Positioning no disclosures inside 60 days, left as found
Options put/call open interest 0.23, read 2026-10-28
Ethical does not pass the values gate
Price18.41 USD
Fair value35.00
Ethical score70.0/100
Our investment reviews on this name
2026-10-02Read Markdown20.47-10.1% to today ✓Accumulation gives way to Markdown after a 17% slide in 5 weeks
2026-08-27Read Accumulation24.57-25.1% to today Markup gives way to Accumulation after a 13% rise in 8 weeks
2026-07-02Read Markup21.66-15.0% to today First review on file: Markup
Our analytic regime reads on this name, dated and marked against the screened price. Small sample per name, and separate from the daily-framework accuracy on the Track Record page.
Denali Therapeutics Inc. holds its Markdown at $18.41. The statistical read favours the sellers, held for 3 days.
As held on the ledger · 2026-10-23
Phase
Markdown · caution
Quantitative state
The statistical read favours the sellers, held for 3 days
Price at the screen
$18.41
Valuation
N/A trailing · -7.73 forward price to earnings
Values screen
FAIL· score 70.0
Beta
1.02
The Workings
Five Screens, Shown in Full
Does not pass. Interest-bearing securities
Test
Figure
Limit
What it means
Status
Business activity
Permissible
Core business clean
Its core business isn't built on prohibited lines: no gambling, alcohol, tobacco, weapons, or interest-based lending.
Pass
Debt load
3.21%
Below 33%
Interest-bearing debt is just 3.2% of its assets, well under the one-third ceiling: it does not run on borrowed money.
Pass
Interest-bearing cash
57.87%
Below 33%
Interest-bearing cash and securities are 57.9% of assets, above the one-third limit.
Fail
Receivables
18.12%
Below 49%
Money owed to the company is 18.1% of assets, under the 49% limit.
Pass
Revenue purity
15.58%
Below 5%
15.6% of revenue comes from non-compliant sources, over the 5% line.
Fail
Five checks adapted from AAOIFI screening standards: business activity plus four balance-sheet ratios. All five must pass for ethical clearance. Every figure is arithmetic on public accounts, not judgement.
The Ethical Read
Why It Falls Short, in Plain English
Denali Therapeutics's business is fine, but its cash and interest-bearing securities are about 58% of its assets, well over the ~33% line, so it does not pass on the financial screens.
Read as at 2026-10-28. It updates when the underlying figures move, and past reads are kept below.
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Get an email when DNLI's ethical verdict changes
Today DNLI does not pass the screen. If new figures move it to a pass, we send you one short email with the before and after. Verdicts change rarely, so you may not hear from us for a long time.
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Fair value range in USD, drawn from the 2026-10-23 screen. The gold marker is the market price at the same screen. A 90.1% margin of safety to the base estimate.
Third-party analyst targets: 16 covering, consensus Strong Buy. The average target sits +90% from the screen price.
Reading the gap · Both our model and the analysts see meaningful upside from here.
Price History & Projections
Where it has been, where the models see it going. History from market close data; projection points are our fair-value estimates and third-party analyst targets, dated to the 2026-10-23 screen.
Fair value and rating are our own model estimates; the Street's range reflects third-party analyst estimates. Analysis, not advice.
Developing drugs for brain diseases is like drilling for oil in the dark. Denali Therapeutics spends heavily on early stage candidates for neurodegenerative conditions yet shows zero profit margin and a negative fifty per cent return on equity. With no usable financial ratios the ethical screen returns insufficient data, so the opportunity rating stays at none despite analysts clustering around a thirty five dollar target.
The business sits in a high burn sector where forward earnings sit at a negative nine point four times multiple because losses continue. Strong buy ratings from sixteen analysts reflect pipeline hope rather than current delivery, but the lack of basic ratio visibility blocks any further assessment under our rules.
Risk sits in execution and capital needs, typical for clinical stage biotechnology where one failed trial can wipe out years of spend. Currency or market swings matter less here than the simple absence of track record data. Analysis, not advice.
The risks · The things to watch: as a biotechnology name, trial and regulatory outcomes can move it sharply either way; it carries a real debt load, which raises the stakes if revenue slips.
Plain-English interpretation of our own screen data. Analysis, not advice.
Where & How to Trade
DNLI trades on Nasdaq. As a listed security it is accessible through almost any international broker offering its home market. New to this, or investing from abroad? Our guide to accessing global markets covers brokers, currencies and the practical steps.
The Dated Journal · Newest First, Never Edited
Every Entry, As Written
2026-10-29Markdown$18.41-1.4%Entry 11
The analysis reads markdown. Price is trending lower. Sellers are in control and the prior trend has reversed. Price has moved down 1.4% since our last review. Ethical screening: FAIL. This security does not pass our values-based screening criteria. The risk-adjusted return profile shows modest positive risk-adjusted returns. Our composite framework grades it D. Technically it is holding around 9% above its long-term trend line with momentum reading bearish. Over the past year the shares are up 33%. Our forward projection puts the odds of a 10% gain over the next month near 30%. The street (15 analysts) rates it strong buy, with a mean price target of $34. It reported earnings in this window, a natural checkpoint for the thesis.
