NextCure (NXTC) 10-Q 5 May 22 2022 Q1 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	3 Months Ended
	Mar. 31, 2022	May 04, 2022
Cover Abstract
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Mar. 31, 2022
Document Transition Report	false
Entity File Number	001-38905
Entity Registrant Name	NextCure, Inc.
Entity Central Index Key	0001661059
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	47-5231247
Entity Address, Address Line One	9000 Virginia Manor Road
Entity Address, Address Line Two	Suite 200
Entity Address, City or Town	Beltsville
Entity Address, State or Province	MD
Entity Address, Postal Zip Code	20705
City Area Code	240
Local Phone Number	399-4900
Title of 12(b) Security	Common Stock, $0.001 par value per share
Trading Symbol	NXTC
Security Exchange Name	NASDAQ
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Non-accelerated Filer
Entity Small Business	true
Entity Emerging Growth Company	true
Entity Ex Transition Period	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		27,747,165
Current Fiscal Year End Date	--12-31
Document Fiscal Year Focus	2022
Document Fiscal Period Focus	Q1
Amendment Flag	false

CONDENSED BALANCE SHEETS

CONDENSED BALANCE SHEETS - USD ($) $ in Thousands	Mar. 31, 2022	Dec. 31, 2021
Current assets:
Cash and cash equivalents	$ 10,652	$ 12,337
Marketable securities	190,672	207,254
Restricted cash	39	39
Prepaid expenses and other current assets	7,570	8,187
Total current assets	208,933	227,817
Property and equipment, net	13,239	13,992
Other assets	574	577
Total assets	222,746	242,386
Current liabilities:
Accounts payable	2,801	1,942
Accrued liabilities	3,411	4,449
Deferred rent, current portion	212	217
Total current liabilities	6,424	6,608
Deferred rent, net of current portion	2,386	2,392
Total liabilities	8,810	9,000
Stockholders' equity
Preferred stock; par value of $0.001 per share; 10,000,000 shares authorized at March 31, 2022 and December 31, 2020, no shares issued and outstanding at March 31, 2022 and December 31, 2021
Common stock, par value of $0.001 per share; 100,000,000 shares authorized at March 31, 2022 and December 31, 2021. 27,725,162 and 27,680,997 shares issued and outstanding at March 31, 2022 and December 31, 2021, respectively	28	28
Additional paid-in capital	423,735	421,047
Accumulated other comprehensive loss	(2,199)	(663)
Accumulated deficit	(207,628)	(187,026)
Total stockholders' equity	213,936	233,386
Total liabilities and stockholders' equity	$ 222,746	$ 242,386

CONDENSED BALANCE SHEETS - (Par

CONDENSED BALANCE SHEETS - (Parenthetical) - $ / shares	Mar. 31, 2022	Dec. 31, 2021
CONDENSED BALANCE SHEETS
Preferred stock, par value per share	$ 0.001	$ 0.001
Preferred stock, number of shares authorized	10,000,000	10,000,000
Preferred stock, shares issued	0	0
Preferred stock, shares outstanding	0	0
Common stock, par value per share	$ 0.001	$ 0.001
Common stock, number of shares authorized	100,000,000	100,000,000
Common stock, shares issued	27,725,162	27,680,997
Common stock, shares outstanding	27,725,162	27,680,997

CONDENSED STATEMENTS OF OPERATI

CONDENSED STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
Operating expenses:
Research and development	$ 15,024	$ 12,386
General and administrative	5,747	4,848
Total operating expenses	20,771	17,234
Loss from operations	(20,771)	(17,234)
Other income, net	169	701
Net loss	$ (20,602)	$ (16,533)
Net loss per common share
Basic (in dollars per share)	$ (0.74)	$ (0.60)
Diluted (in dollars per share)	$ (0.74)	$ (0.60)
Weighted average shares outstanding
Basic (in shares)	27,708,768	27,597,426
Diluted (in shares)	27,708,768	27,597,426
Comprehensive loss:
Net loss	$ (20,602)	$ (16,533)
Unrealized loss on marketable securities	(1,536)	(600)
Total comprehensive loss	$ (22,138)	$ (17,133)

CONDENSED STATEMENTS OF STOCKHO

CONDENSED STATEMENTS OF STOCKHOLDERS EQUITY - USD ($) $ in Thousands	Common Stock	Additional Paid-in Capital	Accumulated Other Comprehensive Income (Loss)	Accumulated Deficit	Total
Balance at the beginning at Dec. 31, 2020	$ 28	$ 410,551	$ 779	$ (117,637)	$ 293,721
Balance at the beginning (in shares) at Dec. 31, 2020	27,568,802
Increase (Decrease) in Stockholders' Deficit
Stock based compensation		2,508			2,508
Exercise of stock options		63			63
Exercise of stock options (in shares)	35,615
Unrealized gain (loss) on marketable securities, net of tax $0			(600)		(600)
Net loss				(16,533)	(16,533)
Balance at the end at Mar. 31, 2021	$ 28	413,122	179	(134,170)	279,159
Balance at the end (in shares) at Mar. 31, 2021	27,604,417
Balance at the beginning at Dec. 31, 2021	$ 28	421,047	(663)	(187,026)	$ 233,386
Balance at the beginning (in shares) at Dec. 31, 2021	27,680,997				27,680,997
Increase (Decrease) in Stockholders' Deficit
Stock based compensation		2,628			$ 2,628
Exercise of stock options		60			60
Exercise of stock options (in shares)	44,165
Unrealized gain (loss) on marketable securities, net of tax $0			(1,536)		(1,536)
Net loss				(20,602)	(20,602)
Balance at the end at Mar. 31, 2022	$ 28	$ 423,735	$ (2,199)	$ (207,628)	$ 213,936
Balance at the end (in shares) at Mar. 31, 2022	27,725,162				27,725,162

