is it safe to invest in gthx?

Investing in G1 Therapeutics (GTHX) carries some risk, but there are also potential rewards, depending on your investment horizon and risk tolerance:

1. Financial Performance: GTHX reported a net loss of $10.22 million and a negative net margin of 36.40% for the latest quarter. This indicates that the company is currently unprofitable, which is a risk for investors.

2. Revenue Growth: The company has shown a revenue growth rate of 11.82% year-on-year, which is a positive sign. However, this growth is not sufficient to cover the significant net loss.
3. R&D Expenses: GTHX has been investing heavily in research and development, with $7.32 million spent on R&D expenses in the latest quarter. This indicates a commitment to innovation, which could lead to future growth.
4. Free Cash Flow: The company has a positive free cash flow of $48.93 million, which is a good indicator of its liquidity and ability to fund operations.

5. Stock Price and Analyst Ratings: Despite the negative financials, the stock price has increased to $4.25, and analysts have a strong buy consensus with an average price target of $9. This suggests that analysts believe in the company's potential.

6. Strategic Developments: GTHX has several ongoing clinical trials and has licensed products that could lead to future revenue streams. The company's focus on oncology treatments is a promising area with significant unmet needs.
7. Market Conditions: The pharmaceutical industry can be volatile, and GTHX's stock has experienced significant fluctuations. Investors should consider their risk tolerance and investment horizon when deciding whether GTHX is a safe investment.

In conclusion, while GTHX has potential for growth based on its R&D investments and strategic developments, the company's current lack of profitability and negative net margin present a risk. Investors should carefully consider these factors and consult with a financial advisor before making any investment decisions.