Trailing EV/Revenue	Forward EV/Revenue
Arbutus Biopharma CorporationABUS	841	58.7x	60.7x
Tango Therapeutics, Inc.TNGX	2,357	36.5x	—
Septerna, Inc.SEPN	1,113	22.1x	13.7x
EyePoint Pharmaceuticals, Inc.EYPT	1,094	32.3x	—
ARS Pharmaceuticals, Inc.SPRY	833	10.5x	5.5x
Kura Oncology, Inc.KURA	750	9.2x	5.6x
Industry Median		22.1x	5.6x
(*) Revenue		14	14
= Enterprise Value		311	76
(-) Net Debt		-14	-14
Equity Value		325	90
(/) Outstanding shares		192	192
Fair Price		$2	$0

Selected Fair Value (avg of trailing + forward)

$1.08

-75.3%

Disclaimer: Sweet Value Lab provides estimated intrinsic values for informational purposes only. This is not financial advice. All models rely on assumptions that may not reflect future performance. Always do your own research before making investment decisions.

Model

Range

Fair Value

Upside

▸ Discounted Cash Flow

Revenue DCF 5Y

$0.02 – $1.88

$0.41

-90.8%

Revenue DCF 10Y

$0.14 – $2.20

$0.60

-86.4%

▸ Trading Multiples

EV/Revenue

$0.85 – $2.44

$1.08

-75.7%

DCF Analysis

Arbutus Biopharma Corporation (ABUS) Revenue DCF (5Y)

REVENUE DCF FAIR VALUE

$0.60

Market Price

$4.39

Upside / Downside

-86.3%

Verdict

Overvalued

Key Assumptions

Current Operating Margin

-192.1%

Target Operating Margin

13.3%

WACC

8.7%

Terminal Growth Rate

3.0%

Historical CapEx/Rev

3.4%

Target CapEx/Rev

15.7%

D&A/Revenue

10.5%

Tax Rate

21.0%

Margin Convergence Projection

USD in millions. Mid-year discounting convention.

Year	Revenue	Growth	Op Margin	Op Income	NOPAT	D&A	CapEx	ΔNWC	FCFF	PV(FCFF)
2026	1	-92.9%	-151.0%	-2	-2	0	(0)	-1	-1	-1
2027	9	783.2%	-109.9%	-10	-10	1	(1)	-0	-9	-8
2028	56	533.5%	-68.8%	-39	-39	6	(4)	-3	-34	-28
2029	174	210.2%	-27.8%	-48	-48	18	(14)	-7	-38	-28
2030	185	6.4%	13.3%	25	19	19	(18)	-1	22	15
2031	195	5.8%	13.3%	26	21	20	(21)	-1	21	13
2032	206	5.3%	13.3%	27	22	22	(25)	-1	19	11
2033	215	4.7%	13.3%	29	23	23	(29)	-1	17	9
2034	224	4.1%	13.3%	30	24	23	(32)	-1	15	7
2035	232	3.6%	13.3%	31	24	24	(36)	-0	13	6

Enterprise Value Bridge

Sum of PV(FCFF)-3

Terminal Value (Gordon Growth at 3.0%)231

PV of Terminal Value105

Enterprise Value102

(–) Net Debt-14

Equity Value116

(÷) Shares Outstanding192

Fair Value per Share$0.60

Sensitivity Analysis — WACC × Target Operating Margin

WACC \ Target Op. Margin	7.3%	10.3%	13.3%	16.3%	19.3%
6.7%	$-0	$1	$1	$2	$2
7.7%	$-0	$0	$1	$1	$2
8.7%	$-0	$0	$1	$1	$1
9.7%	$-0	$0	$0	$1	$1
10.7%	$-0	$0	$0	$1	$1

Current price: $4.39. Green = undervalued, Red = overvalued.

Working Capital Assumption

Net Working Capital is modeled at -5.7% of revenue (historical average of receivables + inventory − payables). Changes in NWC (ΔNWC) are computed year-over-year and subtracted from free cash flow.

Trading Multiples

Fair Value

$1.08

Market Price

$4.39

Upside / Downside

-75.3%

Verdict

Overvalued

Using the industry peer median EV/Revenue multiple (trailing + forward), Arbutus Biopharma Corporation (ABUS) has a fair value of $1.08 based on 5 comparable companies in the Biotechnology industry.

EV/Revenue Valuation — Biotechnology

USD in millions except Fair Price. Subject company highlighted.

	Mkt Cap ($M)	Trailing EV/Revenue	Forward EV/Revenue
Arbutus Biopharma CorporationABUS	841	58.7x	60.7x
Tango Therapeutics, Inc.TNGX	2,357	36.5x	—
Septerna, Inc.SEPN	1,113	22.1x	13.7x
EyePoint Pharmaceuticals, Inc.EYPT	1,094	32.3x	—
ARS Pharmaceuticals, Inc.SPRY	833	10.5x	5.5x
Kura Oncology, Inc.KURA	750	9.2x	5.6x
Industry Median		22.1x	5.6x
(*) Revenue		14	14
= Enterprise Value		311	76
(-) Net Debt		-14	-14
Equity Value		325	90
(/) Outstanding shares		192	192
Fair Price		$2	$0

Selected Fair Value (avg of trailing + forward)

$1.08

-75.3%