CONDENSED STATEMENTS OF STOCK_2

CONDENSED STATEMENTS OF STOCKHOLDERS EQUITY (Parenthetical) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
CONDENSED STATEMENTS OF STOCKHOLDERS EQUITY
Unrealized gain (loss) on marketable securities, tax expense (benefit)	$ 0	$ 0

CONDENSED STATEMENTS OF CASH FL

CONDENSED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
Cash flows from operating activities:
Net loss	$ (20,602)	$ (16,533)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation, amortization and other	2,097	1,105
Stock-based compensation	2,628	2,508
Changes in operating assets and liabilities:
Prepaid expenses and other assets	620	(285)
Accounts payable	859	(1,884)
Accrued liabilities	(1,038)	(332)
Deferred rent	(11)	1,510
Net cash used in operating activities	(15,447)	(13,911)
Cash flows from investing activities:
Maturities of marketable securities	14,007	56,786
Purchases of marketable securities		(38,420)
Purchase of property and equipment	(305)	(766)
Net cash provided by investing activities	13,702	17,600
Cash flows from financing activities:
Proceeds from exercise of stock options	60	63
Payments of the term loan		(417)
Net cash provided by (used in) financing activities	60	(354)
Net (decrease) increase in cash, cash equivalents and restricted cash	(1,685)	3,335
Cash, cash equivalents and restricted cash - beginning of period	12,376	36,284
Cash, cash equivalents and restricted cash - end of period	10,691	39,619
Supplemental disclosures of cash flow information:
Cash paid for interest	$ 23	$ 36

Nature of the Business

Nature of the Business	3 Months Ended
	Mar. 31, 2022
Nature of the Business
Nature of the Business	1. Nature of the Business Organization NextCure, Inc. (“NextCure” or the “Company”) was incorporated in Delaware in September 2015 and is headquartered in Beltsville, Maryland. The Company is a clinical-stage biopharmaceutical company committed to discovering and developing novel, first-in-class immunomedicines to treat cancer and other immune-related diseases by restoring normal immune function. Through its proprietary Functional, Integrated, NextCure Discovery in Immuno-Oncology (“FIND-IO”) platform, the Company studies various immune cells in order to discover and understand targets and structural components of immune cells and their functional impact in order to develop immunomedicines. Since inception, the Company has devoted substantially all its efforts and financial resources to organizing and staffing the Company, identifying business development opportunities, raising capital, securing intellectual property rights related to the Company’s product candidates, building and optimizing the Company’s manufacturing capabilities and conducting discovery, research and development activities for the Company’s product candidates, discovery programs and its FIND-IO platform. Liquidity The Company has not generated any revenue to date from product sales and does not expect to generate any revenues from product sales in the foreseeable future. Through March 31, 2022, the Company has funded its operations primarily with proceeds from public offerings of its common stock, private placements of its preferred stock and upfront fees received under the Company’s former agreement with Eli Lilly and Company, which was terminated in March 2020. The Company expects to incur additional operating losses and negative operating cash flows for the foreseeable future. Risks and Uncertainties COVID-19 In March 2020, the World Health Organization declared the novel coronavirus disease 2019 (“COVID-19”) outbreak a pandemic. In order to mitigate the spread of COVID-19, governments have imposed unprecedented restrictions on business operations, travel, and gatherings, resulting in a global economic downturn and other adverse economic and societal impacts. The COVID-19 pandemic has also overwhelmed or otherwise led to changes in the operations of many healthcare facilities, including clinical trial sites. However, the Company’s laboratories have continued operations throughout the pandemic mostly without interruption. The impact of the COVID-19 pandemic (including the impact of emerging variant strains of the COVID-19 virus) on the Company’s business and financial performance is uncertain and depends on various factors, including the scope and duration of the pandemic, the efficacy and global distribution of vaccines, government restrictions and other actions, including relief measures, implemented to address the impact of the pandemic, and resulting impacts on the financial markets and overall economy. The imposition of “lockdown,” “social distancing” and “shelter in place” directives and other restrictions on business operations, travel and gatherings by state and federal governments in the United States, as well as governments in other regions of the world in response to the COVID-19 pandemic, initially placed significant strain on the Company’s clinical trial sites, raised concerns around monitoring patient safety, slowed patient enrollment and caused delays in the Company’s clinical trials and issuance of results. Any rise of COVID-19 infection rates, especially in the United States, could continue to negatively affect enrollment going forward. The Company continues to closely monitor the COVID-19 situation and any potential impact to the Company’s planned activities.

