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Recce Pharmaceuticals Ltd. (AU:RCE)
:RCE
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Recce Pharmaceuticals Ltd. (RCE) AI Stock Analysis

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AU:RCE

Recce Pharmaceuticals Ltd.

(Sydney:RCE)

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Neutral 45 (OpenAI - 4o)
Rating:45Neutral
Price Target:
AU$0.50
▲(21.95% Upside)
The overall stock score is primarily influenced by the company's poor financial performance, characterized by declining revenues and negative margins. Technical analysis provides mixed signals, with no clear trend direction. The valuation is weak due to a negative P/E ratio, reflecting ongoing profitability challenges.

Recce Pharmaceuticals Ltd. (RCE) vs. iShares MSCI Australia ETF (EWA)

Recce Pharmaceuticals Ltd. Business Overview & Revenue Model

Company DescriptionRecce Pharmaceuticals Ltd. (RCE) is a biotechnology company focused on the development and commercialization of innovative anti-infective therapies. The company specializes in creating synthetic polymers to combat serious infections, particularly those caused by antibiotic-resistant bacteria. Recce's lead product candidate, RECCE 327, is designed to treat a range of infections, including sepsis, and is positioned to address the growing global health challenge of antibiotic resistance.
How the Company Makes MoneyRecce Pharmaceuticals generates revenue primarily through the advancement of its product candidates in clinical trials and potential future commercialization. The company may secure funding through various means, including government grants, equity financing, and partnerships with larger pharmaceutical companies for co-development and licensing agreements. Additionally, if successful in its clinical trials, Recce could earn revenue from product sales, royalties, and milestone payments from collaborators and partners. Strategic alliances with research institutions and other biotech firms could also provide additional funding and resources, contributing to the overall financial health of the company.

Recce Pharmaceuticals Ltd. Financial Statement Overview

Summary
Recce Pharmaceuticals Ltd. faces significant financial challenges characterized by consistent losses, negative cash flows, and high leverage. The company has negative stockholders' equity and persistent negative margins. While financing inflows have supported cash reserves, operational inefficiencies and high debt levels present substantial risks.
Income Statement
25
Negative
Recce Pharmaceuticals Ltd. has seen fluctuating revenues with a recent decline to zero, indicating significant challenges in generating sales. The persistent negative EBIT and EBITDA margins highlight ongoing operational inefficiencies and high costs relative to revenue. The net profit margin remains negative, reflecting sustained losses.
Balance Sheet
30
Negative
The company exhibits a negative stockholders' equity, indicating an excess of liabilities over assets. A high debt-to-equity ratio and low equity ratio underscore financial instability and high leverage, posing significant risks for the company's financial health and future financing capabilities.
Cash Flow
40
Negative
Operating cash flow remains negative, reflecting challenges in generating cash from operations. However, the company has managed to maintain financing inflows, which have supported cash reserves. Free cash flow remains negative, posing challenges for sustainability without further financing.
BreakdownDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue7.51M5.03M4.37M3.08M1.64M
Gross Profit-2.94M-2.19M4.15M2.90M1.34M
EBITDA-20.33M-21.35M-16.99M-13.87M-14.77M
Net Income-21.43M-17.66M-13.08M-10.99M-13.51M
Balance Sheet
Total Assets12.41M6.37M2.56M12.62M21.68M
Cash, Cash Equivalents and Short-Term Investments10.45M4.42M1.56M11.58M20.87M
Total Debt10.77M811.19K250.57K74.76K126.95K
Total Liabilities15.47M15.89M5.14M2.56M1.18M
Stockholders Equity-3.05M-9.52M-2.59M10.06M20.50M
Cash Flow
Free Cash Flow-20.47M-13.15M-12.73M-9.05M-7.93M
Operating Cash Flow-20.44M-13.01M-12.69M-9.01M-7.86M
Investing Cash Flow-443.90K-141.90K-38.63K-40.34K-76.01K
Financing Cash Flow26.92M16.00M2.71M-240.50K26.12M

Recce Pharmaceuticals Ltd. Technical Analysis

Technical Analysis Sentiment
Neutral
Last Price0.41
Price Trends
50DMA
0.42
Negative
100DMA
0.38
Positive
200DMA
0.37
Positive
Market Momentum
MACD
>-0.01
Positive
RSI
44.54
Neutral
STOCH
43.43
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:RCE, the sentiment is Neutral. The current price of 0.41 is below the 20-day moving average (MA) of 0.42, below the 50-day MA of 0.42, and above the 200-day MA of 0.37, indicating a neutral trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 44.54 is Neutral, neither overbought nor oversold. The STOCH value of 43.43 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for AU:RCE.