2026-10-28Markdown$18.68+0.0%Entry 10
The analysis reads markdown. Price is trending lower. Sellers are in control and the prior trend has reversed. Price has moved down 0.0% since our last review. Ethical screening: FAIL. This security does not pass our values-based screening criteria. The risk-adjusted return profile shows modest positive risk-adjusted returns. Our composite framework grades it D. Technically it is holding around 9% above its long-term trend line with momentum reading bearish. Over the past year the shares are up 33%. Our forward projection puts the odds of a 10% gain over the next month near 30%. The street (15 analysts) rates it strong buy, with a mean price target of $34. It reported earnings in this window, a natural checkpoint for the thesis.
2026-10-27Markdown$18.68+1.5%Entry 9
The analysis reads markdown. Price is trending lower. Sellers are in control and the prior trend has reversed. Price has moved up 1.5% since our last review. Ethical screening: FAIL. This security does not pass our values-based screening criteria. The risk-adjusted return profile shows modest positive risk-adjusted returns. Our composite framework grades it D. Technically it is holding around 9% above its long-term trend line with momentum reading bearish. Over the past year the shares are up 33%. Our forward projection puts the odds of a 10% gain over the next month near 30%. The street (15 analysts) rates it strong buy, with a mean price target of $34. It reported earnings in this window, a natural checkpoint for the thesis.
2026-10-21Markdown$18.40-5.4%Entry 8
The analysis reads markdown. Price is trending lower. Sellers are in control and the prior trend has reversed. Price has moved down 5.4% since our last review. Ethical screening: FAIL. This security does not pass our values-based screening criteria. The risk-adjusted return profile shows modest positive risk-adjusted returns. Our composite framework grades it C. Technically it is holding around 13% above its long-term trend line with momentum reading oversold. Over the past year the shares are up 33%. Our forward projection puts the odds of a 10% gain over the next month near 30%. The street (15 analysts) rates it strong buy, with a mean price target of $34.
2026-10-14Markdown$19.45-5.0%Entry 7
The analysis reads markdown. Price is trending lower. Sellers are in control and the prior trend has reversed. Price has moved down 5.0% since our last review. Ethical screening: FAIL. This security does not pass our values-based screening criteria. The risk-adjusted return profile shows modest positive risk-adjusted returns. Our composite framework grades it C. Technically it is holding around 17% above its long-term trend line with momentum reading neutral. Over the past year the shares are up 33%. Our forward projection puts the odds of a 10% gain over the next month near 30%. The street (15 analysts) rates it strong buy, with a mean price target of $34.
2026-10-02Markdown · changed$20.47-16.7%Entry 6
The framework has shifted from accumulation to markdown since the last review. Price is trending lower. Sellers are in control and the prior trend has reversed. Price has moved down 16.7% since our last review. Ethical screening: FAIL. This security does not pass our values-based screening criteria. The risk-adjusted return profile shows modest positive risk-adjusted returns. Our composite framework grades it C. Technically it is holding around 17% above its long-term trend line with momentum reading neutral. Over the past year the shares are up 33%. Our forward projection puts the odds of a 10% gain over the next month near 30%. The street (15 analysts) rates it strong buy, with a mean price target of $34.
The framework has shifted from markup to accumulation since the last review. Smart money appears to be quietly building positions. This typically precedes a markup phase. Price has moved up 5.5% since our last review. Ethical screening: FAIL. This security does not pass our values-based screening criteria. The risk-adjusted return profile shows good risk-adjusted returns. Our composite framework grades it C. Technically it is holding around 17% above its long-term trend line with momentum reading neutral. Over the past year the shares are up 33%. Our forward projection puts the odds of a 10% gain over the next month near 30%. The street (15 analysts) rates it strong buy, with a mean price target of $34.
2026-07-26Markup$23.29+7.5%Entry 4
Our analysis reads markup. Price is trending higher with momentum. The crowd has caught on and buyers are in control. Price has moved up 7.5% since our last review. Ethical screening: FAIL. This security does not pass our values-based screening criteria. The risk-adjusted return profile shows modest positive risk-adjusted returns. Our composite framework grades it B. Technically it is holding around 17% above its long-term trend line with momentum reading neutral. Over the past year the shares are up 33%. Our forward projection puts the odds of a 10% gain over the next month near 30%. The street (15 analysts) rates it strong buy, with a mean price target of $34.
2026-07-18Markup$21.66+0.0%Entry 3
Our analysis reads markup. Price is trending higher with momentum. The crowd has caught on and buyers are in control. Price has moved down 0.0% since our last review. Ethical screening: FAIL. This security does not pass our values-based screening criteria. The risk-adjusted return profile shows modest positive risk-adjusted returns. Our composite framework grades it B. Technically it is holding around 17% above its long-term trend line with momentum reading neutral. Over the past year the shares are up 33%. Our forward projection puts the odds of a 10% gain over the next month near 30%. The street (15 analysts) rates it strong buy, with a mean price target of $34.
2026-07-03Markup$21.66+0.0%Entry 2
Our analysis reads markup. Price is trending higher with momentum. The crowd has caught on and buyers are in control. Price has moved down 0.0% since our last review. Ethical screening: FAIL. This security does not pass our values-based screening criteria. The risk-adjusted return profile shows modest positive risk-adjusted returns.
Each entry above was written on its date, before the outcome. A journal you can prune is not a journal.