Summary of Significant Accounti

Summary of Significant Accounting Policies	3 Months Ended
	Mar. 31, 2022
Summary of Significant Accounting Policies
Summary of Significant Accounting Policies	2. Summary of Significant Accounting Policies There have been no material changes to the significant accounting policies previously disclosed in the Company’s Annual Report on Form 10-K for the year ended December 31, 2021 (the “Annual Report”). Basis of Presentation The unaudited condensed financial statements include the accounts of NextCure and have been prepared by the Company in conformity with accounting principles generally accepted in the United States of America (“GAAP”) and pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”) for interim financial statements. Certain information and footnote disclosures normally included in financial statements prepared in accordance with GAAP have been condensed or omitted pursuant to such rules and regulations. Accordingly, these condensed financial statements should be read in conjunction with the Company’s audited financial statements and the notes thereto in the Annual Report. Unaudited Financial Information In the opinion of management, the information furnished reflects certain adjustments, all which are of a normal and recurring nature and are necessary for a fair presentation of the Company’s financial position as of the reported balance sheet date and of the Company’s results for the reported interim periods. The Company considers events or transactions that occur after the balance sheet date but before the financial statements are issued to provide additional evidence relative to certain estimates or to identify matters that require additional disclosure. The results of operations for interim periods are not necessarily indicative of results to be expected for the full year or any other interim period. Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of assets and liabilities as of the date of the condensed financial statements, and the reported amounts of revenues and expenses during the reporting periods. Although actual results could differ from those estimates, management does not believe that such differences would be material. Recently Issued Accounting Pronouncements The Company qualifies as an emerging growth company (“EGC”) as defined under the Jumpstart Our Business Startups Act (the “JOBS Act”). Using exemptions provided under the JOBS Act provided to EGCs, the Company has elected to defer compliance with new or revised financial accounting standards until it is required to comply with such standards, which is generally consistent with required adoption dates of private companies. The Company considers the applicability and impact of all ASUs issued by the FASB. All other ASUs issued subsequent to the filing of the Company’s Annual Report were assessed and determined to be either inapplicable or not expected to have a material impact on the Company’s financial position or results of operations.

Restricted Cash

Restricted Cash	3 Months Ended
	Mar. 31, 2022
Restricted Cash.
Restricted Cash	3. Restricted Cash The following table reconciles cash and cash equivalents and restricted cash per the balance sheet to the condensed statement of cash flows: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ March 31, ​ December 31, ​ (in thousands) 2022 2021 Cash and cash equivalents ​ $ 10,652 ​ $ 12,337 ​ Restricted cash ​ 39 ​ 39 ​ Total ​ $ 10,691 ​ $ 12,376 ​ ​

Marketable Securities

Marketable Securities	3 Months Ended
	Mar. 31, 2022
Marketable Securities
Marketable Securities	4. Marketable Securities Marketable securities consist of the following: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ March 31, 2022 ​ ​ ​ ​ ​ Gross ​ Gross ​ ​ ​ ​ ​ Amortized ​ Unrealized ​ Unrealized ​ Estimated (in thousands) Cost Gain Loss Fair Value Corporate bonds ​ $ 192,871 ​ $ 6 ​ $ (2,205) ​ $ 190,672 Total ​ $ 192,871 ​ $ 6 ​ $ (2,205) ​ $ 190,672 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ December 31, 2021 ​ ​ ​ ​ ​ Gross ​ Gross ​ ​ ​ ​ ​ Amortized ​ Unrealized ​ Unrealized ​ Estimated (in thousands) Cost Gain Loss Fair Value Corporate bonds ​ $ 207,917 ​ $ 3 ​ $ (666) ​ $ 207,254 Total ​ $ 207,917 ​ $ 3 ​ $ (666) ​ $ 207,254 ​ ​ The Company uses the specific identification method when calculating realized gains and losses. For the three months ended March 31, 2022 and 2021, the Company recorded $2 thousand and $54 thousand in realized gains on available-for-sale securities, which is included in other income, net on the condensed statements of operations. The Company reviewed all investments which were in a loss position at the respective balance sheet dates, as well as the remainder of the portfolio. As of March 31, 2022, the Company had investments with a total fair market value of $184.2 million in an unrealized loss position, of which none were in a continuous unrealized loss position for more than twelve months. The Company analyzed the unrealized losses and determined that market conditions were the primary factor driving these changes, and such unrealized losses are temporary as the Company anticipates a full recovery of the amortized cost basis of these securities at maturity. After analyzing the securities in an unrealized loss position, the portion of these losses that relate to changes in credit quality is insignificant. The Company does not intend to sell these securities, nor is it more likely than not that the Company will be required to sell them prior to the end of their contractual terms. Furthermore, the Company does not believe that these securities expose the Company to undue market risk or counterparty credit risk. The following table summarizes maturities of the Company’s investments available-for-sale as of March 31, 2022 : ​ ​ ​ ​ ​ ​ ​ ​ ​ March 31, 2022 ​ ​ ​ ​ ​ Fair (in thousands) Cost Value Maturities: ​ ​ ​ ​ ​ ​ Within 1 year ​ $ 138,270 ​ $ 137,228 Between 1 to 2 years ​ 54,601 ​ 53,444 Total investments available for sale ​ $ 192,871 ​ $ 190,672 ​ The Company has classified all its investments available-for-sale, including those with maturities beyond one year, as current assets on the accompanying condensed balance sheets based on the highly liquid nature of these investment securities and because these investment securities are considered available for use in current operations.