Recce Pharmaceuticals Ltd. Peers Comparison

Overall Rating
UnderperformOutperform
Sector (51)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
AU$44.16M-49.72%10.78%
$7.86B-0.30-43.30%2.27%22.53%-2.21%
AU$119.63M-42.68%63.46%
AU$117.12M0.66%
AU$113.90M-83.09%55.94%
AU$64.13M-41.60%4.07%
AU$107.88M-13.24-47.98%700.00%26.88%
* Healthcare Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
AU:RCE
Recce Pharmaceuticals Ltd.
0.40
-0.06
-13.04%
AU:ATX
Amplia Therapeutics
0.13
>-0.01
-5.30%
AU:IMU
Imugene
0.39
-1.08
-73.67%
AU:ATH
Alterity Therapeutics
0.01
<0.01
10.00%
AU:PTX
Prescient Therapeutics Limited
0.05
0.01
25.00%
AU:ALA
Arovella Therapeutics Limited
0.09
-0.09
-50.00%

Recce Pharmaceuticals Ltd. Corporate Events

Recce Pharmaceuticals Announces Director’s Interest Change
Oct 14, 2025

Recce Pharmaceuticals Ltd announced a change in the director’s interest, specifically concerning James Graham, who has disposed of 745,962 Class B Performance Shares through a selective buy-back approved by shareholders. This change reflects a strategic adjustment in the company’s equity structure, potentially impacting its market positioning and shareholder value.

The most recent analyst rating on (AU:RCE) stock is a Hold with a A$0.50 price target. To see the full list of analyst forecasts on Recce Pharmaceuticals Ltd. stock, see the AU:RCE Stock Forecast page.

Recce Pharmaceuticals Announces Cessation of Securities
Oct 7, 2025

Recce Pharmaceuticals Ltd has announced the cessation of 8,754,423 performance shares due to a selective buy-back, effective October 7, 2025. This move may impact the company’s capital structure and could be part of a strategic effort to optimize shareholder value and streamline operations, signaling potential shifts in their market positioning.

The most recent analyst rating on (AU:RCE) stock is a Hold with a A$0.50 price target. To see the full list of analyst forecasts on Recce Pharmaceuticals Ltd. stock, see the AU:RCE Stock Forecast page.

Recce Pharmaceuticals Completes Selective Buy-Back of Performance Shares
Oct 7, 2025

Recce Pharmaceuticals Ltd has announced the final notification of its selective buy-back of performance shares, totaling 8,754,423 securities at a consideration of AUD 87.54. This strategic move is likely to impact the company’s financial structure and could influence its market positioning by potentially increasing shareholder value.

The most recent analyst rating on (AU:RCE) stock is a Hold with a A$0.50 price target. To see the full list of analyst forecasts on Recce Pharmaceuticals Ltd. stock, see the AU:RCE Stock Forecast page.

Recce Pharmaceuticals Updates Buy-Back Date
Oct 7, 2025

Recce Pharmaceuticals Ltd has announced an update regarding its selective buy-back of performance shares, identified by the ASX security code RCEAH. The update pertains to the date of the buy-back occurring, which has been changed from the initially notified date. This announcement could impact stakeholders by altering the timeline of the buy-back process, potentially affecting the company’s share structure and market perception.

The most recent analyst rating on (AU:RCE) stock is a Hold with a A$0.50 price target. To see the full list of analyst forecasts on Recce Pharmaceuticals Ltd. stock, see the AU:RCE Stock Forecast page.

Recce Pharmaceuticals Announces 2025 Annual General Meeting
Oct 3, 2025

Recce Pharmaceuticals Ltd announced the dispatch of documents related to its 2025 Annual General Meeting to shareholders. The company’s innovative anti-infective solutions, which have garnered significant recognition, position it as a key player in addressing global health challenges related to antibiotic resistance. The upcoming meeting is set to discuss these advancements and their implications for stakeholders.

The most recent analyst rating on (AU:RCE) stock is a Hold with a A$0.50 price target. To see the full list of analyst forecasts on Recce Pharmaceuticals Ltd. stock, see the AU:RCE Stock Forecast page.

