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Allergy Therapeutics (GB:AGY)
:AGY

Allergy Therapeutics (AGY) AI Stock Analysis

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Allergy Therapeutics

(LSE:AGY)

48Neutral
The overall score reflects significant financial challenges faced by Allergy Therapeutics, offset by promising corporate events indicating potential recovery and growth. Despite technical weaknesses and valuation concerns, the company's strategic advancements in clinical trials and revenue growth offer a glimpse of potential improvement.

Allergy Therapeutics (AGY) vs. S&P 500 (SPY)

Allergy Therapeutics Business Overview & Revenue Model

Company DescriptionAllergy Therapeutics (AGY) is a biopharmaceutical company specializing in the development and commercialization of allergy vaccines and treatments. Operating primarily in the healthcare sector, the company focuses on providing innovative solutions for allergy prevention and management, particularly through its subcutaneous and sublingual allergy immunotherapy products. Allergy Therapeutics is committed to improving the quality of life for individuals who suffer from allergies by offering effective and convenient treatment options.
How the Company Makes MoneyAllergy Therapeutics generates revenue primarily through the sale of its allergy immunotherapy products. The company's key revenue streams include prescription sales of its subcutaneous and sublingual vaccines, which are distributed through healthcare providers and pharmacies. Revenue is also bolstered by the company's research and development partnerships, which may include collaboration agreements with other pharmaceutical companies and research institutions. In addition to product sales, Allergy Therapeutics may receive milestone payments and royalties from licensing agreements for its proprietary technologies and treatments. The company's financial performance is influenced by factors such as market demand for allergy treatments, regulatory approvals, and its ability to innovate and expand its product portfolio.

Allergy Therapeutics Financial Statement Overview

Summary
Allergy Therapeutics is experiencing financial difficulties, with declining revenues and consistent net losses impacting profitability metrics. The balance sheet indicates high leverage and a weakened equity position, while cash flow challenges suggest liquidity pressures. Strategic adjustments are required to improve financial health and stability.
Income Statement
42
Neutral
The company has faced declining revenue over the past two years, with a noticeable revenue decrease in the most recent year. Gross profit margin decreased from previous years, and the net profit margin is negative, indicating losses. EBIT and EBITDA margins are also negative, suggesting operational challenges and reduced profitability.
Balance Sheet
30
Negative
The balance sheet shows a high debt-to-equity ratio, indicating significant leverage. Stockholders' equity has drastically decreased, impacting the equity ratio negatively. The return on equity is negative due to consistent net losses, highlighting financial instability.
Cash Flow
38
Negative
Operating cash flow is negative and declining, highlighting cash management issues. The free cash flow remains negative, and the free cash flow to net income ratio is unfavorable. Despite a positive financing cash flow, overall cash flow indicators reflect financial strain.
Breakdown
Jun 2024Jun 2023Jun 2022Jun 2021Jun 2020
Income StatementTotal Revenue
55.20M59.59M72.77M84.33M78.20M
Gross Profit
29.74M32.69M48.95M61.80M57.51M
EBIT
-35.26M-34.85M-13.00M2.64M4.46M
EBITDA
-30.74M-36.24M-8.69M7.61M11.69M
Net Income Common Stockholders
-40.22M-43.07M-13.78M2.89M7.06M
Balance SheetCash, Cash Equivalents and Short-Term Investments
12.91M14.85M20.52M40.27M36.96M
Total Assets
64.83M66.77M72.95M88.09M86.22M
Total Debt
30.99M35.99M10.53M11.17M12.18M
Net Debt
18.07M21.14M-9.99M-29.10M-24.78M
Total Liabilities
61.12M64.70M35.18M39.55M42.44M
Stockholders Equity
3.71M2.07M37.77M48.53M43.78M
Cash FlowFree Cash Flow
-35.54M-35.59M-17.17M5.95M9.73M
Operating Cash Flow
-32.14M-30.92M-14.11M8.52M12.28M
Investing Cash Flow
-1.20M-4.67M-3.06M-2.76M-2.77M
Financing Cash Flow
31.43M29.91M-2.64M-2.03M-110.00K

Allergy Therapeutics Technical Analysis

Technical Analysis Sentiment
Positive
Last Price6.30
Price Trends
50DMA
6.42
Positive
100DMA
6.51
Negative
200DMA
5.69
Positive
Market Momentum
MACD
-0.15
Negative
RSI
55.32
Neutral
STOCH
82.71
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:AGY, the sentiment is Positive. The current price of 6.3 is above the 20-day moving average (MA) of 6.10, below the 50-day MA of 6.42, and above the 200-day MA of 5.69, indicating a bullish trend. The MACD of -0.15 indicates Negative momentum. The RSI at 55.32 is Neutral, neither overbought nor oversold. The STOCH value of 82.71 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GB:AGY.

