Core Viewpoint - Momentum investing focuses on following a stock's recent price trends, aiming to buy high and sell higher, with the expectation that established trends will continue [1] Company Overview: Keros Therapeutics, Inc. (KROS) - Keros Therapeutics, Inc. currently holds a Momentum Style Score of B and a Zacks Rank of 1 (Strong Buy), indicating strong potential for outperformance [2][3] - The stock has shown significant price increases, with shares up 24.08% over the past week, while the Zacks Medical - Biomedical and Genetics industry has declined by 1.16% during the same period [5] - Over the past quarter, KROS shares have increased by 35.22%, and over the last year, they have gained 17.69%, outperforming the S&P 500, which moved 5.09% and 14.7% respectively [6] Trading Volume - KROS has an average 20-day trading volume of 1,106,472 shares, which is considered a bullish indicator when combined with rising stock prices [7] Earnings Outlook - In the last two months, 7 earnings estimates for KROS have been revised upwards, with no downward revisions, leading to an increase in the consensus estimate from $0.20 to $2.25 [9] - For the next fiscal year, 7 estimates have also moved upwards without any downward revisions, indicating positive earnings momentum [9] Conclusion - Given the strong performance metrics and positive earnings outlook, Keros Therapeutics, Inc. is positioned as a promising investment opportunity with a Momentum Score of B and a Zacks Rank of 1 (Strong Buy) [11]

Core Insights - Investors primarily utilize price-to-earnings (P/E) and price-to-sales (P/S) ratios for stock evaluation, while the price-to-book (P/B) ratio serves as an additional metric for identifying undervalued stocks with growth potential [1][5][10] Group 1: P/B Ratio and Its Importance - The P/B ratio is defined as the ratio of stock price to book value, calculated as market capitalization divided by book value of equity [2] - A P/B ratio of less than one indicates that a stock is trading below its book value, suggesting it may be undervalued and a good buy [5] - Conversely, a P/B ratio greater than one suggests the stock may be overvalued [5][6] Group 2: Book Value Definition - Book value represents the total value remaining for shareholders if a company were to liquidate its assets after settling all liabilities [3] - It is calculated by subtracting total liabilities from total assets, equating to common stockholders' equity on the balance sheet [4] Group 3: Limitations of P/B Ratio - The P/B ratio is particularly useful for industries with tangible assets, such as finance and manufacturing, but may be misleading for companies with high R&D expenses or significant debt [8] - A low P/B ratio could indicate weak asset returns or overstated assets, while a high P/B may suggest a company is a takeover target [7] Group 4: Stocks with Low P/B Ratios - StoneCo (STNE) has a low P/B ratio with a projected 3-5 year EPS growth rate of 30.3% and a Zacks Rank of 2 [9][15] - Great Lakes Dredge & Dock (GLDD) also features a low P/B ratio with a projected EPS growth rate of 12.0% and a Zacks Rank of 1 [9][16] - Keros Therapeutics (KROS) is highlighted with a projected EPS growth rate of 23.6% and a Zacks Rank of 1 [9][20] Group 5: Screening Parameters for Investment - Screening for stocks involves comparing P/B, P/S, and P/E ratios against industry medians to identify attractive investment opportunities [11][12][13] - A PEG ratio of less than 1 indicates undervaluation relative to future growth prospects [13] - Stocks should have a minimum trading price of $5 and a substantial average trading volume for liquidity [14]

Core Insights - Keros Therapeutics, Inc. (KROS) is currently rated as a Strong Buy (1) by Zacks Rank, while Novozymes A/S (NVZMY) is rated as a Sell (4), indicating a stronger earnings outlook for KROS compared to NVZMY [3] - KROS has a Value grade of A, while NVZMY has a Value grade of C, suggesting that KROS is perceived as a better investment opportunity based on valuation metrics [6] Valuation Metrics - KROS has a forward P/E ratio of 9.02, significantly lower than NVZMY's forward P/E of 26.74, indicating that KROS may be undervalued relative to NVZMY [5] - The PEG ratio for KROS is 0.38, which is lower than NVZMY's PEG ratio of 1.22, suggesting that KROS offers better value when considering expected earnings growth [5] - KROS has a P/B ratio of 0.75, compared to NVZMY's P/B ratio of 2.38, further supporting the notion that KROS is undervalued [6]

