Artelo Biosciences (ARTL) AI Stock Analysis

• Market Cap: $4.80M
• Dividend Yield: N/A
• Average Volume (3M): 89.20K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.31
• Revenue Growth: N/A
• EPS Growth: 4.49%
• Country: US
• Employees: 6
• Sector: Healthcare
• Sector Strength: 45
• Industry: Biotechnology
• EPS (TTM): -5.61
• Shares Outstanding: 1,145,635
• 10 Day Avg. Volume: 70,584
• 30 Day Avg. Volume: 89,202
• PEG Ratio: 0.73
• Price to Book (P/B): 7.17
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -2.45
• Enterprise Value/Market Cap: 1.34
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: -0.61
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 34 Underperform
• Price Target: ―

Artelo Biosciences faces substantial financial hurdles with no revenue and continuous losses, heavily impacting its overall score. Technical indicators do not show a strong recovery trend, and the lack of new guidance from earnings calls further adds uncertainty. Valuation metrics are unfavorable due to negative earnings, making the stock less appealing to investors.

Positive Factors

Clinical Trial Progress

Successful Phase 1 trial results for ART26.12 indicate progress in drug development, potentially leading to future partnerships and revenue.

Low Financial Leverage

Low financial leverage provides Artelo with flexibility to raise capital without excessive debt burden, supporting long-term strategic initiatives.

Strategic Partnerships

Strategic partnerships can enhance R&D capabilities and market reach, potentially accelerating product development and commercialization.

Negative Factors

Continuous Losses

Ongoing losses without revenue generation highlight financial instability, limiting the company's ability to sustain operations without external funding.

Declining Assets and Equity

Declining assets and equity suggest weakening financial health, which could hinder long-term growth and investment in R&D.

Negative Cash Flows

Persistent negative cash flows indicate liquidity challenges, necessitating urgent financial restructuring to ensure business continuity.

Artelo Biosciences Business Overview & Revenue Model

Company Description

Artelo Biosciences, Inc., a clinical stage biopharmaceutical company, focuses on developing and commercializing treatments to modulate the endocannabinoid system. Its product candidate pipeline includes ART27.13, a synthetic G protein-coupled receptor agonist, which is in Phase 1b/2a clinical trial for the treatment of anorexia associated with cancer; ART12.11, a synthetic cannabidiol cocrystal for the treatment of inflammatory bowel disease and post-traumatic stress disorder (PTSD); and ART26.12, a fatty acid binding protein 5 inhibitor for prostate and breast cancer treatment, as well as for treating PTSD. Artelo Biosciences, Inc. has research collaboration with Trinity College Dublin to investigate ART27.13 for the treatment of cancer cachexia. The company was formerly known as Reactive Medical, Inc. and changed its name to Artelo Biosciences, Inc. in April 2017. Artelo Biosciences, Inc. was incorporated in 2011 and is based in Solana Beach, California.

How the Company Makes Money

Artelo Biosciences generates revenue primarily through the development and potential commercialization of its proprietary drug candidates. The company's revenue model is largely based on achieving clinical and regulatory milestones that can attract licensing deals or partnerships with larger pharmaceutical companies. These partnerships may result in upfront payments, milestone payments, and royalties on sales of successfully commercialized products. Artelo may also seek government grants or research funding to support its development programs. As a company focused on drug development, its earnings are contingent on successful clinical trials, regulatory approvals, and market adoption of its therapies.

Artelo Biosciences Financial Statement Overview

Summary

Artelo Biosciences faces significant financial challenges with continuous losses and no revenue generation. The low debt is a positive aspect, but declining assets and equity raise concerns about long-term sustainability. Cash flow issues further underscore the need for strategic financial management to improve its financial health.

Income Statement

Artelo Biosciences has consistently reported zero revenue, indicating no current commercial products. The company has a high negative EBIT and Net Income, reflecting continuous losses. The absence of revenue growth constrains its ability to improve financial performance in the short term.

Balance Sheet

The company maintains a low debt-to-equity ratio, which is favorable and indicates low financial leverage. However, there is a significant decline in total assets and stockholders' equity over time, suggesting potential financial instability.

Cash Flow

Artelo Biosciences shows negative operating and free cash flows, indicating cash burn. However, there was a positive cash flow from investing activities due to asset sales. The continuous negative cash flows highlight liquidity challenges.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	0.00	0.00	0.00	0.00	0.00	0.00
Gross Profit	0.00	0.00	0.00	0.00	0.00	0.00
EBITDA	-10.54M	-10.11M	-9.93M	-10.29M	-7.44M	-4.71M
Net Income	-10.50M	-9.83M	-9.29M	-10.08M	-7.44M	-4.65M
Balance Sheet
Total Assets	4.36M	4.70M	13.04M	20.42M	12.63M	4.38M
Cash, Cash Equivalents and Short-Term Investments	2.07M	2.34M	10.43M	17.53M	10.06M	2.14M
Total Debt	896.00K	104.00K	23.00K	63.00K	95.00K	0.00
Total Liabilities	5.76M	1.84M	1.29M	1.02M	593.00K	502.18K
Stockholders Equity	-1.41M	2.86M	11.75M	19.40M	12.04M	3.87M
Cash Flow
Free Cash Flow	-6.63M	-8.35M	-8.21M	-8.01M	-6.14M	-4.35M
Operating Cash Flow	-6.63M	-8.35M	-8.21M	-8.01M	-6.14M	-4.35M
Investing Cash Flow	4.44M	7.77M	3.51M	2.96M	-3.44M	0.00
Financing Cash Flow	3.13M	112.00K	567.00K	0.00	14.11M	1.98M

Artelo Biosciences Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 3.38
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Positive
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ARTL, the sentiment is Negative. The current price of 3.38 is below the 20-day moving average (MA) of 4.50, below the 50-day MA of 6.19, and below the 200-day MA of 7.46, indicating a bearish trend. The MACD of -0.71 indicates Negative momentum. The RSI at 29.08 is Positive, neither overbought nor oversold. The STOCH value of 10.62 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for ARTL.

Artelo Biosciences Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
PALI	45 Neutral	$227.59M	―	-188.48%	―	―	69.35%
INM	40 Underperform	$5.01M	―	-72.10%	―	7.50%	65.86%
ARTL	34 Underperform	$4.80M	―	-356.46%	―	―	4.49%
GLTO	29 Underperform	$12.49M	―	-99.96%	―	―	44.00%
GLMD	28 Underperform	$7.78M	―	-53.99%	―	―	56.31%