Recce Pharmaceuticals Advances Phase 3 Trial for Diabetic Foot Infections in Indonesia
Sep 25, 2025

Recce Pharmaceuticals has commenced patient dosing in its Registrational Phase 3 clinical trial for diabetic foot infections (DFI) in Indonesia, with five clinical sites activated. This trial, one of the largest DFI studies globally, aims to assess the efficacy of RECCE 327 Topical Gel (R327G) and is expected to have interim results by Q1 2026. The trial is strategically significant given Indonesia’s high diabetes prevalence, representing a substantial market opportunity. Successful results could lead to accelerated approval and a potential commercial launch in 2026, positioning Recce as a key player in addressing diabetes-related infections.

The most recent analyst rating on (AU:RCE) stock is a Hold with a A$0.50 price target. To see the full list of analyst forecasts on Recce Pharmaceuticals Ltd. stock, see the AU:RCE Stock Forecast page.

Recce Pharmaceuticals Schedules 2025 Annual General Meeting
Sep 15, 2025

Recce Pharmaceuticals Ltd has announced its Annual General Meeting scheduled for November 5, 2025, with the closing date for director nominations set for September 23, 2025. This announcement underscores the company’s ongoing commitment to advancing its anti-infective pipeline, which has garnered significant attention from global health authorities for its potential to address critical health challenges posed by resistant pathogens.

The most recent analyst rating on (AU:RCE) stock is a Hold with a A$0.50 price target. To see the full list of analyst forecasts on Recce Pharmaceuticals Ltd. stock, see the AU:RCE Stock Forecast page.

Recce Pharmaceuticals Issues New Warrants to Bolster Financial Position
Aug 25, 2025

Recce Pharmaceuticals Ltd announced the issuance of 4,634,304 unquoted warrants set to expire on July 30, 2030. This issuance is part of previously announced transactions and reflects the company’s ongoing efforts to strengthen its financial position, potentially enhancing its operational capabilities and market competitiveness.

The most recent analyst rating on (AU:RCE) stock is a Hold with a A$0.50 price target. To see the full list of analyst forecasts on Recce Pharmaceuticals Ltd. stock, see the AU:RCE Stock Forecast page.

Recce Pharmaceuticals’ R327G Gel Shows Promising Results in Combating Antibiotic-Resistant Infections
Aug 12, 2025

Recce Pharmaceuticals Ltd announced that its RECCE® 327 Topical Gel (R327G) has shown statistically significant positive efficacy against Methicillin-resistant Staphylococcus aureus (MRSA) and Pseudomonas aeruginosa in rat infection models. The study demonstrated that R327G not only reduced bacterial load significantly but also accelerated wound healing compared to the standard antibiotic Soframycin. This development supports ongoing collaboration with the U.S. Department of Defense, including a US$2M grant and a Cooperative Research and Development Agreement with the US Army Medical Research Institute of Infectious Diseases. The results suggest that R327G could offer a more effective and convenient treatment option for burn wounds, potentially benefiting patients, clinicians, and healthcare economics.

Recce Pharmaceuticals Presents Biodefense Breakthrough at MHSRS 2025
Aug 5, 2025

Recce Pharmaceuticals Ltd announced its participation in the 2025 Military Health System Research Symposium, where it will present findings on its synthetic anti-infective, RECCE® 327. The research highlights the compound’s efficacy against multiple bioterrorism pathogens, including Anthrax and Plague, showcasing its potential as a novel countermeasure in biodefense. This development is part of a Cooperative Research and Development Agreement with the US Army Medical Research Institute of Infectious Diseases, underscoring the importance of innovative solutions in military and public health strategies.

Recce Pharmaceuticals Advances Clinical Trials and Secures Strategic Partnerships
Jul 31, 2025

Recce Pharmaceuticals Ltd has reported significant progress in its clinical trials and strategic partnerships. The company has expanded its Phase 3 clinical trial sites in Indonesia and received additional approval for its Phase 2 trial, allowing more diabetic foot infection patients access to its R327G topical gel. This follows positive results in previous trials, indicating high efficacy. Additionally, Recce has entered into a Cooperative Research and Development Agreement with the US Army Medical Research Institute of Infectious Diseases, enhancing its research capabilities against biodefense pathogens. The company has also secured substantial funding through a capital raise and a non-dilutive financing agreement, strengthening its financial position.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

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.Date of analysis: Oct 24, 2025