Group 1 - Keros Therapeutics, Inc. (KROS) shares have increased by 14.1% over the past four weeks, closing at $17.32, with a mean price target of $23.25 indicating a potential upside of 34.2% [1] - The average price targets from analysts range from a low of $16.00 to a high of $35.00, with a standard deviation of $5.95, suggesting variability in estimates [2] - Analysts show strong agreement on KROS's ability to report better earnings than previously predicted, which supports the potential for stock upside [4][11] Group 2 - The Zacks Consensus Estimate for KROS's current year earnings has increased by 484% over the past month, with six estimates revised upward and no negative revisions [12] - KROS holds a Zacks Rank 1 (Strong Buy), placing it in the top 5% of over 4,000 ranked stocks based on earnings estimates [13] - While the consensus price target may not be a reliable indicator of the stock's potential gain, it does provide a directional guide for price movement [14]

Core Points - Keros Therapeutics, Inc. announced the final results of its cash tender offer to repurchase up to 10,950,165 shares of common stock at a fixed price of $17.75 per share, totaling approximately $194.4 million [1][3] - The tender offer expired on November 18, 2025, and was part of a larger $375 million capital return program [1] - A total of 17,712,262 shares were validly tendered, leading to a pro rata acceptance of shares at a final proration factor of approximately 62.30% [2][3] Company Overview - Keros is a clinical-stage biopharmaceutical company focused on developing novel therapeutics targeting disorders linked to dysfunctional signaling of the TGF-ß family of proteins [6] - The company is recognized for its understanding of TGF-ß proteins, which regulate the growth and maintenance of various tissues [6] - Keros' lead product candidate, KER-065, targets neuromuscular diseases, particularly Duchenne muscular dystrophy, while its advanced candidate, elritercept, addresses cytopenias in patients with myelodysplastic syndrome and myelofibrosis [6]

Core Points - Keros Therapeutics, Inc. announced the preliminary results of its cash tender offer to repurchase up to 10,950,165 shares of common stock at a fixed price of $17.75 per share, totaling approximately $194.4 million [1][3] - The tender offer expired on November 18, 2025, and was part of a previously announced $375 million capital return program [1] - A total of approximately 16,659,732 shares were validly tendered, with an additional 1,186,829 shares tendered through notice of guaranteed delivery [2] Tender Offer Details - Keros expects to accept for payment 10,950,165 shares on a pro rata basis due to the oversubscription of shares tendered [3] - The shares to be acquired represent approximately 35.91% of Keros' outstanding common stock as of the expiration date [3] - The final number of shares purchased will be confirmed after the completion of the confirmation process by the Depositary [4] Company Overview - Keros Therapeutics is a clinical-stage biopharmaceutical company focused on developing novel therapeutics targeting disorders linked to dysfunctional signaling of the TGF-ß family of proteins [6] - The company is recognized for its understanding of TGF-ß proteins, which are crucial for the growth and maintenance of various tissues [6] - Keros' lead product candidate, KER-065, targets neuromuscular diseases, particularly Duchenne muscular dystrophy, while its advanced candidate, elritercept, addresses cytopenias in myelodysplastic syndrome and myelofibrosis patients [6]

Core Insights - Value investors traditionally use the price-to-earnings (P/E) ratio to identify value stocks, but for loss-making companies, the price-to-sales (P/S) ratio is more relevant. The price-to-book (P/B) ratio is also a useful tool for identifying undervalued stocks with high return potential [1][5][9]. Valuation Ratios - The P/B ratio is calculated as market capitalization divided by book value of equity, helping to identify low-priced stocks with high growth prospects [2][5]. - A P/B ratio of less than one indicates that a stock is trading below its book value, suggesting it may be undervalued, while a ratio above one may indicate overvaluation [5][6]. - The P/B ratio is particularly useful for industries with tangible assets, such as finance and manufacturing, but can be misleading for companies with high R&D expenses or significant debt [8]. Book Value Definition - Book value represents the total value remaining for shareholders if a company were to liquidate its assets after settling all liabilities, calculated by subtracting total liabilities from total assets [3][4]. Screening Parameters - Stocks with a P/B ratio lower than the industry median are considered to have potential for price appreciation [11]. - Additional screening criteria include a P/S ratio below the industry median, a P/E ratio below the industry median, a PEG ratio less than 1, a current price of at least $5, an average 20-day volume of at least 100,000, and a Zacks Rank of 1 or 2 [12][13][14]. Selected Stocks - Five stocks identified with low P/B ratios and solid growth potential include: - **StoneCo (STNE)**: Financial technology solutions provider with a projected 3-5 year EPS growth rate of 30.3% and a Zacks Rank of 2 [15]. - **Great Lakes Dredge & Dock (GLDD)**: Largest U.S. dredging services provider with a projected EPS growth rate of 12.0% and a Zacks Rank of 1 [16]. - **EnerSys (ENS)**: Manufacturer of industrial batteries with a projected EPS growth rate of 15.0% and a Zacks Rank of 2 [17]. - **MillerKnoll (MLKN)**: Design solutions provider with a projected EPS growth rate of 12.0% and a Zacks Rank of 2 [17]. - **Keros Therapeutics (KROS)**: Clinical-stage biotech with a projected EPS growth rate of 23.6% and a Zacks Rank of 1 [18].