Fair Value Measurements

Fair Value Measurements	3 Months Ended
	Mar. 31, 2022
Fair Value Measurements
Fair Value Measurements	5. Fair Value Measurements The Company has certain financial assets recorded at fair value, which have been classified as Level 1, 2 or 3 within the fair value hierarchy as described in the accounting standards for fair value measurements. Level 1—Quoted market prices in active markets for identical assets or liabilities. Level 2—Inputs other than Level 1 inputs that are either directly or indirectly observable, such as quoted market prices, interest rates and yield curves. Level 3—Unobservable inputs developed using estimates of assumptions developed by the Company, which reflect those that a market participant would use. To the extent the valuation is based on models or inputs that are less observable or unobservable in the market, the determination of fair values requires more judgment. Accordingly, the degree of judgment exercised by the Company in determining fair value is greatest for instruments categorized as Level 3. A financial instrument’s level within the fair value hierarchy is based on the lowest level of any input that is significant to the fair value measurement. The following tables set forth the fair value of the Company’s financial assets by level within the fair value hierarchy as of March 31, 2022 and December 31, 2021: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ March 31, 2022 ​ ​ ​ ​ ​ ​ ​ ​ Significant ​ ​ ​ ​ ​ ​ ​ ​ Quoted Prices in ​ Other ​ ​ ​ ​ ​ ​ ​ ​ Active Markets or ​ Observable ​ Significant ​ ​ ​ ​ ​ Identical Assets ​ Inputs ​ Unobservable (in thousands) Total (Level 1) (Level 2) (Level 3) Cash equivalents: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Money market funds ​ $ 1,311 ​ $ 1,311 ​ $ — ​ $ — Marketable securities: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Corporate bonds ​ ​ 190,672 ​ ​ — ​ ​ 190,672 ​ ​ — Total ​ $ 191,983 ​ $ 1,311 ​ $ 190,672 ​ $ — ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ December 31, 2021 ​ ​ ​ ​ ​ ​ ​ ​ Significant ​ ​ ​ ​ ​ ​ ​ ​ Quoted Prices in ​ Other ​ ​ ​ ​ ​ ​ ​ ​ Active Markets or ​ Observable ​ Significant ​ ​ ​ ​ ​ Identical Assets ​ Inputs ​ Unobservable (in thousands) Total (Level 1) (Level 2) (Level 3) Cash equivalents: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Money market funds ​ $ 2,680 ​ $ 2,680 ​ $ — ​ $ — Marketable securities: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Corporate bonds ​ ​ 207,254 ​ ​ — ​ ​ 207,254 ​ ​ — Total ​ $ 209,934 ​ $ 2,680 ​ $ 207,254 ​ $ — ​ ​ The Company did not transfer any assets measured at fair value on a recurring basis between levels during the three months ended March 31, 2022 and 2021.

Stock-Based Compensation

Stock-Based Compensation	3 Months Ended
	Mar. 31, 2022
Stock-Based Compensation
Stock-Based Compensation	6. Stock-Based Compensation Employee Equity Plans The NextCure, Inc. 2019 Omnibus Incentive Plan (the “2019 Plan”) became effective on May 8, 2019, the date on which the Company’s Registration Statement on Form S-1 filed in connection with the IPO was declared effective (the “Effective Date”). The Company’s board of directors (the “Board”) determined not to make additional awards under the 2015 Plan following the effectiveness of the 2019 Plan. The 2019 Plan provides for the grant of awards of stock options, stock appreciation rights, restricted stock, restricted stock units, deferred stock units, unrestricted stock, dividend equivalent rights, other equity-based awards and cash bonus awards to the Company’s officers, employees, non-employee directors and other key persons (including consultants). The number of shares reserved for issuance under the 2019 Plan automatically increase each January 1st during the term of the 2019 Plan by 4% of the number of shares of the Company’s common stock outstanding on December 31st of the preceding calendar year or such lesser number of shares determined by the Board. As of March 31, 2022, 2,283,309 shares were reserved for future grant under the 2019 Plan. Stock options granted under the 2015 Plan and 2019 Plan (together, the “Plans”) to employees generally vest over four years and expire after ten years. A summary of stock option activity for awards under the Plans is presented below: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Options Outstanding and Exercisable ​ ​ ​ ​ ​ ​ ​ Weighted ​ ​ ​ ​ ​ ​ ​ Weighted ​ Average ​ Aggregate ​ ​ ​ ​ Average ​ Remaining ​ Intrinsic ​ ​ Number of ​ Exercise ​ Contractual ​ Value (1) ​ Shares Price Life (Years) (in thousands) Outstanding as of December 31, 2021 ​ 4,545,794 ​ $ 14.15 ​ 8.1 ​ $ 2,860 Granted 1,455,850 ​ $ 5.54 — ​ — Exercised ​ (44,165) ​ $ 1.37 ​ — ​ ​ — Forfeitures ​ (318,487) ​ $ 12.07 ​ — ​ ​ — Outstanding as of March 31, 2022 5,638,992 ​ $ 12.16 8.3 ​ $ 1,994 Exercisable as of March 31, 2022 2,242,981 ​ $ 13.22 7.0 ​ $ 1,994 (1) The aggregate intrinsic value is calculated as the difference between the exercise price of the underlying options and the estimated fair value of the common stock for the options that were in the money at March 31, 2022 and December 31, 2021. The weighted average grant date fair value of stock options granted to employees for the three months ended March 31, 2022 was $3.83. The aggregate intrinsic value of stock options exercised during the three months ended March 31, 2022 was $0.2 million. As of March 31, 2022, there was $23.8 million of total unrecognized compensation expense related to unvested options under the Plans that will be recognized over a weighted-average period of approximately 3 years. The aggregate grant date fair value of stock options vested during the three months ended March 31, 2022 and 2021 was approximately $3.5 million and $6.4 million, respectively. Stock-based compensation expense was classified on the statements of operations as follows for the three months ended March 31, 2022 and 2021: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Three Months Ended ​ ​ ​ March 31, ​ (in thousands) 2022 2021 ​ Research and development ​ $ 768 ​ $ 958 ​ General and administrative ​ 1,860 ​ 1,550 ​ Total stock-based compensation expense ​ $ 2,628 ​ $ 2,508 ​ ​ ​ The fair value of each option award is estimated on the date of grant using the Black-Scholes option-pricing model using the assumptions in the following table for options issued during the period indicated: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Three Months Ended ​ ​ ​ March 31, ​ ​ 2022 2021 ​ Expected term 6.1 years ​ 6.1 years ​ Expected volatility 79.7 % ​ 79.7 % ​ Risk free interest rate 1.8 - 2.4 % ​ 0.8 - 1.4 % ​ Expected dividend yield — % ​ — % ​ ​ ​ Employee Stock Purchase Plan The NextCure, Inc. 2019 Employee Stock Purchase Plan (the “ESPP”) was approved in May 2019 and provides for certain employees of the Company to purchase shares of Company stock at a discounted price. As of March 31, 2022, 6,464 shares of common stock had been issued pursuant to the ESPP and 784,216 shares were reserved for future issuance thereunder.

