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Cynata Therapeutics Limited (AU:CYP)
:CYP

Cynata Therapeutics Limited (CYP) AI Stock Analysis

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Cynata Therapeutics Limited

(OTC:CYP)

43Neutral
Cynata Therapeutics Limited's overall stock score is 42.5, reflecting significant challenges in financial performance due to persistent losses and high cash burn. Despite a strong liquidity position and a debt-free balance sheet, the company needs to improve its revenue generation and cost controls to enhance financial stability. Technical indicators are mixed, with no clear trend, and valuation metrics are hindered by negative earnings, presenting a moderate risk profile for investors.

Cynata Therapeutics Limited (CYP) vs. S&P 500 (SPY)

Cynata Therapeutics Limited Business Overview & Revenue Model

Company DescriptionCynata Therapeutics Limited (CYP) is an Australian biotechnology company focused on the development and commercialization of innovative stem cell therapies. The company specializes in Cymerus™, a proprietary technology for manufacturing mesenchymal stem cells (MSCs) at scale. This platform enables the production of therapeutic stem cells without the limitation of donor availability, supporting the treatment of various diseases and medical conditions. Cynata's core products target applications in regenerative medicine, encompassing indications such as cardiovascular disease, respiratory ailments, and graft-versus-host disease (GvHD).
How the Company Makes MoneyCynata Therapeutics Limited primarily generates revenue through strategic partnerships, licensing agreements, and milestone payments associated with their proprietary Cymerus™ technology. The company collaborates with pharmaceutical and biotechnology firms that seek to integrate Cynata's MSCs into their therapeutic pipelines. These partnerships often involve upfront licensing fees, ongoing research and development funding, and potential royalty payments upon successful commercialization of new therapies. Additionally, Cynata seeks to secure government and private grants to support its research initiatives. The company's earnings are significantly influenced by the progress and success of its clinical trials and the subsequent adoption of its stem cell products in the healthcare market.

Cynata Therapeutics Limited Financial Statement Overview

Summary
Cynata Therapeutics Limited faces significant financial challenges, with persistent losses impacting profitability and cash flow. While the company benefits from a debt-free balance sheet and strong liquidity, the high cash burn rate and negative profit margins are concerning. Improvements in revenue generation and cost control are essential to achieve financial stability.
Income Statement
30
Negative
Cynata Therapeutics Limited has shown a fluctuating revenue trend, with a recent increase to $2.32 million from $1.65 million last year, suggesting some positive momentum. However, the company remains unprofitable with a negative net income of $9.74 million, leading to a negative net profit margin. The EBIT and EBITDA margins are also negative, highlighting challenges in cost management and operational efficiency.
Balance Sheet
40
Negative
The company maintains a solid equity position with no debt, resulting in a debt-to-equity ratio of zero. However, the return on equity is negative due to persistent losses, indicating inefficiencies in utilizing shareholder funds. With a significant portion of assets in cash or equivalents, liquidity is strong, but the high cash burn rate could pose a risk if losses continue.
Cash Flow
25
Negative
Cynata Therapeutics' cash flow situation is challenging, with a negative operating cash flow of $9.96 million and negative free cash flow. This indicates heavy cash consumption, which is unsustainable in the long term without revenue growth or additional financing. The free cash flow to net income ratio is unfavorable, reflecting inefficiencies in cash management.
Breakdown
TTMJun 2024Jun 2023Jun 2022Jun 2021Jun 2020
Income StatementTotal Revenue
1.74M2.32M1.65M7.77M1.55M7.01M
Gross Profit
1.60M2.32M1.37M7.49M1.27M6.73M
EBIT
-15.67M-8.81M-16.54M-6.90M-9.08M-10.51M
EBITDA
-9.06M-9.95M-15.65M-6.00M-8.80M-5.87M
Net Income Common Stockholders
-8.85M-9.74M-14.28M-5.45M-7.69M-3.64M
Balance SheetCash, Cash Equivalents and Short-Term Investments
10.51M6.21M16.17M23.80M26.72M13.65M
Total Assets
12.86M8.39M18.99M26.55M29.97M17.48M
Total Debt
0.000.000.000.000.000.00
Net Debt
-10.51M-6.21M-16.17M-23.80M-26.72M-13.65M
Total Liabilities
1.37M1.17M2.26M2.59M1.60M689.74K
Stockholders Equity
11.49M7.22M16.73M23.96M28.37M16.79M
Cash FlowFree Cash Flow
-8.08M-9.96M-14.28M-3.30M-5.16M-3.39M
Operating Cash Flow
-8.03M-9.96M-14.28M-3.30M-5.16M-3.39M
Investing Cash Flow
-50.00K0.000.000.000.000.00
Financing Cash Flow
7.49M0.006.72M210.12K18.20M10.06M

