Schrödinger, Inc.
SDGR · NASDAQ
Company research
Schrödinger, Inc. (NASDAQ: SDGR) is a New York-based technology-enabled life sciences company that develops a physics-based computational platform designed to accelerate the discovery of novel molecules for drug development and materials science applications. Founded in 1990 and led by CEO Ramy Farid, the company operates through two segments — Software and Drug Discovery — licensing its industry-leading simulation tools to all top 20 global pharmaceutical companies, biotech firms, academic institutions, and government laboratories across more than 70 countries. The Drug Discovery segment advances a portfolio of preclinical and clinical programs both independently and through high-profile collaborations, including a research and license agreement with Novartis Pharma AG. With approximately 850 employees and a market capitalization of approximately $1.2 billion, Schrödinger uniquely bridges the software and biotech worlds by monetizing the same core computational science through both platform licensing and drug development milestones.
Research reports
Frames SDGR as evolving from a scientific tool vendor into a “discovery operating layer,” arguing enterprise value could roughly triple by 2031 if LiveDesign becomes a sticky hosted workflow hub, throughput-based pricing captures rising AI-driven usage, and most therapeutics upside is monetized via partners; main risks center on value capture, dilution from added equity, and the possibility that pharma insources workflows or relies on generic AI instead.
Next Arc Research · April 14, 2026SDGR - Schrodinger, Inc. (Analysis as of 2026-04-14)Presents a software-led rerating thesis where SDGR builds a cleaner hosted discovery workflow with durable ACV growth, adds modules like predictive toxicology to deepen wallet share, and externalizes most later-stage clinical spend to keep pipeline upside as option value; highlights proof-transfer and pricing-power risks during the hosted transition, and notes an implied 5-year multiple expansion with a 12‑month consensus price target around the low‑$20s.
Next Arc Research · February 28, 2026SDGR - Schrodinger, Inc. (Analysis as of 2026-02-28)Argues that a shift to hosted/ratable contracts and strong retention KPIs can drive a rerating from “hybrid biotech” to a governed, API‑embedded discovery operating layer, with upside coming from deeper workflow embed, new modules such as predictive tox, and achievement of 2028 profitability objectives; key risks include customer timing and insourcing that could cap pricing, plus execution risk in proving that improved visibility converts into durable margins, with a cited 12‑month price target of about $24.33.
Flash (Stock Sentinel AI) · September 24, 2025Schrodinger Inc (SDGR) Stock Research ReportProvides a full-length hybrid life‑sciences/tech equity report emphasizing SDGR’s physics-based software as the stable revenue “floor” and its drug discovery pipeline as the upside “ceiling,” including detailed business drivers, financials, competitive landscape, risk assessment, and a 5‑year scenario model that yields a probability‑weighted target around the mid‑$30s above a then‑current price near $19; identifies major risks in clinical failures (e.g., SGR‑2921), collaboration dependency, intense computational‑discovery competition, and biotech funding cyclicality, but concludes the risk/reward is asymmetrically favorable for long‑term investors.