Net Loss per Share Attributable

Net Loss per Share Attributable to Common Stockholders	3 Months Ended
	Mar. 31, 2022
Net Loss per Share Attributable to Common Stockholders
Net Loss per Share Attributable to Common Stockholders	7. Net Loss Per Share Attributable to Common Stockholders Loss per share The computation of basic loss per share is based on the weighted-average number of common shares outstanding, without consideration for dilutive common stock equivalents. The computation of diluted loss per share is based on the weighted-average number of common shares outstanding and dilutive potential common shares, which include shares that may be issued under the stock option plan, as determined using the treasury stock method. The computation for basic and diluted loss per share were as follows (in thousands, except share and per share data): ​ ​ ​ ​ ​ ​ ​ ​ ​ Three Months Ended ​ ​ March 31, ​ 2022 2021 Net loss (Numerator): ​ ​ ​ Net loss - basic and diluted ​ $ (20,602) ​ $ (16,533) Shares (Denominator): ​ ​ Weighted-average shares outstanding - basic and diluted ​ 27,708,768 ​ 27,597,426 Loss per share - basic and diluted ​ $ (0.74) ​ $ (0.60) ​ ​ For the three months ended March 31, 2022 and 2021, all shares of options to purchase shares of the Company’s common stock were excluded from the computation of diluted net loss per share as the effect would have been anti-dilutive. Therefore, the weighted average number of common shares outstanding used to calculate both basic and diluted net loss per share attributable to common stockholders is the same. The Company excluded the following potential common shares, presented based on amounts outstanding at period end, from the computation of diluted net loss per share attributable to common stockholders for the period indicated because including them would have had an anti-dilutive effect: ​ ​ ​ ​ ​ ​ ​ ​ March 31, ​ 2022 2021 Outstanding options to purchase common stock ​ 5,638,992 ​ 4,340,135 Total ​ 5,638,992 ​ 4,340,135 ​

Income Taxes

Income Taxes	3 Months Ended
	Mar. 31, 2022
Income Taxes
Income Taxes	8. Income Taxes The Company did not record a provision or benefit for income taxes during the three months ended March 31, 2022 and 2021. The Company continues to maintain a full valuation allowance against its deferred tax assets. The Company has evaluated the positive and negative evidence involving its ability to realize its deferred tax assets. Management has considered the Company’s history of cumulative net losses incurred since inception and its lack of any commercially ready products. It has concluded that it is more likely than not that the Company will not realize the benefits of the deferred tax assets. Management reevaluates the positive and negative evidence at each reporting period. Under the provisions of Sections 382 and 383 of the Internal Revenue Code (“IRC”), certain substantial changes in the Company’s ownership may have limited, or may limit in the future, the amount of net operating loss and research and development credit carryforwards that can be used to reduce future income taxes. We have not performed a detailed analysis to determine whether an ownership change under Section 382 of the IRC occurred. The effect of an ownership change would be the imposition of an annual limitation on the use of losses and credits attributable to periods before the change and could result in a reduction in the total losses and credits available.

Commitments and Contingencies

Commitments and Contingencies	3 Months Ended
	Mar. 31, 2022
Commitments and Contingencies
Commitments and Contingencies	9. Commitments and Contingencies Legal Proceedings On September 21, 2020, a putative stockholder class action was filed in the U.S. District Court for the Southern District of New York styled Ye Zhou v. NextCure, Inc., et. al., Case 1:20-cv-0772 (S.D.N.Y.) (the “Ye Zhou action”). On February 26, 2021, the Lead Plaintiff filed a consolidated amended complaint that asserts claims against us, certain of our officers and members of our board of directors, and the underwriters in our May 2019 initial public offering and November 2019 underwritten secondary public offering. The complaint alleges that the defendants violated provisions of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), and the Securities Act of 1933, as amended, with respect to statements made regarding our lead product candidate, NC318, and the FIND-IO platform. The complaint seeks unspecified damages on behalf of a purported class of purchasers of our securities between May 8, 2019 and July 14, 2020. Defendants filed a motion to dismiss the consolidated amended complaint on April 27, 2021, and discovery is stayed pending resolution of that motion. On March 24, 2021, a purported shareholder derivative lawsuit was filed in the U.S. District Court for the District of Maryland, Southern Division, styled Zach Liu v. Richman et. al., Case:21-cv-00754 (the “Liu action”), alleging breaches of fiduciary duty by officers and/or directors, unjust enrichment, abuse of control, gross mismanagement, waste of corporate assets, and violations of the Exchange Act and the Securities Act of 1933. The Complaint seeks unspecified damages, attorneys’ fees and costs, declaratory relief, corporate governance changes, and restitution. On May 17, 2021, the Court granted the parties’ joint motion to stay the derivative lawsuit pending resolution of the defendants’ motion to dismiss filed in respect of the Ye Zhou action. On December 14, 2021, a purported misappropriation of certain trade secrets lawsuit was filed in Federal District Court for the District of Delaware, styled Immunaccel, LLC v. NextCure, Inc., Case No. 1:21-cv-01755-UNA (the “Immunaccel action”). The lawsuit alleges that the Company misappropriated certain trade secrets belonging to Immunaccel related to a drug discovery and screening platform named IMMUNE 3D. The complaint alleges two causes of action, one under the Delaware Uniform Trade Secrets Act and another under the Federal Defend Trade Secrets Act, and seeks unspecified monetary damages, a permanent injunction and other miscellaneous relief. The Company filed a motion to dismiss the complaint on April 22, 2022. The Company intends to vigorously defend the Ye Zhou, Liu and Immunaccel actions. Based on the Company’s assessment of the facts underlying these claims, the uncertainty of litigation, and the preliminary stage of these cases, the Company cannot estimate the reasonably possible loss or range of loss that may result from these actions.

