Vectus Biosystems Limited (VBS) AI Stock Analysis

• Market Cap: AU$6.68M
• Dividend Yield: N/A
• Average Volume (3M): 97.35K
• Price to Earnings (P/E): ―
• Beta (1Y): -0.06
• Revenue Growth: N/A
• EPS Growth: 24.09%
• Country: AU
• Employees: N/A
• Sector: Healthcare
• Sector Strength: 45
• Industry: Biotechnology
• EPS (TTM): -0.01
• Shares Outstanding: 53,433,330
• 10 Day Avg. Volume: 169,215
• 30 Day Avg. Volume: 97,349
• PEG Ratio: 0.05
• Price to Book (P/B): -8.29
• Price to Sales (P/S): 4.45
• P/FCF Ratio: -2.56
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 39 Underperform
• Price Target: AU$0.11 ▼(-39.44% Downside)

The score is driven primarily by very weak financial performance (declining revenue, ongoing losses, negative cash flow, and negative equity). Technical indicators add further pressure with bearish trend and weak momentum, while valuation is constrained by loss-making fundamentals and no dividend support.

Positive Factors

High gross profit margin

A high gross profit margin indicates the company's core products or services have strong unit economics. That provides durable leverage to restore profitability if operating expenses are cut or revenue stabilizes, supporting recovery potential over the next 2–6 months.

Structural industry exposure

Being in the biotechnology sector offers structural tailwinds from sustained demand for innovation, therapies, and diagnostics. This industry positioning gives the company long-term market opportunity if it can secure funding and execute development or commercialization plans.

Reported EPS improvement

Reported EPS growth of ~24% suggests improvement in per-share profitability, reflecting operational or mix progress. If this trend continues, it signals improving efficiency or margins and can underpin better cash generation and capital access over the medium term.

Negative Factors

Severe revenue decline

A nearly 46% year decline in revenue denotes meaningful demand loss or commercial setbacks. Such steep top-line deterioration erodes operating leverage, stresses margins, and requires substantial strategy or product changes to re-establish sustainable growth within months.

Negative operating and free cash flow

Persistent negative operating and free cash flows indicate the company cannot self-fund operations or investments. This structural cash shortfall raises refinancing or dilution risk and constrains R&D, commercialization, and strategic flexibility over the coming 2–6 months.

Distressed balance sheet

Negative shareholder equity and a negative debt-to-equity ratio reflect financial distress and high leverage. This weak capital structure limits borrowing capacity, increases insolvency risk, and hampers the company's ability to fund operations or invest for recovery in the medium term.

Vectus Biosystems Limited Business Overview & Revenue Model

Company Description

Vectus Biosystems Limited engages in the medical research and development activities in Australia. The company develops treatment for fibrosis and high blood pressure, which include treatments for heart, kidney, liver, and lung diseases. Its lead compound is VB0004, which is aimed at treating the loss of functional tissue to fibrosis, scarring, and high blood pressure. The company also intends to develop candidates for the treatment of fibrotic liver diseases, including non-alcoholic steatohepatitis and pulmonary fibrotic diseases. In addition, it develops AccuCal and RealCount software that enhance speed and accuracy of measuring the amount of DNA and RNA in samples tested in laboratories. The company was incorporated in 2005 and is based in Rosebery, Australia.

How the Company Makes Money

Vectus Biosystems Limited generates revenue through multiple streams, primarily from the licensing of its proprietary technologies and products to pharmaceutical companies. The company engages in strategic partnerships, which often involve milestone payments and royalties based on sales from licensed products. Additionally, VBS may receive funding through grants and collaborations aimed at specific research projects. The success of their revenue model is heavily influenced by the advancement of their drug candidates through clinical trials and subsequent commercialization efforts.

Vectus Biosystems Limited Financial Statement Overview

Summary

Very weak fundamentals: sharp revenue contraction (-45.92%), persistent losses with negative EBIT/EBITDA margins, negative operating and free cash flow, and a distressed balance sheet featuring negative stockholders’ equity.

