Praxis Precision Medicines
PRAX on Nasdaq. Praxis Precision Medicines develops medicines for brain disorders and sells them to patients. Market value $7.9bn.
Price checks use the past 12 months to June 2026. Quality checks use five annual reports, the latest for the year to December 2025.
Should I look at this?
Not a fit for our list right now
Why it could be worth it
See Health care stocks that passed both tests
This is not advice. Check the numbers below.
For every $100 of what the whole company costs, it produced $-3.90 of spare cash in the past 12 months. A savings account pays about $4.
The filings do not give us enough to work this out.
Each dollar kept in the business earns -93 cents a year. Above 10 is good.
Quality score: 30 of 100. Price score: 0 of 100. Our list needs 70 on quality and 60 on price.
$280.14 a share, 457% above its 1-year low
Over the past year the price has ranged from $50.31 to $392.70.
Pays no dividend
Prices from Tuesday’s close (6 October).
Five years of cash, in billions
| Revenue | |||||
| Revenue | n/a | $0 | $2m | $9m | $0 |
| Operating margin | |||||
| Operating margin | n/a | n/a | -5164.4% | -2340.3% | n/a |
| Debt to equity | |||||
| Debt to equity | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Shares outstanding | |||||
| Shares outstanding | 0.05bn | 0.13bn | 0.02bn | 0.03bn | 0.03bn |
Health checks
- Free cash flow positive0 of 5 years
- Accounting looks honest (Beneish)Not enough data
- Financial strength (Piotroski)1 of 8 checks we could run
- Profit backed by cash (accruals)Yes
- Debt0.00× equity
- Revenue growth, five yearsUnknown
- Buying back its own sharesYes, 41% fewer since 2021
The quarter to June 2026
How the business did, compared with the same quarter a year earlier.
- A loss of $84 million, compared with a loss of $71 million a year ago.
- Over the past 12 months it spent $305 million more cash than it brought in, compared with $191 million a year earlier.
- 36% more shares than a year ago. Each share owns a bit less of the company.
- It has $475 million more cash than debt, up from $157 million a year ago.
| Quarter to | Amount |
|---|---|
| September 2024 | $302,000 |
| December 2024 | $7m |
| March 2025 | $0 |
| June 2025 | $0 |
| September 2025 | $0 |
| December 2025 | $0 |
| March 2026 | Not reported |
| June 2026 | Not reported |
| Quarter to | Amount |
|---|---|
| September 2024 | -$52m |
| December 2024 | -$59m |
| March 2025 | -$69m |
| June 2025 | -$71m |
| September 2025 | -$74m |
| December 2025 | -$89m |
| March 2026 | -$93m |
| June 2026 | -$84m |
From the company's quarterly reports to the SEC.
Dates
- Next results (estimated)
- n/a
- Last annual report (10-K)
- 19 February 2026
- Next quarterly (estimated, 10-Q)
- 5 November 2026
Who owns it
3 long-term investors we follow own it, up from 2 last quarter. 309 funds in all.
| Fund | Value | Share of that fund | Change |
|---|---|---|---|
| Orbis Investment ManagementOrbis team (Allan Gray lineage) | $512m | 1.8% | Cut |
| Polen CapitalDan Davidowitz | $2m | <0.1% | Cut |
| Royce & AssociatesChuck Royce | $2m | <0.1% | New |
Largest holders overall
- Jupiter Topco$1.1bn
- FMR$776mAdded
- BlackRock$768m
- Perceptive Advisors$682m
- Baker Bros. Advisors LP$587m
- Orbis Investment Management$512mCut
- Vanguard Portfolio Management$447mAdded
- Vanguard Capital Management$414m
- State Street$344mAdded
- Adage Capital Partners GP, L.L.C.$340mAdded
From 13F filings for the quarter ended 30 June 2026.
Big holders and activists
10 investors own more than 5%.