Summary of Significant Accoun_2

Summary of Significant Accounting Policies (Policies)	3 Months Ended
	Mar. 31, 2022
Summary of Significant Accounting Policies
Basis of Presentation and Unaudited Financial Information	Basis of Presentation The unaudited condensed financial statements include the accounts of NextCure and have been prepared by the Company in conformity with accounting principles generally accepted in the United States of America (“GAAP”) and pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”) for interim financial statements. Certain information and footnote disclosures normally included in financial statements prepared in accordance with GAAP have been condensed or omitted pursuant to such rules and regulations. Accordingly, these condensed financial statements should be read in conjunction with the Company’s audited financial statements and the notes thereto in the Annual Report. Unaudited Financial Information In the opinion of management, the information furnished reflects certain adjustments, all which are of a normal and recurring nature and are necessary for a fair presentation of the Company’s financial position as of the reported balance sheet date and of the Company’s results for the reported interim periods. The Company considers events or transactions that occur after the balance sheet date but before the financial statements are issued to provide additional evidence relative to certain estimates or to identify matters that require additional disclosure. The results of operations for interim periods are not necessarily indicative of results to be expected for the full year or any other interim period.
Use of Estimates	Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of assets and liabilities as of the date of the condensed financial statements, and the reported amounts of revenues and expenses during the reporting periods. Although actual results could differ from those estimates, management does not believe that such differences would be material.
Recently Issued Accounting Pronouncements	Recently Issued Accounting Pronouncements The Company qualifies as an emerging growth company (“EGC”) as defined under the Jumpstart Our Business Startups Act (the “JOBS Act”). Using exemptions provided under the JOBS Act provided to EGCs, the Company has elected to defer compliance with new or revised financial accounting standards until it is required to comply with such standards, which is generally consistent with required adoption dates of private companies. The Company considers the applicability and impact of all ASUs issued by the FASB. All other ASUs issued subsequent to the filing of the Company’s Annual Report were assessed and determined to be either inapplicable or not expected to have a material impact on the Company’s financial position or results of operations.

Restricted Cash (Tables)

Restricted Cash (Tables)	3 Months Ended
	Mar. 31, 2022
Restricted Cash.
Summary of reconciliation cash and cash equivalents and restricted cash per the balance sheet to the statement of cash flows	​ ​ ​ ​ ​ ​ ​ ​ ​ ​ March 31, ​ December 31, ​ (in thousands) 2022 2021 Cash and cash equivalents ​ $ 10,652 ​ $ 12,337 ​ Restricted cash ​ 39 ​ 39 ​ Total ​ $ 10,691 ​ $ 12,376 ​

Marketable Securities (Tables)

Marketable Securities (Tables)	3 Months Ended
	Mar. 31, 2022
Marketable Securities
Schedule of marketable securities	Marketable securities consist of the following: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ March 31, 2022 ​ ​ ​ ​ ​ Gross ​ Gross ​ ​ ​ ​ ​ Amortized ​ Unrealized ​ Unrealized ​ Estimated (in thousands) Cost Gain Loss Fair Value Corporate bonds ​ $ 192,871 ​ $ 6 ​ $ (2,205) ​ $ 190,672 Total ​ $ 192,871 ​ $ 6 ​ $ (2,205) ​ $ 190,672 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ December 31, 2021 ​ ​ ​ ​ ​ Gross ​ Gross ​ ​ ​ ​ ​ Amortized ​ Unrealized ​ Unrealized ​ Estimated (in thousands) Cost Gain Loss Fair Value Corporate bonds ​ $ 207,917 ​ $ 3 ​ $ (666) ​ $ 207,254 Total ​ $ 207,917 ​ $ 3 ​ $ (666) ​ $ 207,254
Schedule of available-for-sale maturities	The following table summarizes maturities of the Company’s investments available-for-sale as of March 31, 2022 : ​ ​ ​ ​ ​ ​ ​ ​ ​ March 31, 2022 ​ ​ ​ ​ ​ Fair (in thousands) Cost Value Maturities: ​ ​ ​ ​ ​ ​ Within 1 year ​ $ 138,270 ​ $ 137,228 Between 1 to 2 years ​ 54,601 ​ 53,444 Total investments available for sale ​ $ 192,871 ​ $ 190,672