Income Statement

Vectus Biosystems Limited has experienced a significant decline in revenue, with a revenue growth rate of -45.92% in the most recent year. The company has consistently reported negative net profit margins, indicating ongoing losses. Despite a high gross profit margin, the negative EBIT and EBITDA margins reflect operational inefficiencies and high costs relative to revenue.

Balance Sheet

The company's balance sheet shows a negative stockholders' equity, indicating financial instability. The debt-to-equity ratio is negative, reflecting more liabilities than equity. While the return on equity appears positive, it is due to negative equity, which is not a favorable sign. Overall, the balance sheet suggests financial distress and high leverage.

Cash Flow

Vectus Biosystems Limited has negative operating and free cash flows, indicating challenges in generating cash from operations. The free cash flow growth rate is negative, and the operating cash flow to net income ratio is less than one, suggesting inefficiencies in converting income into cash. The free cash flow to net income ratio is positive, but this is due to negative net income, which is not a positive indicator.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	478.18K	478.18K	1.14M	1.35M	1.30M	180.00
Gross Profit	478.18K	478.18K	1.14M	1.31M	1.28M	1.02M
EBITDA	-1.69M	-1.69M	-2.27M	-3.19M	-3.28M	-3.71M
Net Income	-1.78M	-1.78M	-2.34M	-3.45M	-3.99M	-3.86M
Balance Sheet
Total Assets	782.66K	782.66K	2.03M	4.63M	3.94M	6.98M
Cash, Cash Equivalents and Short-Term Investments	250.99K	250.99K	808.97K	2.95M	1.28M	5.78M
Total Debt	200.00K	200.00K	28.93K	70.21K	6.90M	8.68M
Total Liabilities	1.04M	1.04M	539.26K	1.11M	8.36M	9.88M
Stockholders Equity	-256.62K	-256.62K	1.49M	3.52M	-4.42M	-2.90M
Cash Flow
Free Cash Flow	-830.09K	-830.09K	-2.10M	-2.37M	-4.46M	-3.26M
Operating Cash Flow	-830.09K	-830.09K	-2.03M	-2.35M	-4.44M	-3.26M
Investing Cash Flow	101.03K	101.03K	-67.90K	-17.13K	-21.00K	0.00
Financing Cash Flow	171.07K	171.07K	-41.28K	4.04M	-34.55K	6.35M

Vectus Biosystems Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.18
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:VBS, the sentiment is Negative. The current price of 0.18 is above the 20-day moving average (MA) of 0.14, above the 50-day MA of 0.15, and above the 200-day MA of 0.10, indicating a neutral trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 40.71 is Neutral, neither overbought nor oversold. The STOCH value of 18.10 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for AU:VBS.

Vectus Biosystems Limited 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%
CMB	48 Neutral	AU$13.78M	-2.33	-166.70%	―	―	―
ANR	47 Neutral	AU$3.76M	-1.25	-205.70%	―	―	1.03%
BIT	46 Neutral	AU$8.11M	-27.50	-184.73%	―	―	87.88%
HXL	40 Underperform	AU$2.17M	-4.33	-28.49%	―	―	46.43%
VBS	39 Underperform	AU$6.68M	-3.44	-289.05%	―	―	24.09%
1AD	37 Underperform	AU$12.75M	-1.61	-628.72%	―	―	31.87%

Vectus Biosystems Limited Corporate Events

Vectus Biosystems Nears VB4-P5 Sale to XORTX and Ramps Up Licensing Push

Vectus Biosystems has moved closer to monetising part of its pipeline, nearing completion of a binding deal to sell its VB4-P5 renal small molecule compound for renal fibrosis to Canadian biotech XORTX Therapeutics for US$3 million in shares and pre-funded warrants, giving Vectus a strategic equity stake in a Nasdaq- and TSX Venture-listed renal drug developer. The company, which has sharply reduced operating costs and ended the December 2025 quarter with A$330,000 in cash, is intensifying efforts to secure licensing and funding partnerships for its anti-fibrotic portfolio, including VB0004, with active outreach via C14 Consulting, data room access for potential licensees, a particular push into the Chinese market for Phase IIa trials in liver and lung disease, and exploration of future capital options including eventual sales of XORTX equity once escrow restrictions lift.

