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Stock impact report

Companies Like Context Therapeutics (NASDAQ:CNTX) Are In A Position To Invest In Growth [Yahoo! Finance]

Context Therapeutics Inc. (CNTX) 
Company Research Source: Yahoo! Finance
For example, biotech and mining exploration companies often lose money for years before finding success with a new treatment or mineral discovery. Nonetheless, only a fool would ignore the risk that a loss making company burns through its cash too quickly. Given this risk, we thought we'd take a look at whether Context Therapeutics NASDAQ:CNTX ) shareholders should be worried about its cash burn. For the purposes of this article, cash burn is the annual rate at which an unprofitable company spends cash to fund its growth; its negative free cash flow. Let's start with an examination of the business' cash, relative to its cash burn. A company's cash runway is calculated by dividing its cash hoard by its cash burn. As at December 2024, Context Therapeutics had cash of US$94m and no debt. Looking at the last year, the company burnt through US$29m. That means it had a cash runway of about 3.2 years as of December 2024. A runway of this length affords the company the time and space it n Show less Read more
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