Cynata Therapeutics Limited Technical Analysis

Technical Analysis Sentiment
Neutral
Last Price0.20
Price Trends
50DMA
0.20
Positive
100DMA
0.22
Negative
200DMA
0.22
Negative
Market Momentum
MACD
>-0.01
Negative
RSI
53.43
Neutral
STOCH
37.78
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:CYP, the sentiment is Neutral. The current price of 0.2 is above the 20-day moving average (MA) of 0.19, above the 50-day MA of 0.20, and below the 200-day MA of 0.22, indicating a neutral trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 53.43 is Neutral, neither overbought nor oversold. The STOCH value of 37.78 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for AU:CYP.

Cynata Therapeutics Limited Peers Comparison

Overall Rating
UnderperformOutperform
Sector (52)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
52
Neutral
$5.15B3.02-44.64%2.83%16.44%-0.47%
AUMSB
46
Neutral
$2.21B-21.31%
AUCYP
43
Neutral
AU$45.19M-75.39%44.29%
* Healthcare Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
AU:CYP
Cynata Therapeutics Limited
0.20
-0.09
-31.03%
AU:MSB
Mesoblast Limited
1.74
0.67
61.86%

Cynata Therapeutics Limited Corporate Events

Cynata Therapeutics Hosts Investor Webinar to Highlight Clinical Advancements
May 4, 2025

Cynata Therapeutics announced an investor webinar hosted by CEO Dr. Kilian Kelly, highlighting ongoing clinical trials and advancements in their Cymerus™ platform. The company’s focus on developing next-generation cellular therapies positions it strongly within the biotechnology industry, with ongoing trials in GvHD, kidney transplantation, and osteoarthritis, and preclinical success in various other diseases, indicating potential future growth and impact on stakeholders.

Cynata Therapeutics Advances Clinical Trials with Promising Developments
Apr 24, 2025

Cynata Therapeutics Limited has reported significant progress in its clinical trials, with a Phase 2 trial for acute graft-versus-host disease nearing 60% recruitment and results expected by late 2025. The company also anticipates results from its Phase 3 osteoarthritis trial in the first half of 2026. Additionally, Cynata’s Phase 1 trial in kidney transplantation continues with the first cohort expected to complete in Q2 2025. These developments highlight Cynata’s strategic focus on advancing its pipeline and strengthening its position in the biotechnology industry, with a strong cash balance supporting operations into mid-2026.

Cynata Therapeutics Joins National Regenerative Medicine Initiative
Apr 24, 2025

The Australian Federal Government has announced funding for the Solutions for Manufacturing Advanced Regenerative Therapies Cooperative Research Centre (SMART CRC), with Cynata Therapeutics set to play a key role as a Core Partner. This initiative aims to create a collaborative ecosystem for regenerative therapy manufacturing in Australia, with a budget of $238 million and over 60 partners. The involvement in SMART CRC presents Cynata with opportunities to advance its research and development projects, potentially enhancing its position in the regenerative medicine industry.

Cynata Therapeutics Forms New Scientific Advisory Board to Enhance R&D Strategy
Apr 14, 2025

Cynata Therapeutics Limited has established a new Scientific Advisory Board (SAB) composed of globally recognized experts in cell-based therapies. This board aims to provide strategic scientific guidance and oversight for the company’s research and development efforts. The SAB includes Professor John Rasko as Chair, Professor Igor Slukvin, and Dr. Derek Hei, all of whom have significant experience and contributions to the field. This move is expected to help Cynata maintain its leading position in iPSC-based therapeutic development, potentially impacting its operations and industry standing positively.

Cynata’s Cymerus™ MSCs Show Promise in Heart Disease Treatment
Apr 7, 2025

Cynata Therapeutics announced promising results from preclinical studies of its Cymerus™ MSCs in treating ischaemic heart disease, the leading global cause of death. The studies revealed that encapsulated Cymerus™ MSCs significantly improved heart function and reduced harmful structural changes in heart tissues in a rat model of heart attack. This novel, minimally invasive delivery method may enhance clinical translation and long-term effects, potentially addressing a critical unmet need in post-heart attack care. The research, supported by a $1 million Australian Government grant, was conducted in collaboration with multiple institutions and has been submitted for peer review.