- JANUS HENDERSON GROUP PLCPassive investorat least 12.3%−0.1 pts(filed with 1 related holder)Since 30 September 2025
- FMR LLCPassive investorat least 7.7%+2.3 pts(filed with 1 related holder)Since 31 March 2026
- Perceptive Advisors LLCPassive investorat least 7.2%+0.5 pts(filed with 2 related holders)Since 31 December 2025
- Baker Bros. Advisors LPPassive investorat least 6.3%(filed with 3 related holders)Since 31 March 2026
- ORBIS INVESTMENT MANAGEMENT LTDPassive investorat least 5.5%−3.4 pts(filed with 1 related holder)Since 30 June 2026
- Vanguard Capital ManagementPassive investor5.1%Since 31 March 2026
- Venrock Healthcare Capital Partners III, L.P.Passive investorat least 4.9%−1.2 pts(filed with 6 related holders)Since 31 March 2025
- Soleus Capital Master Fund, L.P.Passive investorat least 4.6%−0.4 pts(filed with 5 related holders)Since 30 June 2025
- Cormorant Asset Management, LPPassive investorat least 4.0%−3.7 pts(filed with 1 related holder)Since 30 September 2025
- Adage Capital Management, L.P.Passive investorat least 3.8%−1.5 pts(filed with 2 related holders)Since 31 December 2025
- T. Rowe Price Associates, Inc.Passive investorSold down below 5%Since 30 September 2025
- Capital Research Global InvestorsPassive investorSold down below 5%Since 31 March 2025
- Morgan StanleyPassive investorSold down below 5%Since 30 September 2025
- Point72 Biotech Private Investments, LLCPassive investorSold down below 5%Since 31 March 2026
- The Vanguard GroupPassive investorSold down below 5%Since 13 March 2026
| Holder | Stake | Since | |
|---|---|---|---|
JANUS HENDERSON GROUP PLC Passive investor | at least 12.3%−0.1 pts (filed with 1 related holder) | 30 September 2025 | |
FMR LLC Passive investor | at least 7.7%+2.3 pts (filed with 1 related holder) | 31 March 2026 | |
Perceptive Advisors LLC Passive investor | at least 7.2%+0.5 pts (filed with 2 related holders) | 31 December 2025 | |
Baker Bros. Advisors LP Passive investor | at least 6.3% (filed with 3 related holders) | 31 March 2026 | |
ORBIS INVESTMENT MANAGEMENT LTD Passive investor | at least 5.5%−3.4 pts (filed with 1 related holder) | 30 June 2026 | |
Vanguard Capital Management Passive investor | 5.1% | 31 March 2026 | |
Venrock Healthcare Capital Partners III, L.P. Passive investor | at least 4.9%−1.2 pts (filed with 6 related holders) | 31 March 2025 | |
Soleus Capital Master Fund, L.P. Passive investor | at least 4.6%−0.4 pts (filed with 5 related holders) | 30 June 2025 | |
Cormorant Asset Management, LP Passive investor | at least 4.0%−3.7 pts (filed with 1 related holder) | 30 September 2025 | |
Adage Capital Management, L.P. Passive investor | at least 3.8%−1.5 pts (filed with 2 related holders) | 31 December 2025 | |
T. Rowe Price Associates, Inc. Passive investor | Sold down below 5% | 30 September 2025 | |
Capital Research Global Investors Passive investor | Sold down below 5% | 31 March 2025 | |
Morgan Stanley Passive investor | Sold down below 5% | 30 September 2025 | |
Point72 Biotech Private Investments, LLC Passive investor | Sold down below 5% | 31 March 2026 | |
The Vanguard Group Passive investor | Sold down below 5% | 13 March 2026 |
From Schedule 13D and 13G filings: anyone owning more than 5% must file one.
What insiders did
No insider bought shares on the open market in the last 12 months. 3 sold $11m, $4m of it under preset trading plans.
- DeSimone JillDirectorSoldunder a preset trading plan
- Date
- 24 June 2026
- Shares
- 11,600
- Price
- $311.32
- Value
- $4m
- Nemiroff AlexGeneral Counsel and SecretarySold
- Date
- 20 November 2025
- Shares
- 25,130
- Price
- $193.08
- Value
- $5m
- Mastrocola LaurenPrincipal Accounting OfficerSold
- Date
- 20 November 2025
- Shares
- 13,600
- Price
- $192.08
- Value
- $3m
| Date | Who | Did | Shares | Price | Value |
|---|---|---|---|---|---|
| 24 June 2026 | DeSimone Jill Director | Sold under a preset trading plan | 11,600 | $311.32 | $4m |
| 20 November 2025 | Nemiroff Alex General Counsel and Secretary | Sold | 25,130 | $193.08 | $5m |
| 20 November 2025 | Mastrocola Lauren Principal Accounting Officer | Sold | 13,600 | $192.08 | $3m |
From Form 4 filings: insiders must report trades in their own company's shares within two days.
Warning signs in its filings
Problems the company itself reported to the SEC, in its own words.
None of the serious warning signs we check for were found. 1 thing worth knowing.
We look for five warning signs: doubt it can keep going, weak checks on its own accounts, a notice that its past accounts can't be relied on, a change of auditor, and one customer bringing in a big share of sales. We don't check lawsuits, investigations or debt yet.
We checked the auditor's report, internal controls, restatement notices, auditor changes and big customers in the 10-K filed 19 Feb 2026, plus the 10-Q filed 6 Aug 2026 and 10 later 8-Ks.
Changed auditor
Worth knowingThe company changed its auditor (the firm that checks its books) in the last two years.
“On June 29, 2026, the Audit Committee of the Board of Directors (the "Audit Committee") of Praxis Precision Medicines, Inc. (the "Company") approved the dismissal of Ernst & Young LLP ("EY") as the Company's independent registered public accounting firm, effective as of that date.”
From an 8-K filed 2 July 2026: Change of auditor. Read it in the filing
A 10-K is the yearly report every US company files with the SEC. An 8-K is a short notice of a big event.
What could go wrong
Cheap for a reason is the question the numbers cannot answer.
Whether the price already reflects the risks is what the deep dive is for.
The deep dive
Everything above is arithmetic on public filings. The deep dive reads the last ten years of annual reports, the proxy statements, and the earnings calls, then argues the case the way Buffett, Klarman, and Hohn would, and checks every claim against the source.
- What the business is worth, as a range, and the margin of safety at today’s price
- Prices to start buying, buy, and buy hard
- The three things that would make this a mistake
- Every number footnoted to the filing it came from
Your first deep dive is free.
Not advice. Numbers on this page come from SEC filings and are updated each night; prices are updated again after the US market closes. The five-year figures are rounded.