Schrodinger, Inc.

Analysis for Ticker: SDGR

Schrodinger Inc uses physics and artificial intelligence to sell software and help other companies find new medicines. But underneath the high-tech talk is a business model that burns through money like a bonfire, creating an accumulated deficit of 628,8$ million by the end of 2025. They operate a software business that cannot pay for itself and a drug discovery business that loses money, spending 309,5$ million in a single year to generate only 255,9$ million in revenue. It is like a lemonade stand that spends five dollars to sell four dollars worth of juice. To keep the stand open, they print their own stock and give it to their bosses, who then sell it to the public to pay for their own lives. This math is a disaster because every time they print more shares, the pieces the public already bought become smaller and less valuable, yet the company must keep printing just to pay the people who run the machine.