Fair Value Measurements (Tables

Fair Value Measurements (Tables)	3 Months Ended
	Mar. 31, 2022
Fair Value Measurements
Summary of fair value of the Company's financial assets	The following tables set forth the fair value of the Company’s financial assets by level within the fair value hierarchy as of March 31, 2022 and December 31, 2021: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ March 31, 2022 ​ ​ ​ ​ ​ ​ ​ ​ Significant ​ ​ ​ ​ ​ ​ ​ ​ Quoted Prices in ​ Other ​ ​ ​ ​ ​ ​ ​ ​ Active Markets or ​ Observable ​ Significant ​ ​ ​ ​ ​ Identical Assets ​ Inputs ​ Unobservable (in thousands) Total (Level 1) (Level 2) (Level 3) Cash equivalents: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Money market funds ​ $ 1,311 ​ $ 1,311 ​ $ — ​ $ — Marketable securities: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Corporate bonds ​ ​ 190,672 ​ ​ — ​ ​ 190,672 ​ ​ — Total ​ $ 191,983 ​ $ 1,311 ​ $ 190,672 ​ $ — ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ December 31, 2021 ​ ​ ​ ​ ​ ​ ​ ​ Significant ​ ​ ​ ​ ​ ​ ​ ​ Quoted Prices in ​ Other ​ ​ ​ ​ ​ ​ ​ ​ Active Markets or ​ Observable ​ Significant ​ ​ ​ ​ ​ Identical Assets ​ Inputs ​ Unobservable (in thousands) Total (Level 1) (Level 2) (Level 3) Cash equivalents: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Money market funds ​ $ 2,680 ​ $ 2,680 ​ $ — ​ $ — Marketable securities: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Corporate bonds ​ ​ 207,254 ​ ​ — ​ ​ 207,254 ​ ​ — Total ​ $ 209,934 ​ $ 2,680 ​ $ 207,254 ​ $ —

Stock-Based Compensation (Table

Stock-Based Compensation (Tables)	3 Months Ended
	Mar. 31, 2022
Stock-Based Compensation
Summary of stock option activity	​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Options Outstanding and Exercisable ​ ​ ​ ​ ​ ​ ​ Weighted ​ ​ ​ ​ ​ ​ ​ Weighted ​ Average ​ Aggregate ​ ​ ​ ​ Average ​ Remaining ​ Intrinsic ​ ​ Number of ​ Exercise ​ Contractual ​ Value (1) ​ Shares Price Life (Years) (in thousands) Outstanding as of December 31, 2021 ​ 4,545,794 ​ $ 14.15 ​ 8.1 ​ $ 2,860 Granted 1,455,850 ​ $ 5.54 — ​ — Exercised ​ (44,165) ​ $ 1.37 ​ — ​ ​ — Forfeitures ​ (318,487) ​ $ 12.07 ​ — ​ ​ — Outstanding as of March 31, 2022 5,638,992 ​ $ 12.16 8.3 ​ $ 1,994 Exercisable as of March 31, 2022 2,242,981 ​ $ 13.22 7.0 ​ $ 1,994 (1) The aggregate intrinsic value is calculated as the difference between the exercise price of the underlying options and the estimated fair value of the common stock for the options that were in the money at March 31, 2022 and December 31, 2021.
Summary of stock based compensation expense recorded	​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Three Months Ended ​ ​ ​ March 31, ​ (in thousands) 2022 2021 ​ Research and development ​ $ 768 ​ $ 958 ​ General and administrative ​ 1,860 ​ 1,550 ​ Total stock-based compensation expense ​ $ 2,628 ​ $ 2,508 ​
Summary of assumptions used in the Black Scholes option pricing model for stock options granted	​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Three Months Ended ​ ​ ​ March 31, ​ ​ 2022 2021 ​ Expected term 6.1 years ​ 6.1 years ​ Expected volatility 79.7 % ​ 79.7 % ​ Risk free interest rate 1.8 - 2.4 % ​ 0.8 - 1.4 % ​ Expected dividend yield — % ​ — % ​

Net Loss per Share Attributab_2

Net Loss per Share Attributable to Common Stockholders (Tables)	3 Months Ended
	Mar. 31, 2022
Net Loss per Share Attributable to Common Stockholders
Summary of computation of basic and diluted net loss per share attributable to common stockholders	The computation for basic and diluted loss per share were as follows (in thousands, except share and per share data): ​ ​ ​ ​ ​ ​ ​ ​ ​ Three Months Ended ​ ​ March 31, ​ 2022 2021 Net loss (Numerator): ​ ​ ​ Net loss - basic and diluted ​ $ (20,602) ​ $ (16,533) Shares (Denominator): ​ ​ Weighted-average shares outstanding - basic and diluted ​ 27,708,768 ​ 27,597,426 Loss per share - basic and diluted ​ $ (0.74) ​ $ (0.60)
Summary of shares excluded from the computation of diluted net loss per share	​ ​ ​ ​ ​ ​ ​ ​ March 31, ​ 2022 2021 Outstanding options to purchase common stock ​ 5,638,992 ​ 4,340,135 Total ​ 5,638,992 ​ 4,340,135

Restricted Cash (Details)

Restricted Cash (Details) - USD ($) $ in Thousands	Mar. 31, 2022	Dec. 31, 2021	Mar. 31, 2021	Dec. 31, 2020
Reconciliation of cash and cash equivalents and restricted cash per the balance sheet to the statement of cash flows
Cash and cash equivalents	$ 10,652	$ 12,337
Restricted cash	39	39
Total	$ 10,691	$ 12,376	$ 39,619	$ 36,284

Marketable Securities - (Detail

Marketable Securities - (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021	Dec. 31, 2021
Investments
Amortized Cost	$ 192,871		$ 207,917
Gross Unrealized Gain	6		3
Gross Unrealized Loss	(2,205)		(666)
Estimated Fair Value	190,672		207,254
Gross realized gains	2	$ 54
Fair market value of investments in unrealized loss position	184,200
Cost Maturities:
Within 1 year	138,270
Between 1 to 2 years	54,601
Total investments available for sale	192,871
Fair Value Maturities:
Within 1 year	137,228
Between 1 to 2 years	53,444
Total investments available for sale	190,672
Corporate bonds
Investments
Amortized Cost	192,871		207,917
Gross Unrealized Gain	6		3
Gross Unrealized Loss	(2,205)		(666)
Estimated Fair Value	$ 190,672		$ 207,254