The most recent analyst rating on (AU:VBS) stock is a Hold with a A$0.12 price target. To see the full list of analyst forecasts on Vectus Biosystems Limited stock, see the AU:VBS Stock Forecast page.

Vectus Biosystems Issues New Shares on Exercise of Employee Options

Vectus Biosystems has issued 25,000 new fully paid ordinary shares following the exercise of vested options granted under its Employee Incentive Plan by two of the company’s contractors, slightly increasing its share capital base. The company confirmed the issuance was conducted without a prospectus under relevant Corporations Act provisions and that it remains compliant with its financial reporting and continuous disclosure obligations, signalling routine corporate housekeeping with limited immediate impact on broader operations or shareholder structure.

The most recent analyst rating on (AU:VBS) stock is a Hold with a A$0.10 price target. To see the full list of analyst forecasts on Vectus Biosystems Limited stock, see the AU:VBS Stock Forecast page.

Vectus Biosystems Seeks ASX Quotation for 25,000 New Shares

Vectus Biosystems Limited has applied to the ASX for quotation of 25,000 new fully paid ordinary shares, to be issued on 23 December 2025. The small equity issuance, arising from the exercise or conversion of existing options or convertible securities, marginally increases the company’s free float and may modestly enhance trading liquidity without materially altering its capital structure.

The most recent analyst rating on (AU:VBS) stock is a Hold with a A$0.10 price target. To see the full list of analyst forecasts on Vectus Biosystems Limited stock, see the AU:VBS Stock Forecast page.

Vectus Biosystems Issues New Shares Under Employee Incentive Plan

Vectus Biosystems Limited has issued 75,000 new fully paid ordinary shares following the exercise of options under its Employee Incentive Plan. This move reflects the company’s compliance with regulatory requirements and showcases its efforts to incentivize employees and contractors, potentially impacting its operational dynamics and stakeholder relations positively.

The most recent analyst rating on (AU:VBS) stock is a Hold with a A$0.17 price target. To see the full list of analyst forecasts on Vectus Biosystems Limited stock, see the AU:VBS Stock Forecast page.

Vectus Biosystems Lists Additional Securities on ASX

Vectus Biosystems Limited has announced the quotation of 75,000 ordinary fully paid securities on the Australian Securities Exchange (ASX). This move follows the exercise of options or conversion of other convertible securities, potentially enhancing the company’s capital structure and market presence.

The most recent analyst rating on (AU:VBS) stock is a Hold with a A$0.17 price target. To see the full list of analyst forecasts on Vectus Biosystems Limited stock, see the AU:VBS Stock Forecast page.

Vectus Biosystems Limited AGM: All Resolutions Passed

Vectus Biosystems Limited held its Annual General Meeting on November 26, 2025, where all proposed resolutions were passed. These included the re-election of Ronald Shnier as a director, the election of Linda Walters as a director, and the adoption of the remuneration report. The successful passing of these resolutions indicates strong shareholder support and may positively impact the company’s governance and strategic direction.

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

Vectus Biosystems Advances Commercialization with Strategic Partnership

Vectus Biosystems Limited announced progress in its commercialization efforts, particularly with its lead compound VB0004, which has shown safety and tolerability in Phase Ia and Ib trials. The company signed a binding term sheet with XORTX Therapeutics for the sale of its VB4-P5 compound, which will provide Vectus with shares in XORTX, allowing continued interest in the compound’s development without further financial contributions. This strategic move is expected to enhance shareholder value and expand opportunities in the pharmaceutical market.

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

Vectus Biosystems Addresses ASX Price Query, Confirms Compliance

Vectus Biosystems Limited has responded to an ASX price query, stating that it is unaware of any undisclosed information that could explain recent trading activity in its securities. The company confirms compliance with ASX Listing Rules and assures that its responses have been authorized by its board, maintaining transparency and adherence to regulatory standards.