Core Insights - Keros Therapeutics, Inc. (KROS) is currently more attractive to value investors compared to argenex SE (ARGX) based on various financial metrics and analyst outlooks [1][3][7] Valuation Metrics - KROS has a forward P/E ratio of 10.55, significantly lower than ARGX's forward P/E of 50.00, indicating KROS is potentially undervalued [5] - The PEG ratio for KROS is 0.45, while ARGX has a PEG ratio of 0.89, suggesting KROS offers better value relative to its expected earnings growth [5] - KROS's P/B ratio stands at 0.7, compared to ARGX's P/B of 8.58, further highlighting KROS's undervaluation [6] Analyst Outlook - KROS holds a Zacks Rank of 1 (Strong Buy), indicating a positive earnings estimate revision trend, while ARGX has a Zacks Rank of 3 (Hold) [3] - KROS's stronger estimate revision activity and more attractive valuation metrics suggest it is the superior option for value investors at this time [7]

Core Viewpoint - Keros Therapeutics, Inc. (KROS) shows potential for significant upside, with a mean price target of $23.13 indicating a 42.8% increase from the current trading price of $16.2 [1] Price Targets and Analyst Estimates - The mean estimate consists of eight short-term price targets with a standard deviation of $5.87, indicating variability among analysts; the lowest estimate suggests a 1.2% decline, while the highest predicts a 116.1% increase to $35.00 [2] - A low standard deviation among price targets suggests a high degree of agreement among analysts regarding the stock's price movement direction [9] Earnings Estimates and Analyst Sentiment - Analysts are optimistic about KROS's earnings prospects, as indicated by a strong consensus in revising EPS estimates higher, which correlates with potential stock price increases [11] - The Zacks Consensus Estimate for the current year has risen by 366.9% over the past month, with four estimates increasing and no negative revisions [12] - KROS holds a Zacks Rank 1 (Strong Buy), placing it in the top 5% of over 4,000 ranked stocks based on earnings estimate factors, indicating strong potential for near-term upside [13] Caution on Price Targets - While price targets are commonly referenced by investors, they can often mislead; empirical research shows that they rarely indicate actual stock price movements [7][10] - Analysts may set overly optimistic price targets due to business incentives, which can inflate expectations [8]

Financial Performance - Keros Therapeutics reported a quarterly loss of $0.18 per share, significantly better than the Zacks Consensus Estimate of a loss of $1.11, representing an earnings surprise of +83.78% [1] - The company posted revenues of $14.26 million for the quarter ended September 2025, exceeding the Zacks Consensus Estimate by 86.04%, compared to revenues of $0.39 million in the same quarter last year [2] Earnings Outlook - The current consensus EPS estimate for the upcoming quarter is -$1.11 on revenues of $7.67 million, while for the current fiscal year, the estimate is $0.33 on revenues of $235.61 million [7] - The estimate revisions trend for Keros Therapeutics was mixed ahead of the earnings release, resulting in a Zacks Rank 3 (Hold) for the stock, indicating expected performance in line with the market [6] Industry Context - Keros Therapeutics operates within the Zacks Medical - Biomedical and Genetics industry, which is currently ranked in the top 40% of over 250 Zacks industries, suggesting a favorable industry outlook [8] - The performance of Keros Therapeutics' stock may be influenced by the overall industry outlook, as the top 50% of Zacks-ranked industries tend to outperform the bottom 50% by more than 2 to 1 [8]