Fair Value Measurements - (Deta

Fair Value Measurements - (Details) - USD ($)	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021	Dec. 31, 2021
Fair value of the Company's financial assets
Marketable Securities	$ 190,672,000		$ 207,254,000
Assets transferred into level 3	0	$ 0
Assets transferred out of level 3	0	$ 0
Fair Value
Fair value of the Company's financial assets
Total financial assets	191,983,000		209,934,000
Fair Value | Quoted Prices in Active Markets (Level 1)
Fair value of the Company's financial assets
Total financial assets	1,311,000		2,680,000
Fair Value | Significant Other Observable Inputs (Level 2)
Fair value of the Company's financial assets
Total financial assets	190,672,000		207,254,000
Money market funds (cash equivalents) | Fair Value
Fair value of the Company's financial assets
Money market funds (cash equivalents)	1,311,000		2,680,000
Money market funds (cash equivalents) | Fair Value | Quoted Prices in Active Markets (Level 1)
Fair value of the Company's financial assets
Money market funds (cash equivalents)	1,311,000		2,680,000
Corporate bonds | Fair Value
Fair value of the Company's financial assets
Marketable Securities	190,672,000		207,254,000
Corporate bonds | Fair Value | Significant Other Observable Inputs (Level 2)
Fair value of the Company's financial assets
Marketable Securities	$ 190,672,000		$ 207,254,000

Stock-Based Compensation - Stoc

Stock-Based Compensation - Stock options (Details) - USD ($) $ / shares in Units, $ in Thousands	May 03, 2019	Mar. 31, 2022	Mar. 31, 2021	Dec. 31, 2021	Mar. 31, 2022
2015 Plan
Number of Shares
Outstanding at the beginning (in shares)		4,545,794
Granted (in shares)		1,455,850
Exercised (in shares)		(44,165)
Forfeitures (in shares)		(318,487)
Outstanding at the end (in shares)		5,638,992		4,545,794	5,638,992
Exercisable at the end (in shares)		2,242,981			2,242,981
Weighted Average Exercise Price
Outstanding at the beginning (in dollars per share)		$ 14.15
Granted (in dollars per share)		5.54
Exercised (in dollars per share)		1.37
Forfeited (in dollars per share)		12.07
Outstanding at the end (in dollars per share)		12.16		$ 14.15	$ 12.16
Exercisable at the end (in dollars per share)		$ 13.22			$ 13.22
Weighted Average Remaining Contractual Life (Years) And Aggregate Intrinsic Value
Outstanding (in years)		8 years 3 months 18 days		8 years 1 month 6 days
Exercisable at the end (in years)		7 years
Outstanding at the beginning (in dollars)		$ 2,860
Outstanding at the end (in dollars)		1,994		$ 2,860	$ 1,994
Exercisable at the end (in dollars)		$ 1,994			1,994
Weighted average grant date fair value per share of stock options granted		$ 3.83
Aggregate intrinsic value of stock options exercised		$ 200
Aggregate grant date fair value		3,500	$ 6,400
Share Based Compensation Expense Not Recognized
Unrecognized compensation cost		$ 23,800			$ 23,800
Compensation expense recognition period		3 years
Omnibus Incentive Plan
Stock Based Compensation
Annual increase in number of share reserved for issuance (as percent)	4.00%
2015 Plan and 2019 Employee Stock Purchase Plan
Stock Based Compensation
Vesting period		4 years
Expiration period		10 years
Number of shares reserved for issuance under the plan		2,283,309			2,283,309
2019 Employee Stock Purchase Plan
Stock Based Compensation
Number of shares issued					6,464
Number of shares reserved for issuance under the plan		784,216			784,216

Stock-Based Compensation - St_2

Stock-Based Compensation - Stock based compensation expense (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
Stock based compensation expense
Total stock-based compensation expense	$ 2,628	$ 2,508
Research and development
Stock based compensation expense
Total stock-based compensation expense	768	958
General and administrative
Stock based compensation expense
Total stock-based compensation expense	$ 1,860	$ 1,550

Stock-Based Compensation - Assu

Stock-Based Compensation - Assumptions (Details)	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
Fair value assumptions
Expected term	6 years 1 month 6 days	6 years 1 month 6 days
Expected volatility	79.70%	79.70%
Minimum
Fair value assumptions
Risk free interest rate	1.80%	0.80%
Maximum
Fair value assumptions
Risk free interest rate	2.40%	1.40%

Net Loss Per Share Attributab_3

Net Loss Per Share Attributable to Common Stockholders - Other (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
Income loss (Numerator):
Net loss - basic and diluted	$ (20,602)	$ (16,533)
Shares (Denominator):
Weighted-average shares for basic EPS (in shares)	27,708,768	27,597,426
Weighted-average shares for diluted EPS (in shares)	27,708,768	27,597,426
Basic EPS (in dollars per share)	$ (0.74)	$ (0.60)
Diluted EPS (in dollars per share)	$ (0.74)	$ (0.60)

Net Loss per Share Attributab_4

Net Loss per Share Attributable to Common Stockholders - Anti-dilutive effect (Details) - shares	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
Antidilutive Securities
Antidilutive securities excluded from computation of diluted net loss per share	5,638,992	4,340,135
Option to purchase common stock
Antidilutive Securities
Antidilutive securities excluded from computation of diluted net loss per share	5,638,992	4,340,135

Income Taxes - (Details)

Income Taxes - (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
Income Taxes
Provision or benefit from income taxes	$ 0	$ 0