INmune Bio's stock in oversold territory, analysts predict better earnings.

INmune Bio (INMB) has lost 23.8% in 4 weeks, but may be due for a trend reversal as it is now oversold and analysts expect better earnings than previously predicted. The stock's RSI reading of 27.46 indicates selling pressure is exhausting, and a strong agreement among analysts has raised the consensus EPS estimate by 15.7%. With a Zacks Rank #2 (Buy), INMB is in the top 20% of stocks and poised for a potential turnaround.

INmune Bio, Inc. (INMB), a clinical-stage biotechnology company, has experienced a significant downturn in its stock price, losing 23.8% over the past four weeks. However, the stock's Relative Strength Index (RSI) reading of 27.46 suggests that the selling pressure may be exhausting, indicating a potential trend reversal. The RSI, a momentum oscillator that measures the speed and change of price movements, typically considers a stock oversold when its reading falls below 30. This technical indicator, combined with a strong consensus among Wall Street analysts, points to a possible rebound for INMB [1].

Analysts have raised their earnings estimates for INMB, with the consensus EPS estimate increasing by 15.7% over the last 30 days. This upward trend in earnings revisions is often associated with price appreciation in the near term. Additionally, INMB has a Zacks Rank #2 (Buy), placing it in the top 20% of more than 4,000 ranked stocks based on earnings estimate revisions and EPS surprises. This Zacks Rank is a more conclusive indication of the stock's potential turnaround in the near term [2].

INMB's recent earnings call on August 7, 2025, reported earnings results for the second quarter and six months ended June 30, 2025. The company's Phase I/II Inkmune trial for prostate cancer met its endpoints, and the CaRe PC Trial of INKmune in metastatic castration-resistant prostate cancer also met its endpoints and was closed to enrollment [1].

Despite these positive developments, INMB's stock has continued to decline. The company's current market capitalization is $51.84 million, and its enterprise value is $51.84 million, with a P/E ratio of 2025 estimated at -1.11x and 2026 estimated at -1.38x. The stock's valuation metrics suggest that it may be undervalued, providing potential upside for investors who believe in the company's long-term prospects [1].

In conclusion, while INMB has faced significant selling pressure recently, the combination of technical indicators and analyst consensus suggests that a trend reversal may be imminent. Investors should closely monitor the company's earnings reports and any additional positive news to determine if the stock's potential turnaround is justified.

References:
[1] https://www.marketscreener.com/quote/stock/INMUNE-BIO-INC-54264494/
[2] https://www.nasdaq.com/articles/inmune-bio-inmb-loses-238-4-weeks-heres-why-trend-reversal-may-be-around-corner