Allergy Therapeutics Peers Comparison

Overall Rating
UnderperformOutperform
Sector (51)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
GBAZN
76
Outperform
£157.23B28.5517.43%2.42%14.82%14.98%
75
Outperform
£7.62B18.0010.83%2.05%-3.32%20.38%
GBGSK
71
Outperform
£55.18B21.5619.06%4.56%3.46%-48.06%
GBHIK
68
Neutral
£4.17B14.8215.79%3.28%5.83%83.35%
51
Neutral
$5.20B3.18-40.80%2.96%17.66%1.94%
GBAGY
48
Neutral
£300.29M-369.20%4.50%74.32%
* Healthcare Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
GB:AGY
Allergy Therapeutics
6.45
3.60
126.32%
GB:AZN
AstraZeneca
10,362.00
-758.63
-6.82%
GB:PSON
Pearson
1,167.50
184.63
18.78%
GB:GSK
GlaxoSmithKline
1,379.00
-192.83
-12.27%
GB:HIK
Hikma Pharmaceuticals
1,904.00
144.49
8.21%

Allergy Therapeutics Corporate Events

Business Operations and StrategyFinancial Disclosures
Allergy Therapeutics Reports Financial Turnaround and Clinical Progress
Positive
Mar 31, 2025

Allergy Therapeutics reported a financial turnaround with a £1.9 million operating profit before R&D and other costs, and a 4% revenue growth on a constant currency basis for the six months ended December 2024. The company has strengthened its financial position with a cash reserve of £21.7 million and has made significant progress in its clinical programs, including the submission of a Marketing Authorisation Application for Grass MATA MPL in Germany and promising interim results from its VLP Peanut allergy vaccine trial. These developments position the company to advance its strategic priorities and potentially transform patient care in allergy treatment.

Product-Related AnnouncementsBusiness Operations and Strategy
Allergy Therapeutics Advances Peanut Allergy Vaccine Trial to Final Phase
Positive
Mar 27, 2025

Allergy Therapeutics has advanced to the final phase of its VLP Peanut Phase I/IIa PROTECT trial, with healthy volunteers receiving the highest doses without any safety signals. The trial aims to establish a strong safety margin and determine the optimal dose range for future studies. The company also announced a new publication validating the vaccine’s mechanism of action, highlighting its potential to reduce allergic responses and promote protective immune mechanisms. The results are promising for addressing the unmet need for effective peanut allergy treatments and could lead to long-term protection.

Executive/Board ChangesBusiness Operations and Strategy
Allergy Therapeutics Announces New Incentive Awards to Boost Growth
Positive
Mar 3, 2025

Allergy Therapeutics has announced new long-term incentive awards for its senior executive team and share option awards for all employees. These awards aim to incentivize share price growth and operational performance over five years, with specific performance targets set. The initiative reflects the company’s strategy to enhance its market position and shareholder value.

Product-Related AnnouncementsBusiness Operations and Strategy
Allergy Therapeutics Showcases Research at 2025 AAAAI/WAO Congress
Positive
Feb 27, 2025

Allergy Therapeutics announced its participation in the 2025 AAAAI/WAO Joint Congress, where it will present scientific advancements in its pollen and food-allergy research portfolio. The company will showcase six posters, including a positive comparative assessment of its Grass MATA MPL immunotherapy, design details of a Phase III trial for grass allergies in children, and safety data from a clinical trial of a peanut allergy vaccine. These developments highlight Allergy Therapeutics’ commitment to innovation and its efforts to transform patient lives through advanced therapies.

Product-Related Announcements
Allergy Therapeutics’ Grass MATA MPL Shows Promising Phase III Results
Positive
Feb 17, 2025

Allergy Therapeutics has announced the publication of successful results from their G306 Phase III trial for Grass MATA MPL in the journal Allergy. The trial demonstrated a 20.3% reduction in symptoms compared to placebo, surpassing the efficacy of other similar treatments in the past decade. This new treatment, requiring only six injections, offers a significant improvement in quality of life for patients and positions Allergy Therapeutics as a leader in innovative allergy solutions.

Executive/Board ChangesBusiness Operations and Strategy
Allergy Therapeutics Grants Share Options to Drive Long-Term Growth
Positive
Feb 14, 2025

Allergy Therapeutics has granted share option awards to key members of its management team, aligning their interests with those of the company’s stakeholders to drive future growth. These options, which are contingent on meeting performance criteria over three years, aim to incentivize management and encourage long-term value creation for shareholders.

Product-Related AnnouncementsFinancial Disclosures
Allergy Therapeutics Reports Financial Turnaround and Advances in Allergy Treatments
Positive
Jan 28, 2025

Allergy Therapeutics has reported a financial turnaround with a 4% growth in half-year revenues and improvements in its cash position, indicating recovery and stability. The company has made significant strides in its allergy treatment programs, submitting a Marketing Authorisation Application for its Grass MATA MPL product and beginning a Phase III trial for pediatric patients. Encouraging interim data from its VLP Peanut PROTECT Trial shows potential efficacy in reducing skin sensitivity, supporting the transformative potential of its peanut allergy vaccine candidate.

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.