Lyra

We can readily understand why investors are attracted to unprofitable companies. For example, although...

[View our latest analysis for Lyra Therapeutics](https://simplywall.st/stocks/us/pharmaceuticals-biotech/nasdaq-lyra/lyra-therapeutics) Alternatively, email editorial-team (at) simplywallst.com. Simply Wall St has no position in any stocks mentioned. This article by Simply Wall St is general in nature. Even though we don't think it has a problem with its cash burn, the analysis we've done in this article does suggest that shareholders should give some careful thought to the potential cost of raising more money in the future. Even though its cash burn relative to its market cap makes us a little nervous, we are compelled to mention that we thought Lyra Therapeutics' cash runway was relatively promising. [NASDAQ:LYRA](https://simplywall.st/stocks/us/pharmaceuticals-biotech/nasdaq-lyra/lyra-therapeutics)) shareholders is whether they should be concerned by its rate of cash burn. While Lyra Therapeutics does have a solid cash runway, its cash burn trajectory may have some shareholders thinking ahead to when the company may need to raise more cash. That's very high expenditure relative to the company's size, suggesting it is an extremely high risk stock. Therefore, for the purposes of this analysis we'll focus on how the cash burn is tracking. A company's cash runway is calculated by dividing its cash hoard by its cash burn. While the past is always worth studying, it is the future that matters most of all.