Cynata Therapeutics Updates Director’s Interest Notice
Apr 1, 2025

Cynata Therapeutics Limited has announced a change in the director’s interest notice, specifically regarding Dr. Geoffrey Brooke. The change involved the expiry of 69,767 listed options exercisable at $0.30, which expired on April 1, 2025. This adjustment reflects a routine update in the director’s securities holdings, with implications for the company’s governance and transparency practices.

Cynata Therapeutics Showcases at Advanced Therapies Congress 2025
Mar 17, 2025

Cynata Therapeutics Limited is participating in the Advanced Therapies Congress 2025, Europe’s largest cell and gene therapy conference, held in London. Dr. Mathias Kroll, Cynata’s Chief Business Officer, will present the company’s clinical development programs and engage in partnering meetings, highlighting the company’s strategic engagement in the global biotechnology landscape. This participation underscores Cynata’s commitment to advancing its stem cell therapies and strengthening its industry position, potentially impacting stakeholders by showcasing its innovative Cymerus™ technology and ongoing clinical trials.

Cynata Therapeutics Engages Investors at Euroz Hartleys Conference
Mar 11, 2025

Cynata Therapeutics announced its participation in the 2025 Euroz Hartleys Institutional Investor Conference, where CEO Dr. Kilian Kelly will present and engage with institutional investors. This participation highlights Cynata’s ongoing efforts to engage stakeholders and showcase its advancements in cell therapeutics, potentially enhancing its industry positioning and investor relations.

Cynata Therapeutics Reports Financial Results for Half-Year Ending December 2024
Feb 27, 2025

Cynata Therapeutics Limited reported a decrease in revenue and other income by 22.61% for the half-year ending December 31, 2024, compared to the previous year. Despite this, the company reduced its comprehensive loss by 19.63%, indicating improved financial management. No dividends were declared, and the net tangible asset backing per ordinary security also decreased. The financial results reflect ongoing challenges but also highlight efforts to mitigate losses, which could impact stakeholder confidence and market positioning.

Cynata Therapeutics Announces Expiry of CYPOA Options
Feb 27, 2025

Cynata Therapeutics Limited announced the expiration of its 18,104,720 listed CYPOA options, which will lapse if not exercised by April 1, 2025. Each option allows the holder to purchase one ordinary share at $0.30, and the expiration could impact the company’s capital structure and investor decisions, as the current share price is below the exercise price.

Cynata Therapeutics Director Updates Securities Holdings
Feb 20, 2025

Cynata Therapeutics Limited has reported a change in the interests of its director, Dr. Paul K Wotton, in the company’s securities. This change involves the conversion of 69,767 listed options into ordinary shares. The move signifies a potential realignment of interests or strategic decision by the director, which may have implications for his engagement with the company and could reflect his confidence in its future prospects.

Cynata Therapeutics Issues New Securities to Boost Market Position
Feb 20, 2025

Cynata Therapeutics Limited has announced the issuance of 69,767 ordinary fully paid securities on February 20, 2025, under the ASX code CYP. This move could potentially enhance the company’s financial flexibility and strengthen its market presence, benefiting stakeholders by supporting ongoing and future projects.

Cynata Therapeutics to Host Investor Webinar on Clinical Advancements
Feb 5, 2025

Cynata Therapeutics Limited will host an investor webinar led by CEO Dr. Kilian Kelly to engage with shareholders. The company’s ongoing clinical trials include a Phase 2 trial of CYP-001 for GvHD, a Phase 1/2 trial for kidney transplant patients, and a Phase 3 trial for osteoarthritis, highlighting their commitment to advancing their cell therapeutics pipeline.

Glossary
OutperformA stock rated as "Outperform" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock is likely to deliver higher returns compared to the average returns of other stocks in the same sector or market index. Investors might consider this stock a good buying opportunity.
NeutralA stock rated as "Neutral" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly attractive nor unattractive for investment. Investors may consider holding onto the stock, as it is not expected to either significantly outperform or underperform the market.
UnderperformA stock rated as "Underperform" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock may deliver lower returns compared to the average returns of other stocks in the same sector or market index. Investors might consider selling the stock or avoiding it as an investment.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.